ORACLE CORP. - Oracle Corporation (‘ORCL’) - 03/07/2024 (GMT)

Oracle Corporation’s (symbol ‘ORCL’) share price ended the quarter at a minor loss of around 2% managing to recoup the losses incurred on the 12th of December 2023. The company’s earnings report for the fiscal quarter ending February 2024 is expected to be released on Monday, March 11th, after the close of the market. The consensus EPS is $1.27, up from $1.22 in the same quarter last year. 

In the aftermath of the last earnings release the company experienced a 10% drop in a single day and has since managed to close this gap. The main reason for this drop was a difference of $110 million in expected sales that the company failed to achieve, pushing all the financial ratios down. Also, the company is not considered in any way a dividend heaven since the yields on their dividends are considerably below the average of 2-3%.  Technical analysis shows the price has reacted on the support area of the $110 price area and has since moved in a short-term bullish trend. Currently, the price is trading between the support area of the 50% of the weekly Fibonacci retracement level and the resistance of the bearish gap formed in mid-February. However, the share of Oracle is often forming gaps that don’t take long to cover unless it's a major gap of more than 5%. In this case, the 50-day moving average has recently crossed above the 100-day moving average indicating that the bullish momentum is prevailing, and if the price continues to travel North then the first area of possible resistance might be found around $116 which consists of the 62.8% of the weekly Fibonacci retracement level and also the area of price reaction in early February.