Jefferies Remains Bullish on Oracle (ORCL), First Miss in 12 Quarters

Jefferies is reaffirming its Buy rating and $36 price target on shares of Oracle (NASDAQ: ORCL) as they missed their quarterly results for the first time over the past twelve quarters.

The firm reports, Oracle's results reflect weakening spending trends combined with good cost control. License trends were also showing signs of weakening across all major regions. Jefferies believes these trends are not just affecting Oracle, but its peers also.

The company's third quarter guidance calls for slightly better than average seasonality as management forecasts 0-10 percent year over year license growth. Oracle's EPS guidance of $0.55-$0.58 is inline with the firm's previous forecast of $0.57.

For FY12 and FY13, Jefferies has reduced its EPS estimates from $2.39 and $2.59 to $2.37 and $2.55.

For an analyst ratings summary and ratings history on Oracle click here. For more ratings news on Oracle click here.

Shares of Oracle closed at $29.17 yesterday.

---

GET THE HOTTEST RESEARCH CALLS ON THE STREET- FREE TRIAL!