Oppenheimer Reiterates Outperform on Oracle

Oppenheimer reiterated its Outperform rating on Oracle ORCL ahead of the company's quarterly earnings report, which is due on Thursday, June 23. In a research report published today, Oppenheimer states, "We would be buyers of the shares of ORCL ahead of its FY4Q11 results on Thursday (6/23), as we think the recent pullback in the stock (largely due to macro issues) combined with reasonable expectations has set up a favorable risk/reward heading into the print. While the macro environment remains volatile and ORCL is likely facing pockets of weakness (certain areas of Europe), based on our recent channel checks, we feel overall demand, especially for Exadata, is still healthy and should enable it to end FY11 strongly. Additionally, given growing traction for ORCL's Exadata and Exalogic solutions coupled with margin expansion opportunities and potential accretive acquisitions, we expect the shares to outperform peers." At the moment, Oppenheimer has a price target of $38 placed on the company's stock. On Friday, Oracle added 1.25% to its value to finish the day at $31.18. Its shares lost some value in today's pre-market trading, however, sliding 0.08% to $31.16.