Oracle co-founder and Chief Technology Officer Larry Ellison cancels a plan to sell 50 million shares of company stock.
Oracle co-founder and executive chairman Larry Ellison has canceled a planned sale of his Oracle stock, the company announced on Saturday.
Oracle's stock has taken a beating this year on growing investor concerns over soaring capital expenditure that has pressured its free cash flow.
The controlling shareholder of one of Wall Street's largest AI infrastructure builders just walked away from cashing in $7.5 billion of stock.
Oracle is attractively valued with strong multi-year growth prospects, driven by surging cloud infrastructure and AI demand. Q1 FY27 delivered record revenues ($19.3B, +29.6% YoY) and EPS ($1.92, +30% YoY), with cloud infrastructure revenue up 121%. Gross margin declined due to infrastructure ramp, but operating margin rose to 35.3%; ORCL upgraded FY '27 EPS guidance to $8.10.
Oracle Executive Chairman Larry Ellison has canceled his plan to sell 50 million shares of Oracle stock, the company said on Saturday.
Larry Ellison has canceled his plan to sell up to 50 million of his shares in Oracle, or $7.5 billion worth of stock at the current price. The cancellation came a day after Oracle disclosed in a regulatory filing a trading plan for its founder to sell shares.
The billionaire says no stock was sold, and he cancels plan to unload 50 million shares.
Oracle just disclosed a backlog figure so large it made Jim Cramer reassess the entire growth story, but the capital costs and insider selling quietly unfolding behind that headline number tell a very different story about what comes next.
Oracle delivered a standout Q1 FY2027, with 30% revenue growth, 121% cloud infrastructure growth, and a $664 billion RPO backlog, supporting a 'Buy' rating. Q1 results demonstrated that AI cloud backlog is converting into revenue, alleviating some concerns about the quality and timing of Oracle's massive RPO. Capital intensity remains a key risk, with Q1 CapEx at $28.5 billion and negative free cash flow of $5.4 billion, but management's guidance and backlog conversion keep the bull case intact.
Oracle (NYSE: ORCL) founder Larry Ellison has adopted a Rule 10b5-1 trading plan that could result in the sale of up to 50 million shares of the technology company.
Oracle delivered a strong quarter, beating revenue and EPS expectations, with accelerating cloud infrastructure growth and robust AI-driven demand. Despite a 770bps y/y gross margin decline and negative free cash flow, I view these as temporary, with capex needs not increasing alongside $30B in new cloud bookings. I maintain a Strong Buy rating and raise my price target to $215, reflecting 40% upside, as ORCL trades at a discount to peers despite 30%+ EPS growth potential.