Oracle rises 4.2% after power deal and data-center security collaboration

What happened

Oracle (ORCL) rose 4.2% on October 13, 2026, after it proposed an electricity supply agreement for Project Jupiter and announced a data-center security collaboration with Microsoft and Marvell, developments investors flagged as the likely drivers. The stock opened 1.1% below the previous close and traded with volume that was 0.9 times its 20-day average as the S&P 500 was unchanged for the day. The announcement said Oracle had proposed an electricity supply agreement with El Paso Electric to provide power during final construction and initial operations of its Project Jupiter AI data center in New Mexico; the company also disclosed a collaboration on data-center security, according to Invezz.

How big was the move

The rise was a large, mostly company-specific move: it moved 1.3 times a typical daily move for this stock and outperformed the technology sector median by 4.5 percentage points. Trading volume of 0.9 times its 20-day average suggests solid but not extreme participation. The stock’s beta of 1.83 indicates it tends to move more than the market; the technology sector median fell 0.3% while the S&P 500 was unchanged.

The technical picture

The stock closed 1.0% above its 20-day moving average but 1.9% below its 50-day moving average and 11.2% below its 200-day moving average, with the 50-day average below the 200-day average, a sign of a weak longer-term trend. Its Relative Strength Index (14 days) stood at 50, inside the neutral range between 30 and 70. The stock sat 55.6% below its 52-week high and was down 51.1% over one year, placing it 70.2 percentage points behind the S&P 500 for the same period. Volatility was 53% annualized over 60 days, higher than 82% of its own readings over five years.

Fundamentals and valuation

Over the four quarters through August 31, 2026, Oracle reported revenue of $71.78 billion, which grew 21.6% from a year earlier. Diluted earnings per share for that period were $6.38, a 47.7% rise from a year earlier, while gross margin was 63.9% versus 69.7% a year earlier. Operating margin improved to 32.4% from 30.4% a year earlier, and free-cash-flow margin stood at 40.0%. The balance sheet showed net debt of 3.2 times EBITDA and share count over one year increased by 3.1%.

On valuation, the stock traded at 22.4 times trailing earnings, a reading lower than 95% of its own readings over the past five years, compared with a five-year median of 32.6 times earnings. Price to forward earnings was 17.6 times expected earnings and free-cash-flow yield was 7.0%. Market value stood at $407.67 billion, reflecting the market’s view of Oracle’s size as it invests in AI infrastructure.

Earnings and analyst expectations

Oracle last reported on September 10, 2026, posting earnings per share of $1.92 against $1.74 expected, 10.3% above estimates. That marked the fourth consecutive quarter beating estimates, with an average surprise over the last four reports of 15.3% above estimates. The typical two-day reaction after recent reports has been a fall of 1.6%. The next report is scheduled for December 9, 2026.

Eighty-seven analysts cover the stock and the consensus rating was Buy. Sixty-six percent of those analysts had a Buy or stronger rating. The consensus price target was $236.52, 65.2% above the closing price on October 13, 2026.

What to watch

• December 9, 2026: Oracle’s next quarterly report date.
• Progress and regulatory filings related to the proposed electricity supply agreement with El Paso Electric for Project Jupiter.
• Any further details or timelines for the collaboration on data-center security with Microsoft and Marvell Technology.
• Developments in the Ademi LLP investigation into potential data privacy claims involving Oracle Health.
• Insider activity: the reported $3.48 million purchase by board member Stephen Rusckowski, as disclosed in regulatory filings.