Melius Downgrades Oracle (ORCL) to Hold as AI Monetization Faces Scrutiny

3 weeks ago 15

Ghazal Ahmed

Tue, February 10, 2026 astatine 5:36 AM CST 1 min read

Oracle Corporation (NYSE:ORCL) is 1 of the 10 AI Stocks Analysts Are Watching. On February 9, Melius expert Ben Reitzes downgraded the banal from Buy to Hold portion maintaining a terms people of $160. The steadfast is cautious connected ORCL, flagging its anemic currency procreation and AI monetization uncertainty.

The steadfast said that portion it admired Larry Ellison’s bold push, it has besides cautioned that the roadworthy up whitethorn beryllium difficult. This is due to the fact that precocious indebtedness and imaginable equity raises whitethorn measurement connected the banal for immoderate time.

Melius peculiarly noted that the company’s endeavor worth to escaped currency travel ratio is “NA” and suggesting that “value whitethorn beryllium absorbed by indebtedness and caller banal issuances for a while.”

Melius Downgrades Oracle (ORCL) to Hold arsenic AI Monetization Faces Scrutiny

Photo by Danial Igdery connected Unsplash

Reitzes added that Oracle should beryllium valued “more akin to an infrastructure institution vs. a bundle company.”

Oracle Corporation (NYSE:ORCL) is simply a database absorption and unreality work provider.

While we admit the imaginable of ORCL arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you’re looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

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Disclosure: None. This nonfiction is primitively published at Insider Monkey.