Join our community of traders FOR FREE!

  • Learn
  • Improve yourself
  • Get Rewards
Learn More

Oracle Corp. provides enterprise software and computer hardware products and services and is known as the largest database maker worldwide. Yesterday, the company agreed to buy Responsys Inc. The deal is estimated to 1.5 billion dollars and is considered to up the ante of the technology company acquisitions that are yet to come. Bloomberg reported that according to a statement made yesterday, Responsys will be paid 27 dollars a share in cash, a 38% premium over its closing price yesterday. The transaction is expected to close until the end of June 2014.

Oracle Corp. is now trying to add more diversity to its marketing software range, because it is focused on making its business more competitive amid companies such as Salesforce.com Inc. and Adobe Systems Inc. One of the analysts of FBR Capital Markets & Co. – Daniel Ives, said: “Investors want Oracle to put more fuel in the growth engine. Marketing automation is one of the hyper-growth areas within cloud.”

Over the last ten years Larry Ellison – the Oracles Chief executive Officer – invested more about 50 billion dollars in more than 100 acquisitions in order to make the company answer to customers requirements. A great deal of the companies acquired by Oracle are considered a mainstay in cloud computing, which is the reason why Mr. Ellison is shifting Oracle away from traditional software stored on personal computers and servers.

The co-president of Oracle Mark Hurd made a statement and said that Responsys would become part of Oracles Customer Experience Cloud, Bloomberg reported. RBC Capital Markets analyst Matthew Hedberg said on the occasion: “This one has a potential to be very nice acquisition for Oracle because there is not a lot of overlap with what Responsys does on the marketing side. It makes a lot of sense, and it certainly accelerates their strategic transition to more cloud-based revenue.”

No matter the companys sales and revenue growth have decreased in the last few years, the latest earnings of Oracle gave investors a reason to believe that the company is weathering the transition to cloud software.

According to CNN Money, the current share price of Oracle Corp. is 0.63% down, and its one-year return rate is 9.15% up. The 36 analysts offering 12-month price forecasts for Oracle Corp. have a median target of 36.50, with a high estimate of 43.00 and a low estimate of 28.00. The median estimate represents a +0.36% increase from the last price of 36.37.

TradingPedia.com is a financial media specialized in providing daily news and education covering Forex, equities and commodities. Our academies for traders cover Forex, Price Action and Social Trading.

Related News

  • Forex Market: EUR/GBP daily trading forecastForex Market: EUR/GBP daily trading forecast Yesterday’s trade saw EUR/GBP within the range between 0.7917 and 0.7889, the lowest since July 24th. The pair closed at 0.7905, losing 0.09% on a daily, a fourth straight losing session.At 6:39 GMT today EUR/GBP was up 0.13% for the day […]
  • Apple prepares curved iPhone screens, enhanced sensorsApple prepares curved iPhone screens, enhanced sensors Tech giant Apple is developing a new iPhone design that incorporates a curved screen and enhanced sensors, according to people familiar with the matter cited by Bloomberg.Two models are planned for release in the second half of 2014 which […]
  • Allianz SE share price up, Q3 income tops forecasts, lifts payouts as Pimco strugglesAllianz SE share price up, Q3 income tops forecasts, lifts payouts as Pimco struggles Allianz SE, the worlds largest insurer, increased its dividend payouts as third-quarter results overtook analysts expectations despite outflows from its Pacific Investment Management Co. unit.The Munich-based company reported a 14.5% […]
  • Crude oil trading outlook: WTI and Brent futures drop ahead of US inventories reportsCrude oil trading outlook: WTI and Brent futures drop ahead of US inventories reports WTI and Brent prices were well to the downside during early trade in Europe today, as investors weighed risks in Ukraine and the Middle East with the upcoming reports on US oil inventories.WTI futures for delivery in September traded at […]
  • United Fire announces $0.16 quarterly dividendUnited Fire announces $0.16 quarterly dividend United Fire (NASDAQ: UFCS) said on Friday that its Board of Directors had authorized a regular quarterly cash dividend of $0.16 per share of common stock.It has been United Fire’s 226th consecutive quarterly dividend paid.The […]
  • Forex Market: USD/CAD daily forecastForex Market: USD/CAD daily forecast During yesterday’s trading session USD/CAD traded within the range of 1.0844-1.0887 and closed at 1.0872.At 9:19 GMT today USD/CAD was losing 0.03% for the day to trade at 1.0872. The pair touched a daily low at 1.0856 at 6:15 […]