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Oracle Issues Series D Mandatory Convertible Preferred Stock

Story Highlights
  • Oracle raised capital by issuing 100 million depositary shares tied to new 6.50% Series D mandatory convertible preferred stock.
  • The new preferred stock carries strict dividend priority, a 6.50% yield, and automatic conversion into common shares by January 2029 based on market prices.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Oracle Issues Series D Mandatory Convertible Preferred Stock

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Oracle ( (ORCL) ) has shared an update.

On February 2, 2026, Oracle Corporation entered into an underwriting agreement with a syndicate of major investment banks to issue and sell 100 million depositary shares, each representing a 1/2,000th interest in a share of its 6.50% Series D Mandatory Convertible Preferred Stock, and the offering closed on February 5, 2026. In connection with this capital-raising transaction, Oracle established the terms of the new preferred stock via a certificate of designations filed in Delaware, setting a 6.50% annual dividend on a $100,000 liquidation preference and restricting dividends and share repurchases on common and other junior or parity stock unless preferred dividends are current, while providing that the preferred shares (and related depositary shares) will automatically convert into Oracle common stock by January 2029 within a set conversion range based on market prices, with defined rights in liquidation and proportional participation for holders of the depositary shares.

The most recent analyst rating on (ORCL) stock is a Buy with a $285.00 price target. To see the full list of analyst forecasts on Oracle stock, see the ORCL Stock Forecast page.

Spark’s Take on ORCL Stock

According to Spark, TipRanks’ AI Analyst, ORCL is a Neutral.

The score reflects strong earnings-call outlook and solid profitability, tempered by high leverage and negative free cash flow, with bearish technical signals (below major moving averages and negative MACD) further weighing on the near-term profile. Valuation is not cheap at ~30x earnings, and the dividend yield offers only modest support.

To see Spark’s full report on ORCL stock, click here.

More about Oracle

Oracle Corporation is a global enterprise software and cloud technology company that develops and sells database management systems, enterprise applications, and cloud infrastructure services to corporate, government, and institutional customers worldwide, with a focus on data management, analytics, and mission-critical business workloads.

Average Trading Volume: 27,750,025

Technical Sentiment Signal: Sell

Current Market Cap: $421.5B

For detailed information about ORCL stock, go to TipRanks’ Stock Analysis page.

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