Key insights
- Mizuho Securities has added Oracle Corp. to its Top Picks list with a $320 price target, citing strong demand for its AI cloud services and forecasting significant revenue growth. The firm also highlighted six other stocks
Investing.com -- Mizuho Securities added software company Oracle Corp to its Top Picks list as a No. 1 pick, setting a $320 price target that is 25% above Bloomberg consensus on surging demand for its artificial-intelligence cloud services.
Oracle has a current price of $144.77, according to Mizuho’s October report. Analyst Siti Panigrahi said the demand has driven $638 billion in RPO as of the fiscal fourth quarter, and forecast 35% annual revenue growth from fiscal 2026 to 2030, reaching $226 billion by fiscal 2030. Oracle’s fiscal 2026 revenue was $67.4 billion, per the report.
Mizuho flagged two risks. Oracle will likely need outside financing for its spending, and has announced plans to raise $45 billion to $50 billion through a mix of equity and debt. Its AI cloud business also carries lower gross margins, which could pressure operating margins in the near term. Oracle holds an investor day on Oct. 28.
Six other stocks became No. 1 picks for their analysts this month. Mizuho’s target for EyePoint Inc, an eye-disease drug developer, is $39 against a current price of $3.17, or 34.9% above consensus.
The shares are down about 80% after a first late-stage trial of its lead drug Duravyu in wet AMD missed its main goal. Mizuho expects the second trial’s results, due in late October, to be positive.
Mizuho set a $108 target for hotel franchisor Wyndham Hotels & Resorts, which has a current price of $72.65. The broker expects the company’s net room growth and fee growth to improve and says its valuation is near a 10-year low.
Breast-implant maker Establishment Labs Holdings has a $105 target and a current price of $65.29. Mizuho pointed to the ongoing U.S. launch of its Motiva implants, with third-quarter results expected around Nov. 5.
For health insurer UnitedHealth Group, Mizuho set a $493 target against a current price of $376.32. The stock is down 7.3% since Sept. 1, while the S&P 500 is up 1.5%. Mizuho cited upcoming Medicare Advantage star ratings, third-quarter earnings and the 2026 midterm elections as catalysts.
Mizuho’s target for industrial gas company Air Liquide SA is 200 euros, against a current price of 169.10 euros. The firm cited a record electronics backlog of 2.4 billion euros and an Oct. 5 investor day, and noted that Elliott recently took a stake.
Mizuho set a $30 target for shopping-center landlord Brixmor Property Group, which has a current price of $27.46. That target is 16.0% below consensus. Mizuho cited the company’s self-funded redevelopment projects and a $2.34 billion grocery-center acquisition expected to close in the first quarter of 2027.
The list holds 25 picks across seven sectors. Mizuho said it should not be viewed as a portfolio but as each analyst’s top ideas.
Mizuho disclosed that it expects to receive or seek investment banking compensation from Oracle and Vaxcyte in the next three months. It also received such compensation from Oracle in the past 12 months.
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