Oracle (ORCL): Update On The Netsuite Acquisition - Cowen

Cowen analyst, Derrick Wood, reiterated his Outperform rating for Oracle (NYSE: ORCL) after the company hosted a webcast to talk about the benefits of the acquisition; integration plans; and strategy roadmap. Importantly, ORCL did not provide any financial commentary regarding the acquisition. This will likely come on the earnings call later this month.

Netsuite will be organized as a separate Global Business Unit (GBU) within ORCL, with Jim McGeever being the President and COO of the unit reporting to Mark Hurd. ORCL confirmed its commitment and support for N's products with plans for investment in sales and distribution, R&D, international expansion and verticalization. ORCL believes there is very little overlap between the two companies in terms of product focus and customers, and anticipates the acquisition to help it address a broader market with an expanded product portfolio.

No change to the price target of $46.

For an analyst ratings summary and ratings history on Oracle click here. For more ratings news on Oracle click here.

Shares of Oracle closed at $38.70 yesterday.

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