One can only imagine who might be feeling the heat today from Oracle CEO Larry Ellison, after the company on Wednesday largely blamed its disappointing revenue on its under-performing sales team.
During previous quarterly conference calls, co-president Mark Hurd had exulted about the benefits the Redwood City firm would reap from its recently adding thousands of new sales people. But given Oracle’s arcane inner workings, its not clear which executives may be getting reamed out over the sales flop.
It’s also hard to assess how investors should feel, judging from the mixed reaction of analysts.
The stock was down about 9 percent this morning. In addition, some Wall Street firms – notably Credit Agricole and Evercore Partners – reportedly lowered their ratings on Oracle after its disclosure Wednesday.
But other analysts issued a deafening ho-hum. Consider these examples:
“Oracle has clearly struggled with consistent quarter-to-quarter execution since major changes to the sales organization at the beginning of FY2012,” concluded Credit Suisse in a note to its clients Thursday. But it added, “we remain confident in Oracle’s business.”
Noting that it is “only making slight adjustments” to is assessment of Oracle, Wells Fargo called the company “well positioned” among its competitors and “poised to garner an outsized share of profit in the transformation of the datacenter.”
And Raymond James predicted that “Oracle will likely be effective” in meeting its overall financial goals for the year.