Oracle Cloud Growth Could Signal Next Market Favorite
Oracle is among the best-performing software stocks this year.
Analysts expect Oracle to deliver overall revenue growth of 6.5% this quarter, but for Oracle Cloud Infrastructure, they expect that figure to be 46%.
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@Oracle has all bets on the cloud growth as Cloud computing has been one of the first industries to get a demonstrable boost from artificial intelligence, Bloomberg reports. #coud #ai #data #ORACLE pic.twitter.com/56fkP1llC6
— The_Journalbiz (@the_journalbiz) September 9, 2024
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Cloud computing has been one of the first industries to get a demonstrable boost from artificial intelligence. Oracle Corp.’s quarterly results on Monday are likely to extend that trend.
Although Oracle is not the largest cloud provider, AI demand fueled sharp growth in its cloud infrastructure business in recent quarters. Its efforts to expand capacity and etch partnerships with other major tech companies stand to funnel even more business its way.
But because the company is essentially a runner-up among cloud providers Amazon.com Inc., Microsoft Corp., and Alphabet Inc. are larger and more established — investors have not valued Oracle’s stock as richly as its peers. Its fiscal first-quarter report after the market close may help change that, analysts said.
Oracle shares rose as much as 0.9% in early trading on Monday.
