Oracle's Larry Ellison Just Made a Bold Prediction. Should You Get in on the Stock Now?
Oracle (NYSE: ORCL) has long been a giant in database management, and that's helped the company steadily grow revenue over time. But over the past couple of years, Oracle has seen revenue truly take off thanks to the company's cloud infrastructure business. And what's driving this is demand from customers in the artificial intelligence (AI) space.In the most recent quarter, cloud infrastructure revenue soared 52% to $3 billion. The company, seeing unrelenting demand, expects growth to be even stronger in the new fiscal year. This message matches what other AI players have been saying in recent times. Nvidia spoke of enormous demand for its new Blackwell architecture and chip, and companies such as Meta Platforms and Alphabet reiterated big capital-spending plans to support their AI platforms. On top of this, analysts predict the general AI market will reach into the trillions of dollars in just a few years.So, it's not surprising that Oracle is benefiting from this momentum. And this growth story has been so solid in the past months that, during the company's recent earnings call, Chairman and Chief Technology Officer Larry Ellison made a very bold prediction. Does all of this make Oracle a buy now? Let's find out.Continue reading
Oracle (NYSE: ORCL) has long been a giant in database management, and that's helped the company steadily grow revenue over time. But over the past couple of years, Oracle has seen revenue truly take off thanks to the company's cloud infrastructure business. And what's driving this is demand from customers in the artificial intelligence (AI) space.
In the most recent quarter, cloud infrastructure revenue soared 52% to $3 billion. The company, seeing unrelenting demand, expects growth to be even stronger in the new fiscal year. This message matches what other AI players have been saying in recent times. Nvidia spoke of enormous demand for its new Blackwell architecture and chip, and companies such as Meta Platforms and Alphabet reiterated big capital-spending plans to support their AI platforms. On top of this, analysts predict the general AI market will reach into the trillions of dollars in just a few years.
So, it's not surprising that Oracle is benefiting from this momentum. And this growth story has been so solid in the past months that, during the company's recent earnings call, Chairman and Chief Technology Officer Larry Ellison made a very bold prediction. Does all of this make Oracle a buy now? Let's find out.
