Analysts dissected Oracle's recent earnings report, particularly its cloud infrastructure services, to gauge its potential boost from AI products.
Oracle reported around 50% growth in its cloud business along with significant expansion in orders, sparking investor optimism.
Oracle's stock surged by 13% in premarket trading, reaching $128.68, reflecting a 35% increase over the past year.
Guggenheim analysts view Oracle as a top pick, anticipating further growth, setting a $150 price target with a Buy rating.
Luria gives stock a Neutral rating with a $105 price target, suggesting additional evidence of Oracle's ability to achieve its ambitious fiscal-year 2026 targets.
Nvidia and other tech firms also experienced positive premarket trading, with Amazon rising by 0.6% and Microsoft by 0.5%
Analyst Gil Luria at D.A. Davidson acknowledges Oracle's success but remains cautious about its long-term goals.