We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Oracle (ORCL) Stock Hits an All-Time High Amid Increased Cloud Demand
Optimism surrounding Oracle’s (ORCL - Free Report) cloud and AI infrastructure endeavors pushed its stock to an all-time high of $228 a share on Monday.
This comes as the enterprise cloud leader has secured lucrative contracts thanks to its momentum in AI, with many analysts starting to raise their price targets for Oracle stock. That said, let’s see if now is a good time to buy ORCL for higher highs.
Massive Cloud Deal & AI Momentum
Although the identity of the customer was not disclosed, Oracle stock spiked +4% on Monday following news of a regulatory filing in which the company had signed a massive $30 billion annual cloud services deal. Given the scale and nature of the contract, many analysts believe the client could be a major AI player like OpenAI.
To that point, Oracle and OpenAI have formed a strategic partnership, collaborating on a massive AI training hub in Texas. As part of a broader $500 billion AI infrastructure initiative, which also includes Nvidia (NVDA - Free Report) , Oracle is the venture’s core infrastructure provider. Deemed Project Stargate, Oracle will be helping to expand OpenAI’s compute capacity beyond Microsoft (MSFT - Free Report) Azure. Embarking on a multi-cloud strategy, Microsoft and OpenAI are using Oracle Cloud Infrastructure (OCI) to integrate Azure’s AI cloud platform to produce enhanced training for large-language models (LLMs).
With demand booming for OCI, Oracle’s MultiCloud revenue is reportedly growing at over 100% in correlation with the need to support generative AI workloads such as OpenAI’s ChatGPT. Reporting its fiscal fourth-quarter results earlier in the month, Oracle's Q4 sales stretched 11% year over year to $15.9 billion, pinpointing that its MultiCloud database revenue spiked 115% sequentially, driven by partnerships with Amazon's (AMZN - Free Report) AWS and Alphabet’s (GOOGL - Free Report) Google Cloud, along with Microsoft Azure.
ORCL Performance & Valuation Comparison
Following today’s rally, ORCL is up +30% in 2025. More impressive, Oracle stock is now sitting on +200% gains in the last three years to vastly outperform the broader indexes and its Zacks Computer-Software Market’s +95%, which includes Microsoft stock at +90%.
Image Source: Zacks Investment Research
Furthermore, despite Oracle’s blazing stock performance, at 31.3X forward earnings, ORCL still trades beneath Microsoft’s 37.1X and their Zacks Computer-Software Industry average of 35.9X.
Image Source: Zacks Investment Research
Analysts Upgrade ORCL Price Target to $250
Citing strong cloud momentum, AI infrastructure growth, and a bullish outlook for Oracle’s current fiscal year 2026, several financial firms have upped their price target for ORCL shares to $250, including analysts at Stifel, UBS, and Guggenheim.
Bottom Line
At the moment, Oracle stock currently lands a Zacks Rank #3 (Hold). However, it wouldn’t be surprising if a buy rating is on the way and perhaps higher highs for ORCL, as earnings estimates for Oracle are likely to rise in correlation with the announcement of its lucrative cloud services deal.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Oracle (ORCL) Stock Hits an All-Time High Amid Increased Cloud Demand
Optimism surrounding Oracle’s (ORCL - Free Report) cloud and AI infrastructure endeavors pushed its stock to an all-time high of $228 a share on Monday.
This comes as the enterprise cloud leader has secured lucrative contracts thanks to its momentum in AI, with many analysts starting to raise their price targets for Oracle stock. That said, let’s see if now is a good time to buy ORCL for higher highs.
Massive Cloud Deal & AI Momentum
Although the identity of the customer was not disclosed, Oracle stock spiked +4% on Monday following news of a regulatory filing in which the company had signed a massive $30 billion annual cloud services deal. Given the scale and nature of the contract, many analysts believe the client could be a major AI player like OpenAI.
To that point, Oracle and OpenAI have formed a strategic partnership, collaborating on a massive AI training hub in Texas. As part of a broader $500 billion AI infrastructure initiative, which also includes Nvidia (NVDA - Free Report) , Oracle is the venture’s core infrastructure provider. Deemed Project Stargate, Oracle will be helping to expand OpenAI’s compute capacity beyond Microsoft (MSFT - Free Report) Azure. Embarking on a multi-cloud strategy, Microsoft and OpenAI are using Oracle Cloud Infrastructure (OCI) to integrate Azure’s AI cloud platform to produce enhanced training for large-language models (LLMs).
With demand booming for OCI, Oracle’s MultiCloud revenue is reportedly growing at over 100% in correlation with the need to support generative AI workloads such as OpenAI’s ChatGPT. Reporting its fiscal fourth-quarter results earlier in the month, Oracle's Q4 sales stretched 11% year over year to $15.9 billion, pinpointing that its MultiCloud database revenue spiked 115% sequentially, driven by partnerships with Amazon's (AMZN - Free Report) AWS and Alphabet’s (GOOGL - Free Report) Google Cloud, along with Microsoft Azure.
ORCL Performance & Valuation Comparison
Following today’s rally, ORCL is up +30% in 2025. More impressive, Oracle stock is now sitting on +200% gains in the last three years to vastly outperform the broader indexes and its Zacks Computer-Software Market’s +95%, which includes Microsoft stock at +90%.
Image Source: Zacks Investment Research
Furthermore, despite Oracle’s blazing stock performance, at 31.3X forward earnings, ORCL still trades beneath Microsoft’s 37.1X and their Zacks Computer-Software Industry average of 35.9X.
Image Source: Zacks Investment Research
Analysts Upgrade ORCL Price Target to $250
Citing strong cloud momentum, AI infrastructure growth, and a bullish outlook for Oracle’s current fiscal year 2026, several financial firms have upped their price target for ORCL shares to $250, including analysts at Stifel, UBS, and Guggenheim.
Bottom Line
At the moment, Oracle stock currently lands a Zacks Rank #3 (Hold). However, it wouldn’t be surprising if a buy rating is on the way and perhaps higher highs for ORCL, as earnings estimates for Oracle are likely to rise in correlation with the announcement of its lucrative cloud services deal.