Oracle: AI Juggernaut Starts Delivering On Its Promises

Vinay Utham, CFA
1.05K Followers
(12min)

Summary

  • Oracle Corporation delivered strong Q4 results, beating expectations with double-digit revenue growth and robust demand for its cloud infrastructure business.
  • Investments in AI and cloud are translating into real growth, evidenced by surging RPO and management's confident guidance for FY26 revenue acceleration.
  • Despite operational strength and momentum, Oracle's valuation now limits upside, prompting my rating downgrade from Buy to Hold.
  • I remain bullish on Oracle's long-term prospects; any ORCL stock pullback should be seen as a buying opportunity for investors seeking AI-driven growth.

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Investment Thesis

The last time I wrote about Oracle Corporation (NYSE: NYSE:ORCL), back in March 2025, I analyzed the company’s third quarter earnings report and investigated whether there had been any significant developments regarding the

This article was written by

1.05K Followers
An independent investor in the Indian and US equity markets with a CFA Charter and a PhD in Finance from University of Durham, U.K. I hold an Honorary Associate Professor in Finance and Corporate Governance title at Brunel University London. I have a YouTube and a Podcast channel, titled The Stock Doctor,' where I discuss my views on the US and Indian markets every week. In addition, I actively undertake quantitative research in the areas of US equities, Behavioural Finance, Corporate Governance, Activist Hedge Funds, Cryptocurrencies and M&A , and have published in top-ranked peer-reviewed journals.

Analyst’s Disclosure:I/we have a beneficial long position in the shares of ORCL, CRM either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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