Oracle's Multi-Cloud Strategy Shift Is Proving To Be A Success
Summary
- Oracle is rapidly expanding data center capacity with a $25B capital outlay, positioning itself as a leading enterprise cloud and AI infrastructure provider.
- Enterprise adoption of GenAI and agentic AI is fueling massive data growth, driving strong demand for Oracle's cloud and autonomous database services.
- Despite justified premium valuation, I recommend patience and waiting for price weakness before building a position; I recently reduced my own holdings.
- My fair value estimate is $271/share, and I rate Oracle a STRONG BUY based on robust cloud growth and long-term demand outlook.
Analyst’s Disclosure:I/we have a beneficial long position in the shares of ORCL 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.
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