Gains in the cloud business helped offset falling revenue in the company's software unit.
Oracle Corp (NYSE:ORCL, XETRA:ORC) shares rose more than 6% in after-hours trading Thursday after the company posted better-than-expected first-quarter results, driven by surging demand for AI cloud infrastructure. The company reported first-quarter revenue of $19.3 billion, topping analyst estimates of $19.14 billion.
Oracle's results surpassed consensus on the top and bottom lines. Revenue growth came in at 30% for the fiscal first quarter and could accelerate this period.
Full-year, fiscal '27 sell-side estimates for revenue of $89.7 billion and $8.07 in EPS expect 33% revenue growth but just 6% EPS growth. The estimated full-year fiscal '27 free-cash-flow loss for Oracle as of today is $45 billion, up from a $25 billion loss in fiscal '26. Since May '22, Oracle's long-term debt outstanding has jumped from $72 billion to $122 billion.
Oracle Enters Tonight's Earnings Report Down 18% YTD With Traders Positioning Against Upside Oracle (NYSE:ORCL | ORCL Price Prediction) has spent 2026 giving back the AI melt-up that defined it. Shares are down 17.83% year to date and 33.
Shares of CoreWeave (NASDAQ:CRWV) are down 5% to $90.27 midday Thursday, sliding even after Michael Burry, the investor known for The Big Short, closed his highest-profile bearish bet against the AI infrastructure complex.
Oracle is scheduled to report earnings after the closing bell today, with traders anticipating a big move from the database and cloud infrastructure giant's stock.
Oracle Corp (NYSE:ORCL, XETRA:ORC) reports fiscal first-quarter 2027 results Thursday afternoon, with Wall Street split between concerns over ballooning capital expenditures and optimism that data center capacity additions could reaccelerate revenue growth. Bank of America is modeling infrastructure-as-a-service growth of 116% year-over-year and total revenue growth of 28%, up from 21% in the fourth quarter of fiscal 2026.
The consensus price target hints at a 53.9% upside potential for Oracle (ORCL). While empirical research shows that this sought-after metric is hardly effective, an upward trend in earnings estimate revisions could mean that the stock will witness an upside in the near term.
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Oracle is set to report quarterly earnings after the closing bell on Thursday, with options markets signalling that investors are bracing for one of the stock's biggest moves of the year. Recent options pricing suggests Oracle (ORCL) shares could rise or fall by as much as 11% by the end of the week.
If ever there were a stock that captured the hopes and fear of the AI trade, it's Oracle.