ORCL's record AI backlog, strong cloud growth and discounted valuation give it an edge over MSFT as enterprise AI demand accelerates.
Oracle's (NYSE:ORCL | ORCL Price Prediction) remaining performance obligations vaulted to $638 billion in Q4 FY2026, an unprecedented backlog that reframes the investment case.
This article was written by Doug Nathman, with research by his team at Trefis.
Oracle stock remains under intense pressure this week, extending a steep decline that began after the shares peaked at $345 in September last year. The stock has since plunged nearly 60% from its all-time high, with its valuation increasingly appearing attractive even as investors remain concerned about the company's rising debt burden and significant exposure to major customers such as OpenAI.
ORCL's AI data center bet carries balance-sheet risk, but record backlog, expanding partnerships and stronger guidance bolster the growth case.
Oracle (NYSE:ORCL | ORCL Price Prediction) and Amazon (NASDAQ:AMZN) both closed their latest quarters with the same uncomfortable admission: AI infrastructure is now devouring cash faster than either business can generate it.
Oracle (ORCL) concluded the recent trading session at $146.71, signifying a -2.53% move from its prior day's close.
I keep hitting the buy button on Oracle (NYSE:ORCL | ORCL Price Prediction) because I think the market is still pricing it as a legacy database company while it quietly builds itself into a Tier-1 hyperscaler.
It isn't surprising that software stocks are falling, given that investors are loading up on some of their go-to AI picks.
A $10,000 position opened in mid-August 2025 is worth about $6,300 today, dividends included. Oracle's remaining performance obligations grew from $455 billion last September to $638 billion by the end of fiscal 2026.
A natural gas pipeline project in New Mexico will be completed almost six months after the originally planned date. The pipeline is crucial to the power needs of the massive Project Jupiter facility.
ORCL expands its AWS database partnership to 22 regions, bringing Exadata-class performance to AI-ready workloads while advancing its multicloud strategy.