Oracle Corp (NYSE:ORCL, XETRA:ORC) shares moved more than 7% higher after the company reported stronger-than-expected earnings for its fiscal third quarter and raised its longer-term revenue outlook. The enterprise software company posted non-GAAP earnings per share of $1.79, topping Wall Street estimates of $1.69.
Oracle surpassed estimates for the quarter, and lifted its guidance for fiscal 2027 revenue. The database and cloud company now owns 15% of TikTok's U.S. business.
Oracle beat Wall Street estimates for third-quarter revenue on Tuesday, as robust demand for its cloud computing services, driven by the artificial intelligence boom, helped the company compete against larger rivals.
AI infrastructure stocks in general have had a good day, but Oracle (ORCL) shars remain under pressure.
With assurances that the war in Iran will be a short-lived “excursion,” oil prices yesterday pulled back from their highest levels in almost 20 years — the first drop in oil prices since the U.S. and Israel initiated their attacks on Iran a week and a half ago. This helped moved markets forward to start the new trading week: +0.50% on the blue-chip Dow, +1.38% on the S&P 500 and +0.38% on the tech-heavy Nasdaq.
In the past six months, Oracle (ORCL) experienced a stock decline of 54% despite an increase in revenue and profit margins. The rising AI-driven backlog and $50B capital expenditure plans raised investors' concerns regarding potential short-term profits, while increasing debt, declines in legacy segments, and an expensive restructuring led to a significant retreat.
Oracle reported its third-quarter earnings on Tuesday, with investors treating the results as an important signal for the artificial intelligence trade. The company has been expanding its cloud infrastructure to support AI computing demand, a strategy that has required heavy capital investment.
“The chip cycle is moving so fast that even the biggest infrastructure deals can't keep up.
Stock futures are slightly lower this morning after a wild trading session yesterday amid hopes that the Iran war won't be protracted; oil prices are sliding after President Donald Trump indicated that the armed conflict could end soon; officials from G-7 countries are set to meet to discuss a potential release of oil barrels from strategic reserves; cloud computing giant Oracle is due to release its quarterly results after the closing bell; and shares of Hewlett Packard Enterprise are rising after the server maker boosted its full-year outlook. Here's what you need to know today.
The AI trade will be tested as Oracle reports third-quarter earnings. Oracle announced a $50 billion financing plan last month to fund its data center buildout.
Jim Cramer made a bold call on Mad Money: “Oracle has made itself the king of the data center.
Oracle may be the canary in the coal mine. That line, from a CNBC segment recorded the day before Oracle's most recent earnings report, carries more weight than a typical market soundbite.