Oracle lifts profit forecast on AI cloud demand
Oracle shares surged 6% in premarket trading after topping revenue estimates with a 30% jump driven by a 121% spike in cloud infrastructure demand and a record $664 billion backlog. Analysts at Citi have since reaffirmed their Buy rating, viewing the strong results as a positive precursor to potential guidance upgrades at the company's upcoming Investor Day.
Citi analysts have reiterated their Buy rating, describing the quarter as a 'solid' performance that clears the runway for potential upward revisions at the upcoming Investor Day, according to reporting from GN technics/ai (en-US). The firm noted that Oracle's conservative management framework and 2027 outlook suggest a favorable setup for further growth signals.
Source: GN technics/ai (en-US)Oracle shares have surged in after-hours trading as investors react to the company's record $664 billion in remaining performance obligations, a metric that significantly exceeded analyst estimates. According to GN stocks/shares-surge, this backlog of contracted AI cloud revenue has helped alleviate market concerns regarding the heavy capital expenditure required to support the infrastructure buildout.
Source: GN stocks/shares-surgeOracle reported a 30% revenue increase and raised its annual earnings outlook, driven by strong enterprise adoption of its cloud infrastructure services.
Source: GN stocks/earnings-beat
