PLTR - Oracle: A Perfect Stock For A Pure AI Play
2024-05-05 08:30:51 ET
Summary
- Oracle is experiencing significant growth in its AI and Cloud business, with high double-digit growth in recent times.
- The company holds a promising future in the cloud market and is growing its cloud revenues faster than its main competitors.
- Oracle's partnership with Palantir will create major synergies and improve their offering to enterprise clients.
- We generate a target price of $144 per share for Oracle, with a 25% upside.
- Oracle stock is also trading at very attractive multiples, with a P/E ratio below the sector median.
Oracle is showing unprecedented momentum in AI & Cloud
Oracle (ORCL) is a tempting investment amid unprecedented momentum in its AI and Cloud business. Although the competition remains tight, Oracle has managed to provide high double-digit growth for both AI and Cloud in recent times. The numbers speak for themselves. Oracle is proving it's able to profit from the ongoing AI boom. The fact is, its Gen2 AI Cloud Infrastructure offering far exceeds supply . Furthermore, with Oracle as a legacy database provider, database solutions have become a differentiated competitive advantage for Oracle against its industry peers to leverage its position in the cloud business. All in all, Oracle offers a complete and fast cloud solution for deploying AI, namely the fastest AI infrastructure in the industry, backed by hardware from Nvidia (NVDA). ...
Oracle: A Perfect Stock For A Pure AI Play