Oracle’s AI Capabilities Drive Stock Surge and Exceptional Market Performance
Oracle Corporation is rapidly gaining prominence in the Artificial Intelligence (AI) sector, with its stock reaching an all-time high last week. Despite a challenging environment for technology stocks in August, Oracle’s stock surged by 14 percent, marking a standout performance. In 2024 alone, Oracle’s shares have increased by 54 percent, making it the second-best performing stock in the US market after Nvidia.
Impressive Revenue Projections Propel Oracle’s Market Confidence
The rise in Oracle’s stock is attributed to strong revenue projections. Analysts predict that Oracle’s revenue will climb to $66 billion by 2026, with an ambitious target of $104 billion by 2029. This equates to an impressive 16% annual growth rate, far surpassing the industry average of 9%. Oracle’s growth is largely driven by its focus on AI tools that enhance its software services, making them more efficient and powerful, according to analysts like Barclays’ Raimo Lenschow.
Larry Ellison Becomes Second Richest Person in the World
Oracle’s success has also benefited its founder and chairman, Larry Ellison, who recently surpassed Amazon’s Jeff Bezos to become the second richest person in the world. Thanks to Oracle’s stock reaching record highs, Ellison’s net worth increased by $8.1 billion, bringing his total wealth to $206 billion as of September 13, according to Forbes’ real-time billionaires list. Ellison is second only to Elon Musk, who remains at the top of the wealthiest individuals’ list.
