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24H | Oracle Shares Gain 9% in Overnight Trading; Alibaba Jumps 2.5%; HPE Sinks 5%

Tiger Newspress09-10

Oracle shares up more than 8% in overnight trading. Oracle beat estimates for quarterly results and forecast second-quarter revenue growth above estimates on Monday, boosted by growing demand for its cloud offerings.

The Texas-based company's push into the cloud computing market is showing promising results and it has started narrowing the gap with market leaders Microsoft and Amazon Web Services.

Oracle Cloud Infrastructure remains strong and sustained demand for cloud compute is expected, particularly in AI applications.

Alibaba stock jumped 2.5% in overnight trading. China's Shanghai and Shenzhen stock exchanges will include Chinese e-commerce giant Alibaba Group and some other companies into its Stock Connect cross-border investment scheme from Tuesday, separate filings showed on Monday.

This move will integrate Alibaba into a program linking the Shenzhen and Shanghai stock exchanges with the Hong Kong stock exchange.

Alibaba's shareholders had previously approved the upgrade of its Hong Kong listing to primary status, effective Aug. 28, a move that is expected to attract huge investments from mainland China.

Hewlett Packard Enterprise's shares dropped 5% in overnight trading after the AI server maker announced a $1.35 billion mandatory convertible preferred stock offering to fund its acquisition of Juniper Networks.

Earlier this year, HPE said it would acquire the networking equipment manufacturer for $14 billion in an all-cash deal, in an attempt to enhance the company's AI offerings.

HPE said net proceeds from the offering will be used to cover fees and expenses related to the pending acquisition.

A convertible preferred stock offering allows investors to buy preferred shares, which often fetch higher dividends than common shares. Investors also have the option to convert their preferred stocks into common shares.

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Comment1

  • Dr Rck
    ·09-10
    Along with its growth, China exports grew 8.7% in Aug. That will support any downturn in the economy-at least for now! Looks like a lot of negative reports coming out from China lately but China remains strong, we don't want the second largest economy in the world to derail any recovery of the stock market due to possible recession bet. 
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