The Stargate project for $Oracle(ORCL)$ appears more certain than before. Following the recent volatility shakeout, I tend to think a bullish reversion and a long-term uptrend are likely.
$Oracle(ORCL)$ Another notable overreaction to matters unrelated to $Microsoft(MSFT)$ or ORCL. I tend to believe the AH market should be abolished permanently.
The weekend report from The Information, stating the Stargate joint venture has minimal staff and remains amorphous, is completely irrelevant. What the report fails to mention is that STARGATE has zero impact on $Oracle(ORCL)$ 's near-term or even intermediate earnings. The joint venture was always more of a high-level photo opportunity framework or announcement than a genuine revenue driver for Oracle. It is infuriating yet comical at the same time. This too shall pass.
Many, I mean many good clients from $Amazon.com(AMZN)$ AWS have moved away to $Oracle(ORCL)$ OCI. And many are moving away from GCP. For $Alphabet(GOOGL)$ , luckily their GCP revenue comes from its own products. Their cloud offering is very bad interms of performance, security, and high availability.
For long-term investors with a multi-year horizon: Many analysts believe $Oracle(ORCL)$ still has growth runway and strong cloud/AI positioning. Current prices could offer a discount relative to long-term targets. A buy-and-hold strategy could benefit if $Oracle(ORCL)$ captures cloud market share.
Oracle ($Oracle(ORCL)$ ) is getting strong backing from Guggenheim. They reiterated a Buy rating and a $400 price target, positioning it as a top pick in the software sector. Concerns about debt and cash burn are overshadowed by its growth potential and significant dividends.
The premarket drop doesn't make sense. $Oracle(ORCL)$ now owns 15% of ticktock, which is the only competition to META. That will be a huge long-term additional benefit for ORCL. Premarket is head faking. Watch the stock soar when the market opens.