Oracle (ORCL) Gets Outperform Rating From Wedbush as AI Infrastructure Play
Oracle stock rose 2% in pre-market trading after Wedbush initiated coverage with an Outperform rating and a $225 price target. The analyst argues that Oracle's heavy capital spending is tied to existing AI contracts, driving demand for its cloud infrastructure.
Oracle stock climbed 2% in pre-market trading on Friday after Wedbush analyst Daniel Ives initiated coverage with an Outperform rating and a $225 price target. Ives argues that Oracle's heavy capital spending is backed by AI contracts, not speculative. Oracle Cloud Infrastructure (OCI) is a key part of the bull case, with a flatter network design giving it an edge in AI workloads. Oracle's multi-cloud database revenue surged 531% year-over-year in Q3 fiscal 2026. The company has partnerships with Google Cloud and Amazon Web Services, launching the Oracle AI Database Agent for Gemini Enterprise and improving cloud-to-cloud connectivity. Wall Street consensus is Strong Buy, with an average price target of $244.89, representing potential upside of nearly 39% from current levels.
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