Oracle's 'truly awesome' quarter stuns Wall Street, sending stock up 40% and making Ellison world's richest man

Core Insights - Oracle's cloud business backlog surged, highlighting its significant role in the AI market and boosting optimism for the ongoing tech rally [1][2] Financial Performance - Oracle reported a 360% increase in remaining performance obligations (RPO), reaching $455 billion, indicating strong future revenue potential [2] - The company projects its Oracle Cloud Infrastructure (OCI) business will grow by 77% to $18 billion in the current fiscal year and aims for $144 billion by 2030 [2][4] Market Reaction - Following the announcement, Oracle's stock price increased by over 40%, adding more than $300 billion in market value, making its chairman the world's richest person [3] - The stock surge occurred despite Oracle's earnings and revenue falling short of Wall Street expectations for the first quarter [4] Analyst Commentary - Analysts expressed strong optimism, with Deutsche Bank calling the results "truly awesome" and highlighting Oracle's leadership in AI infrastructure [3] - Other analysts noted the astonishing backlog and a shift to higher growth levels for Oracle, reinforcing positive sentiment around AI investments [5] Industry Impact - Oracle's strong performance renewed investor confidence in the AI sector, contributing to record highs for the S&P 500 and Nasdaq [6] - The positive outlook for Oracle also positively affected AI chip stocks, with Nvidia and AMD seeing gains of 4% and 3.5%, respectively [4]