Oracle(US:ORCL) Zheng Quan Shi Bao·2025-09-10 22:49Core Insights - Oracle's stock surged over 41% on September 10, leading to a record single-day wealth increase for co-founder Larry Ellison, who saw his fortune rise by $98 billion, reaching $393 billion, surpassing Elon Musk to become the world's richest person [1][5]. Financial Performance - Oracle reported a quarterly adjusted earnings per share of $1.47, slightly below analyst expectations of $1.48, with revenue of $14.93 billion, also below the forecast of $15.04 billion [5]. - The company's remaining performance obligations (RPO) skyrocketed to $455 billion, a year-on-year increase of 359%, igniting market enthusiasm for AI-driven growth [1][5]. Market Reaction - Following Oracle's earnings report, multiple investment banks raised their price targets for the company significantly, with Wolfe Research increasing its target from $300 to $400, implying a market cap of $1.12 trillion [9]. - The Philadelphia Semiconductor Index rose by 2.5%, with major AI chip companies like Broadcom and NVIDIA seeing substantial gains [1]. AI and Cloud Infrastructure - Oracle's cloud infrastructure revenue reached $3.3 billion, a 55% year-on-year increase, and the company expects this revenue to grow to $18 billion in fiscal 2026, nearly a 77% increase from $10.3 billion in fiscal 2025 [6][7]. - The surge in RPO is attributed to Oracle's large-scale cloud contracts with leading AI firms such as OpenAI and Meta, positioning Oracle as a key provider for AI model training [6][10]. Strategic Vision - Larry Ellison emphasized that AI is fundamentally transforming Oracle, with a focus on the AI inference market, which he believes will be larger than the AI training market [10][11]. - The company aims to leverage its advanced data center technology to maintain a competitive edge in AI training, claiming superior speed and cost-effectiveness compared to competitors [12].