1 Magnificent Stock Under $500 to Buy and Hold Forever

Core Insights - Oracle is well-positioned for the ongoing artificial intelligence (AI) megatrend while also returning capital to shareholders [1] - The company's stock has increased nearly 80% year-to-date following strong fiscal Q1 2026 results [2] Company Performance - Oracle reported a remarkable 359% year-over-year growth in remaining performance obligations (RPO), totaling $455 billion, driven by four multibillion-dollar contracts [5] - Total cloud revenue rose 27% year-over-year to $7.2 billion, with cloud infrastructure revenue surging 55% to $3.3 billion [6] - Total revenue for the quarter increased 11% year-over-year to $14.9 billion, while adjusted earnings per share rose 6% to $1.47 [7] Capital Expenditure and Return Program - Oracle's capital expenditures reached $8.5 billion for the quarter, with a forecast of around $35 billion for fiscal 2026 [8] - Despite negative free cash flow of $362 million for the quarter, Oracle returned $5 billion in dividends over the last 12 months and repurchased shares worth $95 million in Q1 [8]