Prediction: This AI Stock Will Be the Market's Next Trillion-Dollar Superstar

Core Viewpoint - The rapid growth of artificial intelligence (AI) is positioning Oracle as a strong candidate to join the trillion-dollar market cap club, with significant revenue growth and a robust backlog supporting this potential [1][2][4]. Revenue Growth and Market Position - Oracle's stock has surged by 88% in 2025 through September 23, leading to a market cap of nearly $877 billion, just 14% shy of the $1 trillion milestone [4]. - The company has raised its fiscal 2026 revenue guidance to at least $67 billion, reflecting a nearly 17% increase from the previous year, which is double the growth rate of the prior fiscal year [5]. - Oracle's Oracle Cloud Infrastructure (OCI) business is experiencing substantial demand due to companies renting data center capacity for AI workloads, with a global presence across more than 50 regions [6]. Backlog and Future Expectations - Oracle's remaining performance obligations (RPO) reached $455 billion, a 359% increase year-over-year, indicating strong future revenue potential [7][8]. - The company anticipates OCI revenue to grow by 77% in fiscal 2026 to $18 billion, with projections of further growth to $32 billion the following year [8]. - By fiscal 2028, OCI revenue is expected to exceed $73 billion, driven by increased cloud computing capacity [9]. Market Cap Projections - Analysts have set a median 12-month price target of $350 for Oracle, suggesting a potential 13% increase from current levels, which could facilitate entry into the trillion-dollar market cap club [10]. - The stock is currently trading at 15 times sales, which, while high compared to the U.S. technology sector average, is justified by Oracle's improving growth profile [11]. - Sustaining this sales multiple and achieving $70 billion in revenue could enable Oracle to reach a $1 trillion market cap [11]. Investment Consideration - Investors are encouraged to consider Oracle as a potential addition to their portfolios, given its capacity for accelerated growth in the coming years [12].