Oracle shares pop on strong demand, Q4 earnings beat

Oracle's AI and Cloud Growth - Oracle expects fiscal year 2026 revenue to be dramatically higher, benefiting from AI and cloud services [1] - Total cloud growth rate (applications plus infrastructure software) is projected to increase from 24% to over 40% in fiscal year 2026 [2] - Oracle's strategy is unique in the AI space, differentiating it from giants like Microsoft, Amazon, and Google [3] - Oracle is considered an AI beneficiary [3] - Oracle's remaining performance obligation is expected to grow by 100% in the next fiscal year, significantly ahead of the previous 41% growth [3] Competitive Positioning - Oracle's market share is lower than Amazon and Microsoft, providing an opportunity for faster growth [5] - Oracle is expected to be a foundational piece in AI, alongside Microsoft and Amazon [14] Adobe's Market Sentiment - Adobe faces the worst sentiment among large-cap software companies [6] - Wall Street money managers generally dislike Adobe, despite users loving the product [7] - The market perception is that AI models will negatively impact Adobe [7] - Adobe is considered the cheapest name in large-cap software, trading at 15 times earnings [9] AI Investment Trends - JP Morgan plans to spend $2 billion on AI this year, with potential to double or triple that amount in the next year [13]