Partnership will build a global AI-powered healthcare platform to deliver more effective, scalable, and affordable careABU DHABI, United Arab Emirates, May 16, 2025 /PRNewswire/ -- Oracle Health, Cleveland Clinic, and G42 today announced a strategic partnership to develop a groundbreaking AI-based healthcare delivery platform. This initiative aims to improve patient care and public health management by leveraging AI, nation-scale data analytics, and intelligent clinical applications to create secure, scalab ...

Core Viewpoint - The U.S. equity market is facing challenges in 2025 due to economic uncertainty, geopolitical tensions, and a trade war with China, but high-quality companies like Microsoft, Amazon, and Oracle are well-positioned for long-term growth [1][2][3]. Microsoft - Microsoft has transitioned from a software license model to a subscription-based model, resulting in predictable and high-margin revenue streams [4][5]. - The company's diversified business segments, including Microsoft 365, Azure, and LinkedIn, contribute to steady cash flow and high customer retention [5]. - Microsoft's aggressive AI strategy, particularly its partnership with OpenAI, enhances enterprise adoption of its products [6]. - Wall Street projects Microsoft's revenue and earnings to grow annually by 11.9% and 12.3%, respectively, with a forward P/E ratio of 29.5x, lower than its five-year average of 33x [7][8]. Amazon - Amazon's ecosystem extends beyond e-commerce to include AWS, digital advertising, and AI initiatives, maintaining its long-term growth despite trade war disruptions [9]. - AWS, which accounted for 17% of revenue in 2024, contributed over 58% of operating income, with an annualized revenue run rate of $115 billion [10]. - Amazon invested $8 billion in AI and is developing over 1,000 generative AI applications, enhancing productivity and reducing costs [11]. - The company expanded same-day delivery sites by 60% year over year in 2024, improving customer convenience [12]. - Amazon's share price has decreased by nearly 29% from its all-time high, trading at a forward P/E of about 31.3x, significantly lower than its five-year average of 55.4x, presenting a buying opportunity [13][14]. Oracle - Oracle's stock has declined nearly 35% from its 52-week high, making it an attractive option for long-term investors due to its role in AI infrastructure and cloud services [15]. - The company's Remaining Performance Obligations (RPO) increased by 62% year over year to $130 billion, indicating strong future revenue potential [16]. - Oracle's cloud infrastructure is growing at 51% year over year, and it is building a significant AI training infrastructure with Nvidia's chips [17]. - Management anticipates 15% revenue growth in fiscal 2026 and 20% in 2027, along with a 25% increase in quarterly dividends [18]. - Oracle trades at 19.1 times forward earnings, below its five-year average of 32.6x, suggesting a favorable valuation for investors [19].

Oracle TodayORCLOracle$143.43 -5.36 (-3.60%) 52-Week Range$112.78▼$198.31Dividend Yield1.12%P/E Ratio35.03Price Target$178.92Add to WatchlistOracle’s NYSE: ORCL CQ1 2025 price correction is an opportunity for investors because the market is resetting its outlook and not reversing. The market reset is due to the timing of AI’s tremendous impact on Oracle. Unlike NVIDIA NASDAQ: NVDA, which claims most of the AI glory to date, Oracle’s success lies in the long-term application of AI.Get Oracle alerts:Details ...

Core Insights - Oracle reported strong cloud revenue growth in Q3 2025, but overall revenue and earnings fell short of analysts' expectations [1][2] Financial Performance - Adjusted EPS for Q3 2025 was $1.47, slightly below the estimate of $1.49, while revenue was $14.13 billion, missing the estimate of $14.38 billion [1][3] - Year-over-year revenue growth was 6.2%, with adjusted EPS increasing by 4.3% compared to Q3 2024 [3] - The adjusted operating margin improved to 44% from 43% in the previous year [3][7] - GAAP operating income rose 16% to $4.4 billion, and net income increased by 22% to $2.9 billion [7] Cloud Segment Growth - Cloud revenue reached $6.2 billion, reflecting a 23% increase year-over-year [3][6] - Infrastructure cloud services grew by 49% to $2.7 billion, while application services increased by 9% to $3.6 billion [6] - Database MultiCloud revenue saw a 92% uplift from platforms like Microsoft and Amazon [6] Strategic Initiatives - Oracle has formed partnerships with OpenAI and Nvidia, and plans to double its data center capacity [8] - The company is focusing on enhancing its Oracle AI Data Platform, with a 244% increase in GPU consumption for AI training [8] Future Outlook - Management anticipates a 15% revenue increase in the upcoming fiscal year, supported by a $130 billion sales backlog and a 62% growth in remaining performance obligations [9] - Plans to double capital expenditures in the next fiscal year to meet growing demand in cloud infrastructure [10]

Core Insights - Oracle Corporation reported strong fiscal Q3 2025 results, with total remaining performance obligations (RPO) increasing by 62% year-over-year to $130 billion, indicating robust future revenue potential [1][4][10] - Total quarterly revenues rose by 6% year-over-year to $14.1 billion, driven primarily by cloud services and license support revenues, which increased by 10% to $11.0 billion [1][10] - The company anticipates a 15% revenue growth in the next fiscal year, supported by a significant sales backlog and new cloud agreements with major technology firms [4] Financial Performance - Q3 GAAP operating income was $4.4 billion, with a non-GAAP operating income of $6.2 billion, reflecting a 7% increase in non-GAAP terms [2][10] - GAAP net income reached $2.9 billion, up 22% year-over-year, while non-GAAP net income was $4.2 billion, up 6% [2][10] - Earnings per share (EPS) increased to $1.02 (GAAP) and $1.47 (non-GAAP), marking a 20% and 4% rise respectively [2][10] Cash Flow and Deferred Revenues - Short-term deferred revenues stood at $9.0 billion, with operating cash flow for the last twelve months totaling $20.7 billion and free cash flow at $5.8 billion [3][10] - The company reported a significant increase in cash and cash equivalents, ending the period with $17.4 billion, up from $10.5 billion [24] Cloud Services Growth - Cloud services revenue (IaaS and SaaS) reached $6.2 billion, up 23% year-over-year, with cloud infrastructure revenue growing by 49% [10] - The demand for AI-related services is surging, with GPU consumption for AI training increasing by 244% over the past year [4] Dividend Announcement - Oracle's Board of Directors declared a quarterly cash dividend of $0.50 per share, a 25% increase from the previous dividend of $0.40, to be paid on April 23, 2025 [4]