Jefferies Raises Oracle Price Target on Strong AI and Cloud Momentum
Jefferies has increased its price target for Oracle Corporation (NYSE: ORCL), citing growing strength in the company’s artificial intelligence (AI) and cloud infrastructure divisions. The move follows upbeat takeaways from both AI World and Oracle’s Financial Analyst Day, which highlighted the firm’s expanding leadership in enterprise cloud and data services.
Oracle Enters a New Growth Phase
Jefferies analysts lifted their price target to $400 from $360, maintaining a “Buy” rating on the stock. The brokerage said Oracle is entering “a new growth phase,” supported by a global supply-demand imbalance for AI infrastructure and accelerating adoption of Oracle Cloud Infrastructure (OCI).
Analysts described Oracle’s current momentum as “a rare acceleration story in software,” emphasizing improving confidence among both customers and partners.
Ambitious Growth Forecasts Through 2030
According to Jefferies, Oracle’s five-year growth outlook shows a major turning point. The firm projects total revenue to nearly quadruple to $225 billion by fiscal 2030, representing a 31% compound annual growth rate (CAGR).
Earnings per share are forecast to grow 28% annually to reach $21, while Oracle Cloud Infrastructure revenue is expected to surge at a 75% CAGR, reaching $166 billion by the same period.
“One-Oracle” Strategy Positions Company as AI-Cloud Leader
Jefferies acknowledged potential challenges tied to rising capital expenditures, but emphasized that Oracle’s “One-Oracle” strategy — which integrates database, applications, infrastructure, and AI services — positions the company as an emerging hyperscaler in the global cloud computing market.
The analysts concluded that Oracle’s unified business model and accelerating AI adoption could drive sustained growth in the years ahead.
