To The Moon

$Oracle(ORCL)$ delivered another impressive quarter: ✅ Revenue: US$19.18B (+21% YoY), above expectations of US$19.1B ✅ Non-GAAP EPS: US$2.11, beating estimates of US$1.96 ✅ Operating profit hit a record high ✅ Remaining Performance Obligations (RPO) surged 363% YoY to US$638B, showing massive future revenue visibility 🔥 AI & CLOUD GROWTH REMAIN THE MAIN STORY • Total Cloud Revenue: US$9.9B (+47%) • Cloud Infrastructure (IaaS): US$5.8B (+93%) • Multicloud Database Revenue: +404% Oracle signed US$67B worth of AI infrastructure contracts in the quarter alone. Management says AI demand continues to exceed supply, and many customers are either prepaying or supplying their own GPUs, reducing Oracle's financing burden. 📈 FY2026 HIGHLIGHTS • Revenue: US$67.4B (+17%) • Non-GAAP Net Income: US$22.2B (+29%) • Operating Cash Flow: US$32B However, Oracle spent a massive US$55.7B on data center expansion and AI infrastructure, resulting in negative free cash flow. 💰 MORE FUNDRAISING COMING Oracle raised about US$48B through debt and equity financing in FY2026. Management plans to raise another US$40B in FY2027, including the previously announced US$20B stock issuance program. 🎯 FY2027 OUTLOOK ✅ Revenue target maintained at US$90B ✅ EPS guidance raised to US$8.05 ✅ Q1 revenue guidance above Wall Street expectations ✅ Nearly 1 gigawatt of new computing capacity coming online next quarter ⚠️ WHY DID THE STOCK FALL AFTER HOURS? Although earnings beat expectations: • Cloud growth guidance was slightly below bullish forecasts. • Investors were concerned about another US$40B fundraising plan. • FY2027 capital expenditure could exceed US$70B as Oracle races to build AI data centers. 💡 KEY TAKEAWAY Oracle is rapidly becoming one of the biggest AI infrastructure winners alongside hyperscalers. AI demand is exploding, cloud infrastructure revenue is growing at nearly 100%, and future contracted revenue has reached record levels. The trade-off: Oracle must spend tens of billions on AI data centers now, which may temporarily pressure margins and cash flow before the revenue fully arrives. In short: 🚀 AI demand = extremely strong 🚀 Cloud business = accelerating 🚀 Future revenue pipeline = record high ⚠️ Massive capex and fundraising = investor concern That's why Oracle delivered a strong quarter but still fell about 10% in after-hours trading. @TigerPM @TigerObserver @TigerStars @Daily_Discussion @Tiger_comments