Oracle Shares Rise Nearly 4% Ahead of Earnings

Oracle shares climbed nearly 4% on Tuesday after a round of bullish analyst commentary ahead of the company’s fiscal first-quarter report and the recent launch of OpenAI’s ChatGPT-6 Astra, which drew renewed investor attention to Oracle’s $300 billion cloud supply agreement with OpenAI.

Traders pushed the stock higher even as Oracle remained down about 17% year to date and roughly 32% over the past 12 months. Street estimates call for about $19.1 billion in revenue for the quarter, roughly a 28% year-over-year increase, and earnings near $1.74 per share. Options traders are pricing in about an 11.2% move in either direction after the results.

Several firms reiterated positive ratings ahead of the report. Mizuho kept an Outperform rating with a $320 target and projects roughly 1 gigawatt of capacity will come online in the quarter, versus about 1.2 gigawatts delivered during fiscal 2026. Mizuho stated that another earnings beat would bolster confidence in Oracle’s fiscal 2027 guidance. Guggenheim maintained a Buy rating and a $400 target while identifying Oracle’s planned $20 billion at-the-market equity program as a key financing issue; the firm said equity likely will be part of the remaining financing plan to satisfy debt investors.

Bank of America retained a Buy rating and a $240 target, citing an attractive risk-reward going into results. Morgan Stanley described Oracle as a “good setup” and forecast cloud revenue growth of about 63% from a year earlier.

Financing remains a central concern for investors. Oracle has said maintaining an investment-grade credit rating is a management priority. The company reports about $75 billion in prepaid or customer-supplied hardware tied to large AI contracts, which reduces the cash it needs to raise for those specific sites. Analysts note that a substantial portion of Oracle’s remaining performance obligations comes from a small group of major AI customers, concentrating revenue risk.

Morningstar analyst Luke Yang noted that Astra’s early reception and its ability to perform more complex tasks could increase demand for large-scale computing. Market participants will also watch for updates on Project Jupiter, Oracle’s major data-center buildout, progress on funding the expansion and any signs of delays that could affect guidance.

Oracle’s Oct. 28 Investor Day is seen as a potential catalyst for further clarity. For now, this week’s quarterly report will be a direct test of whether recent analyst optimism and OpenAI developments coincide with measurable results for the company.