Yahoo Finance Oracle's (ORCL) Expanding Partner Base to Boost Cloud Revenues
Oracle ORCL has expanded its partner base by collaborating with key companies like Microsoft MSFT and Alphabet GOOGL. These key partnerships are expected to boost the company’s cloud services and license revenues in the upcoming quarters.
The Zacks Consensus Estimate for ORCL’s fiscal 2024 cloud services and license revenues is pegged at $47.81 billion, indicating year-over-year growth of 35.4%. The Zacks Consensus Estimate for 2024 earnings is pegged at $5.58 per share, indicating year-over-year growth of 8.98%.
.
Oracle, Microsoft and OpenAI have collaborated to extend the Microsoft Azure AI platform to Oracle Cloud Infrastructure (“OCI”), enhancing the capacity for OpenAI’s services. This partnership will support the development and deployment of advanced AI models across various industries.
OCI’s AI capabilities are designed to accelerate the building and training of models for startups and enterprises. For large language model training, OCI Supercluster can scale to 64,000 NVIDIA Blackwell GPUs or GB200 Grace Blackwell Superchips, which are interconnected by ultra-low-latency RDMA networking and supported by high-performance computing storage.
Oracle has partnered with Google Cloud to allow customers to combine OCI and the latter’s technologies, facilitating accelerated application migrations and modernization. Initially available in 11 global regions, Google Cloud's Cross-Cloud Interconnect enables customers to deploy workloads without cross-cloud data transfer charges.
Oracle Database@Google Cloud will be introduced later this year, offering the highest level of Oracle database and network performance, along with feature and pricing parity with OCI. This partnership aims to benefit enterprises across various industries by providing flexible migration options, simplified purchasing and a unified customer experience.
Oracle Corporation Price and Consensus
Oracle Corporation price-consensus-chart | Oracle Corporation Quote
Oracle’s New Capabilities to Aid Near-Term Prospects
Building on the recent partnerships with Microsoft and Google, ORCL has also introduced new capabilities in a number of products to offer advanced solutions to its customers. These capabilities are expected to aid the near-term prospects of the company.
ORCL recently introduced an AI-powered upskilling solution within Oracle Grow, part of the Oracle ME platform in Oracle Fusion Cloud HCM, which is designed to support employee development and enhance organizational agility. The solution integrates the Oracle Dynamic Skills Platform for a unified skills infrastructure, helping leaders and HR teams track development, identify skill gaps and optimize workforce investments.
Oracle also announced new capabilities in its Clinical One Randomization and Trial Supply Management platform to support the complexities of global clinical trials. These enhancements aim to improve speed, reliability and transparency from trial commencement to closeout by addressing dynamic and country-specific regulations.
Oracle Fusion Cloud ERP, utilizing ORCL's Enterprise Performance Management, enhances financial and operational planning with predictive features and simplified financial reporting. The Oracle Fusion Applications Suite promotes continuous innovation by integrating multiple functions into a single cloud platform, effectively breaking down organizational silos and improving healthcare delivery.
Shares of the company have gained 17.5% year to date compared with the Zacks Computer and Technology sector’s growth of 6.7%. This outperformance can be attributed to the expanding capabilities of the company.
Oracle's expanding capabilities have attracted significant customers like Nomura Research Institute NRILY and Nordic Service Partners (“NSP”). NRILY has implemented Oracle Alloy in its data centers to accelerate and secure cloud migration for its customers, offering access to more than 100 OCI services, including advanced AI capabilities, while supporting financial governance and digital sovereignty. NSP is utilizing Oracle Simphony Cloud Point of Sale to support its growth and streamline operations across 19 KFC franchise locations by unifying inventory and sales data on a single platform.
Oracle carries a Zacks Rank #4 (Sell).
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Microsoft Corporation (MSFT) : Free Stock Analysis Report
Oracle Corporation (ORCL) : Free Stock Analysis Report
Alphabet Inc. (GOOGL) : Free Stock Analysis Report
Nomura Research Institute (NRILY) : Free Stock Analysis Report
