No Result
View All Result
SUBMIT YOUR ARTICLES
  • Login
Tuesday, October 28, 2025
TheAdviserMagazine.com
  • Home
  • Financial Planning
    • Financial Planning
    • Personal Finance
  • Market Research
    • Business
    • Investing
    • Money
    • Economy
    • Markets
    • Stocks
    • Trading
  • 401k Plans
  • College
  • IRS & Taxes
  • Estate Plans
  • Social Security
  • Medicare
  • Legal
  • Home
  • Financial Planning
    • Financial Planning
    • Personal Finance
  • Market Research
    • Business
    • Investing
    • Money
    • Economy
    • Markets
    • Stocks
    • Trading
  • 401k Plans
  • College
  • IRS & Taxes
  • Estate Plans
  • Social Security
  • Medicare
  • Legal
No Result
View All Result
TheAdviserMagazine.com
No Result
View All Result
Home Market Research Business

Oracle’s AI-Powered Sales Growth Threatens Elon Musk’s Reign as World’s Richest Man

by TheAdviserMagazine
2 months ago
in Business
Reading Time: 3 mins read
A A
Oracle’s AI-Powered Sales Growth Threatens Elon Musk’s Reign as World’s Richest Man
Share on FacebookShare on TwitterShare on LInkedIn


Oracle is on an all-time roll — and the prophecy written in its stock price is that founder Larry Ellison may become the wealthiest man on the face of the planet.

The company reported its latest earnings results after the bell on Tuesday, including an astounding projection that revenue from its cloud computing will increase 77% to $18 billion this year and could rise as high as $144 billion annually by 2030, thanks in large part to four multibillion-dollar deals with three different customers. By Wednesday afternoon, The Wall Street Journal reported on one of those marquee deals: a five-year, $300 billion agreement to supply cloud computing power to OpenAI.

READ ALSO: Overenthusiastic or Just Right? The AI Boom’s Goldilocks Question and Starbucks Whips Up Big Bids for Its Chinese Biz

Oracle said its remaining performance obligations (RPOs), the contracted revenue that has not yet been realized, such as the OpenAI deal that the WSJ reported will begin in 2027, are now sitting at $455 billion. That’s up 359% from just a year ago, inspiring quite literal words of awe from Wall Street analysts during the company’s earnings call: Guggenheim’s John DiFucci said he was “blown away,” while Brad Zelnick of Deutsche Bank said, “We’re all kind of in shock, in a very good way.”

In other words, Oracle has become a favorite supplier of picks and shovels amid the artificial intelligence gold rush. And CEO Safra Catz says that’s because it’s different from cloud computing rivals such as Microsoft, Google and Amazon: “Some of our competitors, they like to own buildings … That’s not really our specialty. Our specialty is the unique technology, the unique networking, the storage — just the whole way we put these systems together.”

More importantly, Oracle’s RPO figure is an indication that the AI industry is preparing to spend big to keep the gold rush from going bust anytime soon:

In a June filing, OpenAI revealed it was on track to generate just $10 billion in revenue this year, leagues away from the roughly $60 billion it will be paying Oracle under the deal. Meanwhile, sources told the WSJ earlier this year that OpenAI’s Sam Altman recently informed investors the company won’t be profitable until 2029 (and it’s still sorting out its for-profit structure).

Oracle is similarly putting growth over profit; the company’s debt-to-equity ratio has soared to 427%, with S&P data showing its $21 billion in operating cash flow in the 12 months through August was eclipsed by its $27 billion in capital expenditures.

Story Continues

Margin Call: The AI moment has not only been very good to picks-and-shovels companies like Oracle but also to financiers on Wall Street funding the massive debt splurge. Not everyone is drooling, though. In a note published Wednesday seen by MarketWatch, D.A. Davidson analyst Gil Luria flagged that “at best,” Oracle is running its AI cloud compute services “at single-digit operating margins, if not serving compute at a loss in some instances,” a far cry from the 50% margins of its legacy business. All the same, Oracle’s share price leaped 36% by the close of trading Wednesday, and was sufficiently high during much of the trading day that Ellison’s fortune briefly eclipsed that of Elon Musk, according to Bloomberg. Oracle’s was the only single-day gain greater than 25% for a company worth at least half a trillion dollars, according to Dow Jones data. ​​It’s also good for the company’s best single-day stock performance since 1999 … or right before a certain early digital age bubble started to burst.

This post first appeared on The Daily Upside. To receive delivering razor sharp analysis and perspective on all things finance, economics, and markets, subscribe to our free The Daily Upside newsletter.



Source link

Tags: AIpoweredElongrowthManMusksOraclesreignrichestsalesThreatensWorlds
ShareTweetShare
Previous Post

I’m a Real Estate Writer Who Sold a House in a Buyer’s Market. Here’s What I Learned

Next Post

Requirements for Personal Loan to Ensure Quick Approval

Related Posts

edit post
OrthoPediatrics outlines path to 12% baseline growth and free cash flow breakeven by 2026 amid clinic expansion and strong T&D momentum (NASDAQ:KIDS)

OrthoPediatrics outlines path to 12% baseline growth and free cash flow breakeven by 2026 amid clinic expansion and strong T&D momentum (NASDAQ:KIDS)

by TheAdviserMagazine
October 28, 2025
0

Seeking Alpha's Disclaimer: The earnings call insights are compilations of earnings call transcripts and other content available on the Seeking...

edit post
A major ICE shake-up is reportedly underway affecting at least half of the agency’s top leadership positions

A major ICE shake-up is reportedly underway affecting at least half of the agency’s top leadership positions

by TheAdviserMagazine
October 28, 2025
0

WASHINGTON (AP) — The Trump administration is reassigning at least half the top leadership at Immigration and Customs Enforcement offices...

edit post
Saudi power chair: Tariffs weaken the global energy transition and hurt humanity

Saudi power chair: Tariffs weaken the global energy transition and hurt humanity

by TheAdviserMagazine
October 28, 2025
0

The global energy transition continues to press forward, but tariff wars and the rising politicization of renewable power is hurting...

edit post
Judge extends order barring Trump administration from firing federal workers during shutdown

Judge extends order barring Trump administration from firing federal workers during shutdown

by TheAdviserMagazine
October 28, 2025
0

A federal judge in San Francisco on Tuesday indefinitely barred the Trump administration from firing federal employees during the government...

edit post
Wizz Air uncompromising on demands for Israel hub

Wizz Air uncompromising on demands for Israel hub

by TheAdviserMagazine
October 28, 2025
0

Senior officials from Israel’s Ministry of Transport have traveled to Hungary for intensive talks with top Wizz Air executives...

edit post
Trump says he is prepared to send ‘more than the National Guard’ into US cities

Trump says he is prepared to send ‘more than the National Guard’ into US cities

by TheAdviserMagazine
October 28, 2025
0

President Donald Trump told U.S. troops assembled in Japan on Tuesday that he was prepared to send "more than the...

Next Post
edit post
Requirements for Personal Loan to Ensure Quick Approval

Requirements for Personal Loan to Ensure Quick Approval

edit post
Book Review: Rethinking Investing: A Very Short Guide to Very Long-Term Investing

Book Review: Rethinking Investing: A Very Short Guide to Very Long-Term Investing

  • Trending
  • Comments
  • Latest
edit post
77-year-old popular furniture retailer closes store locations

77-year-old popular furniture retailer closes store locations

October 18, 2025
edit post
Pennsylvania House of Representatives Rejects Update to Child Custody Laws

Pennsylvania House of Representatives Rejects Update to Child Custody Laws

October 7, 2025
edit post
What to Do When a Loved One Dies in North Carolina

What to Do When a Loved One Dies in North Carolina

October 8, 2025
edit post
Another Violent Outburst – Democrats Inciting Civil Unrest

Another Violent Outburst – Democrats Inciting Civil Unrest

October 24, 2025
edit post
Probate vs. Non-Probate Assets: What’s the Difference?

Probate vs. Non-Probate Assets: What’s the Difference?

October 17, 2025
edit post
California Attorney Pleads Guilty For Role In 2M Ponzi Scheme

California Attorney Pleads Guilty For Role In $912M Ponzi Scheme

October 15, 2025
edit post
7 Little-Known Perks of AAA Membership. How Many Are You Missing Out On?

7 Little-Known Perks of AAA Membership. How Many Are You Missing Out On?

0
edit post
OrthoPediatrics outlines path to 12% baseline growth and free cash flow breakeven by 2026 amid clinic expansion and strong T&D momentum (NASDAQ:KIDS)

OrthoPediatrics outlines path to 12% baseline growth and free cash flow breakeven by 2026 amid clinic expansion and strong T&D momentum (NASDAQ:KIDS)

0
edit post
A major ICE shake-up is reportedly underway affecting at least half of the agency’s top leadership positions

A major ICE shake-up is reportedly underway affecting at least half of the agency’s top leadership positions

0
edit post
The 10 Cheapest Dividend Kings Trading Below Fair Value

The 10 Cheapest Dividend Kings Trading Below Fair Value

0
edit post
Ludwig von Mises Did not Promote Hitler’s Racial Ideas

Ludwig von Mises Did not Promote Hitler’s Racial Ideas

0
edit post
Can Solana handle 100M Western Union users sending dollar tokens worldwide?

Can Solana handle 100M Western Union users sending dollar tokens worldwide?

0
edit post
OrthoPediatrics outlines path to 12% baseline growth and free cash flow breakeven by 2026 amid clinic expansion and strong T&D momentum (NASDAQ:KIDS)

OrthoPediatrics outlines path to 12% baseline growth and free cash flow breakeven by 2026 amid clinic expansion and strong T&D momentum (NASDAQ:KIDS)

October 28, 2025
edit post
Most Popular Halloween Candy of 2025: What Trick-Or-Treaters Really Want

Most Popular Halloween Candy of 2025: What Trick-Or-Treaters Really Want

October 28, 2025
edit post
Inside CampusAI’s mission to close the AI training gap for everyday workers — check it out at TechCrunch Disrupt 2025

Inside CampusAI’s mission to close the AI training gap for everyday workers — check it out at TechCrunch Disrupt 2025

October 28, 2025
edit post
Advisors still in ‘collective dabbler’ stage of AI adoption

Advisors still in ‘collective dabbler’ stage of AI adoption

October 28, 2025
edit post
October 7 – October 23, 2025

October 7 – October 23, 2025

October 28, 2025
edit post
Can Solana handle 100M Western Union users sending dollar tokens worldwide?

Can Solana handle 100M Western Union users sending dollar tokens worldwide?

October 28, 2025
The Adviser Magazine

The first and only national digital and print magazine that connects individuals, families, and businesses to Fee-Only financial advisers, accountants, attorneys and college guidance counselors.

CATEGORIES

  • 401k Plans
  • Business
  • College
  • Cryptocurrency
  • Economy
  • Estate Plans
  • Financial Planning
  • Investing
  • IRS & Taxes
  • Legal
  • Market Analysis
  • Markets
  • Medicare
  • Money
  • Personal Finance
  • Social Security
  • Startups
  • Stock Market
  • Trading

LATEST UPDATES

  • OrthoPediatrics outlines path to 12% baseline growth and free cash flow breakeven by 2026 amid clinic expansion and strong T&D momentum (NASDAQ:KIDS)
  • Most Popular Halloween Candy of 2025: What Trick-Or-Treaters Really Want
  • Inside CampusAI’s mission to close the AI training gap for everyday workers — check it out at TechCrunch Disrupt 2025
  • Our Great Privacy Policy
  • Terms of Use, Legal Notices & Disclosures
  • Contact us
  • About Us

© Copyright 2024 All Rights Reserved
See articles for original source and related links to external sites.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Home
  • Financial Planning
    • Financial Planning
    • Personal Finance
  • Market Research
    • Business
    • Investing
    • Money
    • Economy
    • Markets
    • Stocks
    • Trading
  • 401k Plans
  • College
  • IRS & Taxes
  • Estate Plans
  • Social Security
  • Medicare
  • Legal

© Copyright 2024 All Rights Reserved
See articles for original source and related links to external sites.