Overview
- Bank of America, which reinstated coverage Tuesday, set a $200 price target that points to about 30% upside from recent trading around the mid‑$150s.
- Oracle’s March quarter delivered $17.2 billion in revenue, with cloud sales up 44% and cloud infrastructure up 84%, as multicloud database revenue surged 531% year over year.
- The order book rose to $553 billion, which is contracted future work that requires new data‑center capacity before Oracle can record it as revenue.
- Bank of America projects about $50 billion of capital spending in fiscal 2026 and negative free cash flow for several years, and Oracle raised $30 billion in oversubscribed bonds to fund the buildout.
- Views remain split, with Bank of America’s $200 target below a roughly $250–$265 Street consensus and Argus trimming its target to $225 on concerns over how fast the backlog converts.