Overview
- Oracle detailed a 2026 financing program totaling $45 billion to $50 billion, combining a $20 billion to $25 billion debt issuance with up to $20 billion of equity.
- Management frames the funding as necessary to expand cloud and data‑center capacity for AI workloads while keeping an investment‑grade profile.
- UBS lowered its price target to $250 from $280 but kept a Buy rating, citing funding clarity as a possible catalyst despite dilution concerns.
- Recent results highlight momentum, with Q2 cloud infrastructure revenue up 66% to $4.1 billion and GPU‑related revenue up 177%.
- Oracle reiterated fiscal guidance that includes $67 billion in FY26 revenue, Q3 cloud growth of 40% to 44%, EPS growth above 20%, and about $4 billion of incremental FY27 revenue expected from backlog conversion.