Since the beginning of 2024, Oracle's stock price has risen nearly 50%, second only to NVIDIA among AI concept stocks, becoming the second biggest winner of AI concept stocks after NVIDIA. Oracle's financial report has undoubtedly been the biggest driving force behind the recent surge in stock price. After the company announced its fiscal first quarter results ending in August for the 2025 fiscal year on Monday, its stock price soared 11.4% on the first trading day after the announcement, leading to a comprehensive rebound in the chip and cloud computing sector. As of Thursday's close, it was still up 2.67%. Although the upward momentum has slowed significantly compared to Tuesday, it has reached a new closing high for the third consecutive day.
Why did Oracle's stock price soar?
The recent sharp rise in Oracle's stock price is not only due to long-term accumulation but also to key catalytic factors.
Cloud business has rapidly emerged as a new growth engine.
In the past few years, Oracle's market performance has been stagnant, mainly because it missed the early development opportunities of cloud computing. In the early stages of cloud computing, Amazon AWS, Microsoft Azure, and Google Cloud quickly dominated the market, while Oracle's transformation was slow. This led to its stock price lagging behind other tech giants.
Although Oracle lagged behind in the early opportunities of cloud computing, the company successfully turned the situation around through strategic adjustments and large-scale investments, gradually becoming one of the important players in the global cloud computing field. Especially in the enterprise cloud computing market, Oracle, with its Oracle Cloud Infrastructure...