10 Buzzing AI Stocks on Latest News and Ratings

4. Oracle Corporation (NYSE:ORCL)

Number of Hedge Fund Holders: 91

Oracle Corporation (NYSE:ORCL) is a database management and cloud service provider. It hosts immense data that AI applications need to process. On Wednesday, December 18, the Evercore team led by Kirk Materne declared Oracle Corporation (NYSE:ORCL) as their top pick heading into 2025. The analysts believe that the risk/reward continues to look attractive for Oracle, especially after the recent post-earnings pullback. The company posted its fiscal Q2 earnings result on December 9, which missed expectations.

Its AI story has lifted its stock 80% this year, and even when the company boasted “record level AI demand driving Oracle Cloud Infrastructure revenue up 52% in Q2”, cloud infrastructure revenue was what the typical analyst had expected. Intense competition in the cloud services sector, challenges in converting strong demand into revenues and growth, and currency headwinds have led to results that are below expectations. Nevertheless, the analyst anticipates Oracle’s cloud infrastructure business to maintain a sales growth rate of more than 50%, aided by AI. Moreover, he also anticipates that the demand for Oracle’s cloud-based apps will accelerate.