Oracle Reports on June 10, and Its Cloud Backlog Could Be the Next Big Test for the AI Infrastructure Trade
The cloud company's backlog has become a key gauge of AI demand.
Oracle Reports on June 10, and Its Cloud Backlog Could Be the Next Big Test for the AI Infrastructure Trade
Overview
Cloud and database company Oracle (NYSE: ORCL) reports fiscal fourth-quarter results -- covering the period ended May 31 -- after the market close on Wednesday, June 10. And the revenue and earnings headlines may not be what moves the stock. The figure investors will arguably zero in on is Oracle's remaining performance obligations (RPO), or the dollar value of signed contracts not yet recognized as revenue, which has become one of the clearest gauges of how much demand there really is for AI computing.
Even more, this report is timely. AI and chip stocks have sold off over the past week, and Oracle itself slid nearly 10% on June 5. And as of this writing, shares trade near $212 -- well below 52-week highs of more than $345 but up sharply from a low near $150 in February.
Details
It has been a volatile round trip for the stock, and the backlog is a big reason.
Source
Originally published at www.fool.com.
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