top of page
Search

Oracle: Still one of the most attractive large caps

  • Writer: Abacus Research
    Abacus Research
  • Jul 7, 2025
  • 1 min read

Oracle is entering a new phase of AI driven growth after a decade of low-single-digit revenue expansion. Plus there is a data layer investment cycle that started a few quarters ago as evidenced by Snowflake's results. The two 'updates' that ORCL gave in June 2025 were very bullish for the business.


  • We initially wrote up ORCL in Nov 2023, we think the success of OCI has now been cemented in place, it is just a question of execution and end market demand, which remains > supply.

  • We expect ORCL to deliver between ~20% and 27% EPS CAGR for the next 4 years.

  • We think ORCL will earn ~$15.50 in 2029 under a success scenario

  • Although the stock has seen some multiple expansion, we believe this likely ‘success’ is not fully appreciated by the market.


Potential Upside:     $400 (+70%) over 3 years

Sensible Downside: $180(-24%)

Harsh Downside:     $140



 
 
 

Recent Posts

See All
SEDG, ENPH, NVTS: Plays on 800V

Everybody knows about the 800V conversion that is coming. NVDA etc have released the specs. There are many parts to that ecosystem change. Most of them are not ‘free options’ whereas SEDG and ENPH mos

 
 
 
Axon:

Axon is shifting from selling individual tools to providing an interconnected ecosystem. Hardware like TASERs and cameras now act as "data generators" that feed directly into high-margin software modu

 
 
 
C.H. Robinson

CHRW has been going through significant change, They are retaking market share. The new CEO has transformed the company by bringing in a lean / AI, that has helped CHRW to grow earnings despite strugg

 
 
 

Comments

bottom of page