Earnings Preview | Oracle Q3 earnings report is imminent, and information related to the "Stargate" project will become the market focus

Zhitong
2025.03.10 03:35
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Oracle will announce its Q3 earnings after the US stock market closes on Monday, with expected sales growth of 8% year-on-year to $14.4 billion and adjusted earnings per share growth of 6% year-on-year to $1.49. Analysts point out that information regarding the "Stargate" project during the earnings call may become a market focus. UBS and Jefferies analysts both maintain a "Buy" rating on Oracle, with target prices of $210 and $220, respectively. This project is the largest AI infrastructure investment plan in history, with an initial investment of $100 billion, increasing to $500 billion over the next four years

According to Zhitong Finance APP, Oracle (ORCL.US) will announce its third-quarter earnings after the U.S. stock market closes on Monday. The market currently generally expects Oracle's Q3 sales to grow by 8% year-on-year to $14.4 billion, and adjusted earnings per share to increase by 6% year-on-year to $1.49.

Investors will closely monitor Oracle's sales growth and any comments the company may make regarding its AI infrastructure project named "Stargate." Analysts have stated that information about the "Stargate" project during Oracle's earnings call "could overshadow everything else."

UBS analysts maintain a "Buy" rating on Oracle with a target price of $210, stating they will focus on the company's comments regarding "Stargate." Jefferies analysts also noted that market sentiment has gradually become positive since the announcement of the "Stargate" project on January 21, reiterating a target price of $220 for Oracle.

In January of this year, OpenAI, SoftBank Group, and Oracle announced an infrastructure investment plan called "Stargate" at an event at the White House. The three companies initially planned to invest $100 billion into "Stargate," increasing to $500 billion over the next four years. The project will start from a data center in Texas, USA.

Former President Trump stated that the "Stargate" project will build physical and virtual infrastructure to power the next generation of AI, including data centers across the country. Trump also mentioned that the project is the largest AI infrastructure project in history

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