ORCL jumps 11% premarket as earnings challenge 'SaaS apocalypse' fears

Oracle (ORCL) stock rose 11% in premarket trading following better-than-expected financial results that countered concerns about a potential "SaaS apocalypse" and the company's recent debt issuance. Revenue grew 18% to $17.19 billion, with cloud revenue up 41% and cloud infrastructure sales increasing by 81%, signaling robust demand fueled by artificial intelligence. During the earnings call, executives argued that generative AI is being embedded into existing critical systems rather than replacing traditional software vendors. The results also calmed worries regarding Oracle's balance sheet following its plan to raise up to $50 billion for AI infrastructure, noting that $30 billion has already been secured via oversubscribed bond and preferred stock offerings. Oracle's gains positively impacted the iShares Expanded Tech-Software Sector ETF (IGV), while the stock's movement contrasted with a slight dip in bitcoin ahead of U.S. CPI data.

(Source：CoinDesk)