Latest news with #cloudComputing
Globe and Mail
11 hours ago
- Business
- Globe and Mail
Why Oracle Stock Zoomed Nearly 13% Higher This Week
Key Points It provided a somewhat offbeat yet compelling business update. It's also reportedly doing a sizable deal with a top name in artificial intelligence. Over the past few days, many investors gazed into the future of database king Oracle (NYSE: ORCL) and liked what they saw. On the back of positive remarks from the company's CEO and bolstered by an apparent deal with a major artificial intelligence (AI) developer, the stock's price resolutely headed north. According to data compiled by S&P Global Market Intelligence, it rose by just under 13% during the week. Two hot business segments Oracle's fine week kicked off on Monday, when the company provided an update about an important business segment. Somewhat oddly, this was done with a regulatory filing framed by a quote attributed to CEO Safra Catz. According to the company, in a planned meeting with colleagues later that day, she was to say: "Oracle is off to a strong start in fiscal year 2026. Our MultiCloud database revenue continues to grow at over 100%, and we signed multiple large cloud services agreements including one that is expected to contribute more than $30 billion in annual revenue starting in fiscal year 2028." Oracle did not provide more details, either in the regulatory filing or in subsequent communications. Several days later, a report published in Bloomberg said that OpenAI -- the developer of ChatGPT -- agreed to lease significant space in Oracle data centers. The financial news agency cited unnamed "people familiar with the work," as saying that OpenAI aims to rent additional capacity of roughly 4.5 gigawatts of data center power in this country. The move is aimed at further advancing the Stargate Project, the AI partnership of Oracle, OpenAI, and tech investment enterprises SoftBank and MGX. Cloudy days in the summer With the rather vague, two-sentence update from Catz we can't make a highly educated guess as to how MultiCloud's wins will affect the company. That said, the stated growth rate for the business and the news about the latest contracts sounds as if it's firing on all cylinders. And although the OpenAI report is so far unconfirmed by Oracle, it also sounds like a potential money-spinner for the company. Should you invest $1,000 in Oracle right now? Before you buy stock in Oracle, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Oracle wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $699,558!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $976,677!* Now, it's worth noting Stock Advisor 's total average return is1,060% — a market-crushing outperformance compared to180%for the S&P 500. Don't miss out on the latest top 10 list, available when you join Stock Advisor. See the 10 stocks » *Stock Advisor returns as of June 30, 2025
Yahoo
a day ago
- Business
- Yahoo
Undervalued and Profitable: This Artificial Intelligence (AI) Stock Has Soared 73% in 2025, and It Could Still Jump Higher
The booming demand for data center storage has supercharged Seagate Technology's growth in recent quarters, leading to tremendous upside for the stock. Seagate is trading at a discount to the broader market right now, and that could pave the way for attractive returns over the next several years. 10 stocks we like better than Seagate Technology Plc › Storage solutions provider Seagate Technology (NASDAQ: STX) has registered an outstanding rally on the stock market in 2025, rising an incredible 73% year to date and beating the Nasdaq Composite index's 7% return by a massive margin. This impressive performance can be attributed to robust growth in the demand for storage in data centers running artificial intelligence (AI) workloads. Let's dig into how AI is fueling Seagate's growth and see how it could pave the way for more upside in this technology stock. Seagate Technology's revenue in the first nine months of its fiscal 2025 increased almost 43% year over year to $6.65 billion. Even better, the company's non-GAAP (adjusted) income from operations has jumped more than fourfold during this period, thanks to higher margins. Management attributes this fantastic growth to the healthy demand for mass capacity storage in the cloud, which has created a tight supply environment and led to an increase in prices. Management remarked on the company's April earnings call that the growing storage demand "aligns with the cloud capex investment cycle and ongoing build-out of data center infrastructure to support AI transformations." Specifically, 90% of the storage in large-scale data centers is done with hard drives because of their cost efficiency and scalability. With the storage requirement in data centers expected to more than double between 2024 and 2028, Seagate estimates this could push annual revenue for the data center storage market to $23 billion by 2028, up from $13 billion last year. Seagate is in a solid position to make the most of this growth opportunity considering its 40% share of the global storage market. Not surprisingly, Seagate's outlook for the recently concluded fiscal fourth quarter was an impressive one. The company guided for $2.4 billion in revenue at the midpoint of its range, along with $2.40 per share in earnings. The top-line guidance is good for a 27% year-over-year increase, while earnings are on track to more than double from the prior-year period's reading of $1.05 per share. For the full fiscal year, Seagate could grow revenue 38%, while its adjusted earnings will jump more than sixfold to $7.91 per share. Importantly, the company should be able to sustain this momentum, thanks to the tailwinds discussed above, and that sets the stage for strong returns. The potential earnings growth combined with Seagate's incredibly attractive valuation makes the stock a no-brainer buy. It is now trading at just 21 times trailing earnings and 16 times forward earnings estimates. The Nasdaq 100 index, meanwhile, has an average forward earnings multiple of 29, which means the stock trades at a significant discount to the tech sector overall. Investors looking for a fast-growing AI stock that's also reasonably priced would do well to buy Seagate before it flies higher. Before you buy stock in Seagate Technology Plc, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Seagate Technology Plc wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $699,558!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $976,677!* Now, it's worth noting Stock Advisor's total average return is 1,060% — a market-crushing outperformance compared to 180% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 30, 2025 Harsh Chauhan has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Undervalued and Profitable: This Artificial Intelligence (AI) Stock Has Soared 73% in 2025, and It Could Still Jump Higher was originally published by The Motley Fool Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
3 days ago
- Business
- Yahoo
Why Oracle Stock Zoomed Nearly 13% Higher This Week
It provided a somewhat offbeat yet compelling business update. It's also reportedly doing a sizable deal with a top name in artificial intelligence. 10 stocks we like better than Oracle › Over the past few days, many investors gazed into the future of database king Oracle (NYSE: ORCL) and liked what they saw. On the back of positive remarks from the company's CEO and bolstered by an apparent deal with a major artificial intelligence (AI) developer, the stock's price resolutely headed north. According to data compiled by S&P Global Market Intelligence, it rose by just under 13% during the week. Oracle's fine week kicked off on Monday, when the company provided an update about an important business segment. Somewhat oddly, this was done with a regulatory filing framed by a quote attributed to CEO Safra Catz. According to the company, in a planned meeting with colleagues later that day, she was to say: "Oracle is off to a strong start in fiscal year 2026. Our MultiCloud database revenue continues to grow at over 100%, and we signed multiple large cloud services agreements including one that is expected to contribute more than $30 billion in annual revenue starting in fiscal year 2028." Oracle did not provide more details, either in the regulatory filing or in subsequent communications. Several days later, a report published in Bloomberg said that OpenAI -- the developer of ChatGPT -- agreed to lease significant space in Oracle data centers. The financial news agency cited unnamed "people familiar with the work," as saying that OpenAI aims to rent additional capacity of roughly 4.5 gigawatts of data center power in this country. The move is aimed at further advancing the Stargate Project, the AI partnership of Oracle, OpenAI, and tech investment enterprises SoftBank and MGX. With the rather vague, two-sentence update from Catz we can't make a highly educated guess as to how MultiCloud's wins will affect the company. That said, the stated growth rate for the business and the news about the latest contracts sounds as if it's firing on all cylinders. And although the OpenAI report is so far unconfirmed by Oracle, it also sounds like a potential money-spinner for the company. Before you buy stock in Oracle, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and Oracle wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $699,558!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $976,677!* Now, it's worth noting Stock Advisor's total average return is 1,060% — a market-crushing outperformance compared to 180% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 30, 2025 Eric Volkman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Oracle. The Motley Fool has a disclosure policy. Why Oracle Stock Zoomed Nearly 13% Higher This Week was originally published by The Motley Fool 登入存取你的投資組合
Yahoo
5 days ago
- Business
- Yahoo
Microsoft to Cut 4% of Workforce as AI Spending Pressures Margins
Microsoft (MSFT, Financials) plans to eliminate nearly 4% of its global workforce, the company confirmed Wednesday, as it continues to prioritize heavy investment in artificial intelligence infrastructure while trimming costs. Warning! GuruFocus has detected 6 Warning Sign with MSFT. The move follows earlier layoffs in May that affected 6,000 employees. The new round of cuts is expected to impact several divisions, including sales and gaming. Bloomberg reported that Microsoft's King division in Barcelonaknown for Candy Crushis cutting 200 jobs, or about 10% of its staff. The tech giant, which employed around 228,000 people globally as of June 2024, is attempting to streamline operations as it ramps up capital spending. Microsoft has earmarked $80 billion for fiscal year 2025, much of it aimed at scaling its AI and cloud computing capabilities. However, those bets are putting pressure on margins. Analysts expect Microsoft's cloud margin to shrink in the June quarter compared to the same period last year. The company said the layoffs will help flatten organizational layers, reduce management complexity and simplify product and process workflows. Microsoft isn't alone. Meta (META, Financials), Alphabet's Google (GOOGL, Financials) and Amazon (AMZN, Financials) have all made job cuts in recent months as tech firms adjust to economic headwinds and rising infrastructure costs. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
6 days ago
- Business
- Yahoo
Empyrion Digital celebrates grand opening of KR1 Gangnam Data Centre
SEOUL, South Korea and SINGAPORE, July 2, 2025 /PRNewswire/ -- Empyrion Digital, a leading digital infrastructure platform in Asia, today announced the grand opening of its KR1 Gangnam Data Centre (KR1 GDC), a 29.4MW IT load facility located in the heart of Gangnam, Seoul's technology and innovation district. The ceremony was attended by H.E. Eric Teo, Ambassador of the Republic of Singapore to the Republic of Korea; Youngjun Jung, Vice Mayor of Seocho-gu Office, and other key business leaders in South Korea. The KR1 GDC launch marks a significant milestone for Empyrion as its second operational asset in Asia, following the successful acquisition of SG1 Dodid in Singapore in 2021. Situated at 224 Yangjae-dong in Seocho-gu, KR1 GDC spans 30,714 square metres and marks the first new data centre development in Seoul's Gangnam district in over 10 years. Strategically located near leading technology firms and Fortune 500 headquarters, the facility provides diverse connectivity and is purpose-built to support hyperscaler and enterprise customers requiring low latency and high-density infrastructure for AI and cloud computing needs. Leveraging advanced cooling technologies and green by design principles, KR1 GDC is designed to maximise energy and water usage efficiencies and contribute to environmental sustainability. "KR1 GDC is launched at a time when demand for high-quality, power-secured facilities in the Seoul metropolitan area far exceeds supply," said Mark Fong, CEO of Empyrion Digital. "With South Korea advancing its goal to become a global AI powerhouse, KR1 GDC reflects Empyrion Digital's foresight and execution in addressing this infrastructure gap. We are confident that KR1 GDC will serve the needs of South Korea and deliver long-term value for our customers and partners across Asia." H.E. Eric Teo, Ambassador of the Republic of Singapore to the Republic of Korea said: "The launch of the GDC comes at a time when Korea is growing its ambitions in AI and digital technology under the new Lee Jae-myung government. The GDC is well positioned to support the growing infrastructure demands of Korea's AI economy and contribute to building a robust and resilience data centre ecosystem. The GDC opening represents a celebration of shared vision, close collaboration and the strengthening digital partnership between our two like-minded countries". H.E. Hong Jin-wook, Ambassador of the Republic of Korea to Singapore said: "I would like to extend my heartfelt congratulations to Seraya Partners and Empyrion Digital on the opening of the Gangnam Data Centre today. Data centres are critical infrastructure that directly support the business activities and the everyday lives of our citizens. I would also like to congratulate the Seocho-gu office and its residents on attracting this important facility." James Chern, Managing Partner and Chief Investment Officer of Seraya Partners said: "The opening of Empyrion Digital's Gangnam Data Centre is a strong affirmation of Seraya's strategy to build and scale next-generation digital infrastructure across Asia. The unwavering support of our global investors has been instrumental in bringing this project to life. Their continued confidence reinforces our belief that platforms built for AI, sustainability, and regional connectivity will define the future of infrastructure investing." About Empyrion Digital Empyrion Digital is a next-generation digital infrastructure platform committed to sustainability and the highest standards of responsible operating performance. Green by design, we develop and operate robust, scalable and carrier-neutral data centres for hyperscale and enterprise customers across Asia. Headquartered in Singapore, Empyrion Digital is a portfolio company of Seraya Partners, a leading Asia infrastructure fund with USD 1.8 billion of assets under management. For more information, visit View original content to download multimedia: SOURCE Empyrion Digital
