Oracle shares surged approximately 10-11% on February 9, 2026. D.A. Davidson analyst Gil Luria upgraded the stock to Buy from Neutral, citing oversold conditions. Luria values the core software business at 18x earnings and views Oracle Cloud Infrastructure (OCI) as pure upside.
Major financial catalysts are supporting the upgrade. OpenAI expects to complete a $40-100 billion capital raise by the end of the quarter. This move is expected to lift a significant overhang from Oracle's stock. Additionally, Oracle announced its own $45-50 billion fundraising plan last week.
Strategic assets continue to drive growth. Oracle holds a 15% stake in TikTok's U.S. joint venture. This stake is valued between $5-9 billion and generates approximately $1 billion in annual OCI revenue. The company currently reports $523 billion in Remaining Performance Obligations. OCI revenue grew 66% as data center capacity converts to revenue.