{"id":230144,"date":"2026-01-12T18:49:09","date_gmt":"2026-01-12T18:49:09","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/230144\/"},"modified":"2026-01-12T18:49:09","modified_gmt":"2026-01-12T18:49:09","slug":"jefferies-400-oracle-orcl-target-reflects-confidence-in-ai-infrastructure","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/230144\/","title":{"rendered":"Jefferies\u2019 $400 Oracle (ORCL) Target Reflects Confidence in AI Infrastructure"},"content":{"rendered":"\n

Oracle Corporation (NYSE:ORCL<\/a>) is among the\u00a0best software infrastructure stocks to buy according to hedge funds<\/a>. On January 5, Jefferies reaffirmed its Buy rating and $400 price target on the stock and named it one of its top picks, citing multiple factors, including its long-term positioning in the AI infrastructure space.<\/p>\n

While there have been concerns about the debt Oracle Corporation (NYSE:ORCL) has been piling up to fund its AI-related expansion plans, the analyst believes that the company\u2019s investment case rests on accelerating its data center buildout to meet surging AI compute demand. He also believes that it is critical for the company to execute this strategy to convert its more than $523 billion backlog into revenue in a timely manner. If Oracle delivers on its strategy as planned, it could solidify its position as a core infrastructure provider for AI workloads across hybrid and multi-cloud environments.<\/p>\n

\"\" <\/p>\n

Jefferies also views Oracle Corporation\u2019s (NYSE:ORCL) valuation as compelling after the substantial pullback in Oracle shares over the past three months. The firm believes Oracle should command a higher valuation and derived a $400 price target based on a 19x EV\/FY 2030 EPS estimate of $21. With Oracle\u2019s current valuation multiple of 16x EV\/CY27 EBIT, the firm sees \u201cfar more upside than downside\u201d.<\/p>\n

On the same day as Jefferies\u2019 rating action, UBS analysts also trimmed their price target on Oracle from $325 to $280. They, however, maintained their Buy rating, as they believe the pullback in share price has already factored in many concerns, including financing and credit risks.<\/p>\n

Oracle Corporation (NYSE:ORCL) offers an extensive suite of database and cloud computing software and hardware. The Company offers databases and relational servers, application development and decision support tools, as well as enterprise business applications.<\/p>\n

While we acknowledge the potential of ORCL as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you\u2019re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock<\/a>.<\/p>\n

READ NEXT:\u00a07 Spin-Off Companies in 2025<\/a>\u00a0and\u00a011 Best Stocks You\u2019ll Wish You Bought Sooner<\/a>.<\/p>\n

Disclosure: None. This article is originally published at Insider Monkey<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"Oracle Corporation (NYSE:ORCL) is among the\u00a0best software infrastructure stocks to buy according to hedge funds. On January 5,…\n","protected":false},"author":2,"featured_media":230145,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[365,137059,15326,363,364,132461,111,139,69,20430,14894,145],"class_list":["post-230144","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-ai-infrastructure-space","tag-ai-stock","tag-artificial-intelligence","tag-artificialintelligence","tag-jefferies","tag-new-zealand","tag-newzealand","tag-nz","tag-oracle-corporation","tag-price-target","tag-technology"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/230144","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=230144"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/230144\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/230145"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=230144"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=230144"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=230144"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}