2 Cloud Stocks Betting Big on Artificial Intelligence
The heavy-duty computation required to train the most advanced artificial intelligence (AI) models and deliver those models as services is mostly being done in cloud data centers. Cloud giants like Amazon Web Services, Alphabet's Google Cloud, and Microsoft Azure are ramping up their AI offerings, and in some cases, designing their own AI chips.
While the cloud giants will win plenty of AI workloads, smaller players are having success, as well. Oracle (NYSE: ORCL) disappointed investors this week with its quarterly report but is bringing generative AI workloads onto its cloud platform at a blistering rate. And DigitalOcean (NYSE: DOCN), which is going through a management upheaval, should play well with developers looking for simplicity with its recent AI acquisition
While Oracle's cloud infrastructure business is still dwarfed by the biggest players, the company is clearly gaining traction. Infrastructure-as-a-service revenue rose 66% year over year to $1.5 billion in Oracle's first quarter, which ended Aug. 31. The growth rate has slowed a bit, but Oracle is still growing faster than its competitors.
Source Fool.com
Oracle Corp. Stock
The stock is an absolute favorite of our community with 41 Buy predictions and no Sell predictions.
With a target price of 140 € there is a slightly positive potential of 9.48% for Oracle Corp. compared to the current price of 127.88 €.
