$30 billion cloud deal boosts Oracle's stock price, showing strong growth potential

Oracle recently signed a $30 billion cloud deal, showcasing its unique and flexible cloud infrastructure service. The company’s stock price may seem high, but momentum in the cloud business and future growth potential justify a premium. Oracle’s stock has outperformed the Magnificent Seven tech giants, with a 42% gain in 2025.

The emergence of AI as a major market trend has led to a group of tech companies, including Oracle, gaining favor among investors. As AI infrastructure spending is expected to grow significantly, Oracle’s cloud infrastructure services are positioned to benefit. With a high forward P/E multiple, Oracle’s stock price is reflecting its growth potential.

Oracle’s new $30 billion cloud deal signals a transformative shift in the database management industry. The customer for this deal has not been disclosed, but potential candidates include OpenAI and G42. The partnership with these AI-focused companies aligns with Oracle’s strategy to capitalize on the growing demand for infrastructure services.

While considering investing in Oracle, it’s important to note that the company was not among the top 10 stocks recommended by The Motley Fool Stock Advisor team. However, Oracle’s focus on cloud infrastructure services and new deals make it an intriguing opportunity. With AI infrastructure spending projected to increase significantly, Oracle’s long-term growth prospects remain strong.

Read more at Nasdaq: 30 Billion Reasons to Buy Oracle Stock Like There’s No Tomorrow