Oracle Corporation (NYSE: ORCL) is highlighted as a top AI stock by Wells Fargo analysts, with a $280 price target. The company is seen as a major player in AI infrastructure, positioning it for long-term growth.

Analyst Michael Turrin believes Oracle is at the forefront of an AI-driven acceleration, with potential for significant upside. The company is projected to become a market share leader in infrastructure, potentially reaching a scale similar to top hyperscalers by 2029.

Oracle Cloud Infrastructure (OCI) is expected to see significant growth in the next four years, potentially capturing around 16% of the cloud market by 2029. This growth trajectory supports the bullish outlook on Oracle’s AI capabilities.

Wells Fargo’s $280 price target for Oracle is based on a 30x P/E ratio on forward earnings estimates, reflecting the company’s strong positioning in key AI accounts. The potential for major AI infrastructure projects, like OpenAI’s $300B+ compute contract, further supports the optimistic outlook.

While Oracle shows promise as an investment, some analysts believe other AI stocks may offer greater upside potential with lower downside risk. Investors seeking opportunities in the AI sector are encouraged to explore alternative options for potential returns.

Read more at Yahoo Finance: Wells Fargo Initiates Oracle (ORCL) With Overweight, Sees Major AI Upside Ahead