Fast Money Blog- 6/12/26
What a wild week on Wall Street! I’m sure you’re aware that Elon Musk became the world’s first trillionaire on SpaceX’s (SPCX) first day of trading, but it’s way too soon to know if the stock is worth the hype.
The news I’d like to highlight this week is the release of Oracle’s earnings report.
On Wednesday, June 10th, Oracle, Inc. (ORCL) announced their Q4 2026 earnings. Once again they had record revenue and profit.
Here’s How Their Revenue Broke Down
Oracle’s overall quarterly revenue increased 21% year-over- year, for a total of $19.2 billion.
The company reported $9.9 billion in total cloud revenue, including infrastructure and software as a service, an increase of 47% year-over-year.
Oracle also said it generated $5.8 billion in cloud infrastructure revenue, up 93% year-over-year.
For fiscal year 2026, their total revenue was $67.4 billion, up 17% year-over-year.
FY 2026 Total Cloud revenue was $34.0 billion, up 39% year-over-year.
Total Cloud Infrastructure revenue was $18.1 billion, up 77% year-over-year.
Looking ahead, management pushed up the company’s fiscal 2027 revenue forecast by $1 billion to $90 billion. In addition their Remaining performance obligations (RPOs), a measure of contracts the company has signed, but has yet to deliver on, was at $638 billion.
Unfortunately for Oracle, Wall Street was once again unimpressed with their record revenue and profit. As you probably know, the stock dropped after earnings.
Why the Stock Dropped
Investors continue to be concerned by Oracle’s aggressive capital spending plan. The company announced plans to raise roughly $40 billion through a mix of debt and equity sales to rapidly expand its data centers.
Within the face of all the company’s good news, Wall Street is more wrapped up in their record setting debt, than their record breaking profits.
I expect this stock to stay range bound over the next 3 months.
Stay open and stay disciplined!
Tyrone Jackson
The Wealthy Investor