OpenAI, SoftBank (SFTBY) and Oracle (ORCL) announced a major OpenAI data center infrastructure investment, called Stargate, with an initial $100B investment, scaling to up to $500B, which has material implications for the “AI trade,” UBS analyst Karl Keirstead tells investors. The firm sees a possibility that Microsoft (MSFT) is intentionally taking a back seat and thinks the deal is an incremental positive for Oracle (ORCL). UBS has a Buy rating and $210 price target on Oracle shares.
Invest with Confidence:
- Follow TipRanks' Top Wall Street Analysts to uncover their success rate and average return.
- Join thousands of data-driven investors – Build your Smart Portfolio for personalized insights.
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
Read More on ORCL:
- Stargate ‘not a material negative’ for Microsoft, positive for Oracle, says BofA
- Stargate JV could compete with AWS for AI workloads, says BofA
- President Trump open to Musk, Ellison purchasing TikTok, Bloomberg says
- Trump Launches Monumental $100B “Stargate” AI Venture with Tech Titans
- Project Stargate potentially adds growth runway for Nvidia beyond 2026, says UBS