Oracle sparks bubble talk with stock price in dot-com territory
The stock is now trading around the highest price-to-estimated earnings since the dot-com era at 43 times, making Oracle more expensive than eight of the nine most valuable companies in the S&P 500
For anyone concerned that artificial intelligence is fueling a bubble in technology stocks, Oracle Corp has entered the conversation.
Shares of the database software company have soared more than 80% this year, the seventh-best performance in the S&P 500 Index, as scorching demand for AI computing turbocharges its revenue growth. The latest leg of the rally came after Oracle projected revenue in its cloud-computing business will jump 700% in the next three fiscal years, sending the stock up 36% on Sept 10.
Oracle also has…
