Oracle Stock Rips As It Announces $30B A Year Cloud Services Deal

Oracle stock surged nearly 8% in Monday morning trade after the company revealed in a filing that it secured a cloud services deal that would bring in revenue of up to $30 billion a year, starting in fiscal 2028.

Oracle’s shares pared some of those gains at the time of writing, but were still up nearly 5%. However, retail sentiment around the Oracle stock has been in the ‘bearish’ territory over the past week.

In a filing with the U.S. Securities and Exchange Commission (SEC), the Austin, Texas-headquartered company revealed the contract details but stopped short of naming the customer.

It also added that the revenue from Oracle database services is growing at more than 100%, and that the company signed multiple large cloud services agreements.

Oracle CEO Safra Catz is scheduled to meet her colleagues later in the day and inform them that the company is off to a “strong start” in the fiscal year 2026.

Over the past few years, Oracle has strengthened its market share in the cloud services business by leasing its computing power. This has received a boost due to the growing interest in artificial intelligence and startups trying to lease computing resources, usually on Nvidia Corp.-powered hardware.

Earlier this year, Oracle announced a joint venture in partnership with OpenAI, SoftBank, and MGX. The Stargate project entails an investment of $500 billion over four years, with $100 billion to be deployed immediately.

Oracle stock has rallied more than 32% year-to-date and nearly 54% in the past 12 months.

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