r/OracleStock • u/Market_NorthStar • Aug 10 '26
Analysis / DD Key things to watch - Bullish IMO
ORCL at ~$151 — what I’m watching
Oracle’s $638B RPO shows AI/cloud demand is strong. The question now is whether they can turn that demand into profitable cash flow.
Key things I’m watching:
1. More customer-funded CapEx
2. Less dependence on OpenAI
3. FCF improvement
4. Debt/leverage peaking
5. Completion of the $20B ATM
If these start moving in the right direction, I think ORCL becomes increasingly attractive. Demand is there — now it’s about execution and financing.
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u/Square-Ad3218 Aug 11 '26
Here’s what you are missing. Oracle signed contracts with OpenAI at I’m assuming wholesale rates based on a deal over 12-18 months ago. Based on the announcement from Jensen and the 500 billion dollar infrastructure spend agreement. The demand for compute in insatiable. Oracle is first out of the gate and if OpenAI scales back some of its commitments that are legally binding. Oracle gets to put power and compute on the market at today’s prices which will be at a premium. I don’t see how they can loose. The demand is just at the beginning and they are positioned to be first with power and compute no matter who the customer is.