Oracle Corporation's cloud business is about to take off, with institutions looking at TAL Education Group Sponsored ADR Class A for its long-term high-speed growth.

Wall Street's renowned investment firm Bernstein believes that Oracle Corporation's cloud computing business is in the early stages of takeoff and will experience a high-speed growth cycle in the coming years. The firm's analyst Mark Moerdler reiterated a "outperformance" rating for Oracle Corporation stock on Tuesday and raised the target price from $269 to $308, highlighting strong confidence in the company's long-term prospects. As of Tuesday's close, Oracle Corporation's stock price rose by 1.24% to $255.67, with a year-to-date gain of 55%, well above the 9% increase of the Nasdaq Composite Index for the same period. Moerdler stated in the report, "We expect Oracle Corporation's growth to accelerate in the coming years. The company is in the early stages of a large-scale cloud transformation, and its Oracle Cloud Infrastructure (OCI) is moving towards becoming the world's fourth largest cloud infrastructure service provider." Oracle Corporation is quickly becoming the preferred third-party cloud service provider for leading AI enterprise models, while maintaining a close partnership with AI chip giant NVIDIA Corporation. Company executive Mahesh Thiagarajan revealed to the media at the end of last year that four out of the top five global AI language model developers are using Oracle Corporation's data centers. Moerdler predicts that Oracle Corporation is expected to achieve an annual revenue growth rate of "mid-double digits" (i.e. 13%-17%) over the next 5 to 10 years. While the company's future free cash flow may be limited in the next few years due to short-term investment expenditures, significant improvement is expected in the long term. In addition to Bernstein, the global research department of Bank of America Corp also raised Oracle Corporation's target price from $220 to $295 on Tuesday, while maintaining a "neutral" rating. The firm believes that the strong demand for artificial intelligence infrastructure will continue to benefit Oracle Corporation's cloud services business. It is worth mentioning that in June of this year, Oracle Corporation disclosed in a regulatory filing that CEO Safra Catz stated the company had a "strong start" to the fiscal year and had signed multiple large cloud services agreements. One of the contracts is expected to contribute over $30 billion in annual revenue starting from the 2028 fiscal year, providing strong support for the company's medium to long-term growth.