Shares of OFSS rise over 7 percent after parent Oracle's shares rallied on $0.5 trillion cloud outlook

Shares of Oracle Financial soared over 7 percent in early trade on September 10 after the parent company and NYSE-listed Oracle Corp issued an ambitious outlook for its cloud business, sending its shares to a record high.

Oracle had said on September 9 that it expects booked revenue for the Cloud Infrastructure business to exceed half a trillion dollars on rising demand for low-cost cloud services.

"Over the next few months, we expect to sign-up several additional multi-billion-dollar customers and RPO is likely to exceed half-a-trillion dollars," said CEO Safra Catz. For the September quarter, Oracle sees total revenue to rise to 12-14 percent and sees cloud revenue growth between 32-36 percent. Given the strong demand for AI business tools, Oracle is likely positioning itself to capture the demand, according to some IT analysts.

"We made it very easy for our customers to directly connect all their databases ... to the world's most advanced AI reasoning models — ChatGPT, Gemini, Grok, all of which are uniquely available in the Oracle Cloud," Oracle CEO Catz said during the earnings call.