Oracle Chairman Larry Ellison forecast double-digit revenue growth for the current fiscal year as the software maker he founded in 1977 boosted profits by nearly $19 billion and sent its shares up their biggest gain since 2021.
Ellison owns about 1.15 billion shares of Oracle stock, about 42% of the company’s outstanding stock. Wednesday’s increase in his stake brings his net worth to about $170 billion. ForbesHe became the fifth richest man in the world. Meta CEO Mark Zuckerberg.
Though Ellison has been away from the CEO role for 10 years (he became chief technology officer in 2014), he still leads the company and participates in quarterly earnings calls. His announcement on Tuesday came following the company’s fourth-quarter earnings call. Earnings ReportEllison boasted about Oracle’s construction of data centers that can accommodate the growing demand for generative artificial intelligence.
“We’re literally building everything from the smallest, most portable, most affordable cloud data centers to 200-megawatt data centers that are perfect for training very large language models and keeping them up to date,” Ellison said.
Oracle shares rose 13% on Wednesday to $140.38, their highest price since Dec. 10, 2021. Analysts at Bank of America, Barclays, Bernstein, JPMorgan and UBS raised their 12-month price targets on the stock.
While its quarterly profit and revenue fell short of Wall Street expectations, Oracle said it expects double-digit revenue growth in its new fiscal year, compared with a 6% increase in the fiscal year that ended May 31. Oracle said its database is Google It is a public cloud and OpenAI is available Microsoft Cloud-based AI tools on Oracle’s cloud infrastructure.
Ellison’s Oracle stake is set to grow in the future: Later this year and next, stock options granted to him in 2014 and 2017, when the stock price was much lower, expire.
Ellison is known for his lavish spending. As of 2022, he owns properties in California, Florida, and the Hawaiian island of Lanai. The Wall Street Journal It was reported that he donated Political Campaigns For decades, Sailing Leagueand owner at the Indian Wells Tennis Garden in California.
Ellison, a close friend of Elon Musk, TeslaHe was reportedly planning to help raise funds for a proposed merger between Skydance Media and Paramount Global, whose son, David Ellison, is the founder and CEO of Skydance Media.
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