Diamonds and Dogs

9/10/24

Oracle (ORCL) getting in on the AI trade. The software giant is up 11% to a new high following strong earnings and new AI products. Earnings beat by 6 cents as revenues rose 6.9% to $13.31 billion. Oracle is in the process of building 162 cloud datacenters, the largest being a datacenter with 800 megawatts that will contain acres of NVIDIA GPU Clusters for training large scale AI models. BMO Capital and JMP Securities both upgraded the stock with $173 and $175 price targets.

Goldman Sachs (GS) is getting hit by seasonality. Goldman is down 4% after disclosing their trading revenue will be down 10% this quarter. After a strong and volatile summer, September is off to a quiet start as the economy slows and investors sit on their hands awaiting a Fed rate cut and third quarter earnings results in October.