Oracle is a coiled spring on OpenAI
The bull case argued for Oracle is that the stock has been excessively discounted due to market skepticism over OpenAI's creditworthiness, creating an attractive entry point.
The argument
The guest argued that OpenAI's massive fundraising rounds and potential IPO ensure it will have the capital to fulfill its contracts, allowing substantial earnings to flow through to Oracle.
The thesis, stress-tested
✓ What validates it
- ✓OpenAI successfully completing its next major funding round or IPO
- ✓Oracle reporting strong cloud systems revenue directly tied to AI workloads
▸ Risks discussed
- ▸Any disruption or delay in OpenAI's fundraising or IPO plans
- ▸Intense competition in the cloud infrastructure space from larger hyperscalers
Hear it yourself
"And with the contracts and the fundraising that OpenAI is doing, there's enough here that earnings should flow through to Oracle. So you like it right here? I do. Alright."
00:00 / 00:10
AFFILIATE LINK · ZORTIX MAY EARN A COMMISSION · NEVER A RECOMMENDATION TO TRADE