NEW YORK, May 31, 2026, 16:03 (EDT)
- Oracle closed out Friday at $225.78, gaining 10.84% after the U.S. holiday-shortened week.
- U.S. markets are shut Sunday. The next read on tech sentiment tied to AI comes Monday. AI names are still holding up.
- Oracle’s AI infrastructure costs and the ongoing scrutiny of TikTok data are still the top risks.
Oracle shares jumped 10.84% Friday to finish at $225.78, ending the week strong as traders went after more AI infrastructure names. U.S. markets were shut Monday for Memorial Day, making it a shorter trading week.
Oracle’s rally is notable now as the stock isn’t just trading on its legacy database and business software business anymore. Shares are being watched as a gauge of Wall Street’s faith in the idea that cloud computing power — remote data-center capacity for AI models — is still a money-maker.
Oracle jumped 17.5% this week, going from $192.08 at the May 22 close to $225.78 by Friday’s finish. Most of the gains hit late in the week—shares climbed 6.67% Thursday and tacked on another 10.84% Friday, according to historical prices.
Wall Street’s main indexes closed at record highs Friday. The S&P 500 finished up 1.43% on the week and the Nasdaq added 2.39%. Reuters said the software services index jumped more than 6% as worries faded that AI could hurt software demand instead of helping it.
AI hype is running hot in markets, Ohsung Kwon, chief equity strategist at Wells Fargo, said to Reuters. He pointed to earnings as the main force behind the rally. That’s helping Oracle, even when it doesn’t have much company news out.
Oracle’s March update is key here. The company reported its remaining performance obligations rose to $553 billion in the fiscal third quarter, a jump of 325% from last year. Oracle bumped up its fiscal 2027 revenue outlook to $90 billion, while holding its fiscal 2026 revenue and capex targets at $67 billion and $50 billion.
Jacob Bourne, analyst at eMarketer, said the quarter was a “stress test result for the AI trade.” Oracle co-CEO Clay Magouyrk told investors Oracle Cloud Infrastructure margins should “strengthen and grow rapidly” as it adds more high-margin database work to the AI chip-rental business. Reuters
The field is still tight, but it matters. Oracle is going after AI infrastructure deals against Amazon Web Services and Microsoft Azure. CoreWeave, a cloud player, has become a stand-in for signs of demand from accounts like OpenAI. In April, Reuters said Oracle shares dropped when worries about OpenAI’s growth hit other AI stocks too—another sign of how closely these trades track each other.
TikTok’s U.S. joint venture and Oracle are facing new questions. U.S. Senator Ed Markey on Friday asked them to detail how they keep American user data safe and prevent foreign influence on the platform’s recommendation system. Oracle is one of three managing investors in the joint venture, according to Reuters. TikTok has said its algorithm will be protected on Oracle’s U.S. cloud.
Market schedule is straightforward for the coming week: U.S. exchanges closed Sunday, NYSE trading open Monday through Friday, normal 9:30 a.m. to 4:00 p.m. New York hours. Eyes are on the AI rally to see if it sticks after markets open June 1. Oracle’s fiscal Q4 numbers are set for mid-June, the company’s investor-relations FAQ says.
But risks haven’t faded. Oracle has lined up as much as $50 billion in debt and equity to back its AI data-center buildout, and analysts say the company’s reliance on OpenAI and questions around cash flow timing still worry investors. Russ Mould, investment director at AJ Bell, told Reuters the concerns over Oracle’s OpenAI links aren’t likely to ease quickly.
Right now, price action leads. The broad rally, a bounce in the software index, and Oracle’s AI order book are helping the stock. But the next step is tougher—Oracle has to prove it can turn those contracts, chips, and data center deals into cash quickly.
