Oracle ORCL shares surged 3.10% in pre-market trading as analyst upgrades and AI infrastructure developments boost confidence

Oracle (ORCL) shares surged 3.103% in pre-market trading on January 13, 2026, signaling renewed investor confidence amid evolving analyst sentiment and strategic developments in the AI infrastructure sector.

Jefferies reaffirmed its Buy rating and $400 price target for Oracle, emphasizing the company’s long-term positioning in AI infrastructure and its ability to convert a $523 billion backlog into revenue. Analysts highlighted Oracle’s data center expansion as critical to meeting surging AI compute demand, with a compelling valuation multiple of 16x EV/CY27 EBIT. UBS, meanwhile, trimmed its price target to $280 but maintained a Buy rating, citing that recent share price declines have already priced in concerns over debt and credit risks.

Goldman Sachs upgraded Oracle to Buy with a $240 target, pointing to its competitive edge in AI workloads and cloud growth potential. The firm noted Oracle’s 1.2 GW Abilene data center expansion and its $1.4 GW partnership with OpenAI as key catalysts. Analysts remain divided on the pace of AI adoption and Oracle’s ability to scale infrastructure profitably, with price targets ranging from $240 to $400.

Positive momentum was further fueled by Oracle’s enterprise wins, including a healthcare contract with Community Memorial Hospital and the launch of an AI-driven retail supply chain solution. However, high-profile short positions by investors like Michael Burry, citing Oracle’s $95B debt load, underscore lingering risks. Despite this, bullish sentiment dominates, driven by institutional confidence in Oracle’s AI/cloud strategy and regulatory approvals for key partnerships.