The Zacks Analyst Blog Highlights Oracle, IGV, TRFK, TDIV and TDVI.

For Immediate Release

Chicago, IL – September 12, 2025 – Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include: Oracle ORCL, iShares Expanded Tech-Software Sector ETF IGV, Pacer Data and Digital Revolution ETF TRFK, First Trust NASDAQ Technology Dividend Index Fund TDIV and FT Vest Technology Dividend Target Income ETF TDVI.

Here are highlights from Thursday’s Analyst Blog:

Oracle's Monster Rally Puts These ETFs in Focus

Oracle stock surged about 36% on Sept.10, after the company reported massive cloud demand numbers. The company recorded its best day since 1992 (as quoted on CNBC). Oracle reported earnings on Sept. 9, 2025, after the bell. It had $455 billion in remaining performance obligations, up 359% from a year earlier, in both U.S. dollar and constant currency.

Ben Reitzes, technology research head at Melius Research, told CNBC’s Closing Bell: Overtime on Tuesday that the “Street was looking for about $180 billion in RPO and they’re talking about a number that is a multiple of that,” as quoted in the above-mentioned CNBC article.

Oracle expects revenues this fiscal year from the cloud infrastructure business to surge 77% to $18 billion from $10 billion in the last year. In fiscal 2027, the figure will likely hit $32 billion, and will eventually reach $73 billion, $114 billion and $144 billion in the subsequent three years, as quoted on another CNBC article.

In a nutshell, its cloud infrastructure revenues will likely skyrocket 1298% from 2025 to 2030, per management. Most of the revenue in the five-year forecast is already included in the company’s reported RPO.

Inside the Earnings Report

Oracle came out with quarterly adjusted earnings of $1.47 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $1.39 per share a year ago. Oracle posted revenues of $14.93 billion for the quarter, missing the Zacks Consensus Estimate by 0.59%. This compares to year-ago revenues of $13.31 billion. But the RPO performance outshined the revenue miss.

Inside Growing AI Deals

The company also announced several deals during the quarter.On Aug. 18, Oracle announced that it has deployed OpenAI GPT-5 across its database portfolio and suite of SaaS applications. On Aug. 14, Oracle and Google Cloud broadened their partnership to offer customers access to Google’s most advanced AI models, starting with Gemini 2.5, via OCI Generative AI service.

Compelling Valuation?

As of Sept. 5, 2025, Oracle stock traded with a forward P/E multiple of 29.88, compared with the forward P/E of 33.34X of the Computer – Software industry and the S&P 500’s P/E of 22.1X. This shows that, given the massive RPO potential, the stock was not overvalued prior to the earnings release.

In the past five years, the stock has traded as high as 35.93X and as low as 14.17X, with a five-year median of 20.88X. Oracle shares are up 119.1% over the trailing 12-month period, including the blockbuster gains recorded on Sept. 10, 2025.

What Lies Ahead?

Bank of America analysts said Oracle’s “exceptional backlog” strengthened its place as “a key AI enabler,” as quoted on CNBC. The analysts went on to add that “although profitability of AI workloads remains a key debate, it is clear that Oracle is capturing share in the large and rapidly growing market for AI infrastructure.”

We believe that many analysts will upgrade the stock in the coming days. Still, if you, as an investor, are worried about the probability issue in the AI segment, which many fear currently, you can try the exchange-traded fund (ETF) approach.

Some of the Oracle-heavy ETFs are as follows:

iShares Expanded Tech-Software Sector ETF – 10.67% exposure to Oracle.

Pacer Data and Digital Revolution ETF – 12.67% exposure

First Trust NASDAQ Technology Dividend Index Fund – 9.69% exposure

FT Vest Technology Dividend Target Income ETF – 9.70% exposure

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