With significant hedge fund interest and upside potential, Oracle Corporation (NYSE:
ORCL) secures a spot on our list of the
15 best AI stocks to watch in December 2025.
Thanks to the company’s expanding AI footprint, Bernstein’s analyst Mark Moerdler reiterated a “Buy” rating on Oracle Corporation (NYSE:ORCL) on December 8, 2025, with a $364 price target.
The analyst believes the company’s significant incremental business indicates momentum heading into the next quarter, despite recent stock volatility and lingering concerns about capital expenditure and free cash flow trends. Moerdler believes Oracle, the world’s third-largest hyperscaler, is well-positioned to capitalize on the accelerating enterprise demand for AI infrastructure. Furthermore, he thinks management’s upcoming clarity on spending should help rebuild investor confidence.
Meanwhile, Oracle Corporation (NYSE:ORCL)’s strategic expansion in Europe continued, which reinforced the analyst’s bullish view. On November 19, 2025, the company launched its second public cloud region in Turin, Italy. The launch is expected to meet fast-growing demand for AI and cloud services. The launch of the new cloud region is part of the company’s distributed cloud strategy, providing Italian enterprises, startups, and public sector entities access to modern AI capabilities (generative AI and multicloud tools) while ensuring data sovereignty. The Turin facility, along with Oracle’s existing Milan region, is expected to significantly expand the company’s AI infrastructure capacity across key industries, supporting its broader European growth agenda.
The company is scheduled to release its Q2 FY 2026 results after market close on December 10.
Oracle Corporation (NYSE:ORCL) enables enterprises worldwide to modernize workloads, manage data, and deploy advanced AI and multicloud solutions through integrated cloud applications and autonomous infrastructure services.
While we acknowledge the potential of ORCL as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the
best short-term AI stock.
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Disclosure: None.
