Oracle Corporation (ORCL) Part of the JV to Acquire Stake in TikTok USDS Joint Venture LLC

Oracle Corporation (NYSE:ORCL) is one of the Stocks That Will Go To The Moon in 2026. On December 19, Rishi Jaluria from RBC Capital reiterated a Hold rating on the stock with a $250 price target. Earlier on December 17, Citizens also maintained a Hold rating on the stock with a $342 price target.

The ratings come as on December 18, a report by Axios highlighted that TikTok is set to divest its US entity to a Joint Venture including Oracle Corporation (NYSE:ORCL), Silver Lake, and Abu Dhabi-based MGX. These three companies are said to have a collective 45% stake in the joint US entity, which will be called TikTok USDS Joint Venture LLC.

According to the report, the JV will be responsible for protecting US data, algorithms, and content moderation. Moreover, Oracle will act as a trusted security partner once the deal has been closed. The report values the deal at around $14 billion, and the deal is expected to close by January 22.

Analyst Rishi Jaluria noted that this deal is expected to significantly boost Oracle Corporation’s (NYSE:ORCL) Cloud Infrastructure revenue, easing concerns over customer concentration like OpenAI. Moreover, the company will also gain strategic access to TikTok’s data infrastructure and an equity stake in a highly valuable private asset.

Oracle Corporation (NYSE:ORCL) provides enterprise software, cloud computing, and database management‍ systems, helping businesses​ manage data, applications, and IT infrastructure.​

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.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.