Oracle Unveils AI Agents for Fusion Apps: Will it Boost Prospects?

Oracle ORCL recently announced new AI agents within Oracle Fusion Cloud Applications aimed at helping supply chain leaders accelerate decision-making and drive greater efficiency across planning, procurement, manufacturing, maintenance and logistics. Unveiled at Oracle AI World in Mumbai on Feb. 10, 2026, the agents are built using Oracle AI Agent Studio for Fusion Applications and run on Oracle Cloud Infrastructure at no additional cost to existing customers.

The new agents embedded in Oracle Fusion Cloud Supply Chain & Manufacturing include a Planning Cycle Agent for automating task coordination, a Component Replacement Agent for streamlining product lifecycle management, and additional agents spanning inventory, logistics, order management and maintenance workflows. This builds on Oracle's October 2025 launch of the Fusion Applications AI Agent Marketplace, which introduced partner-built agent templates supported by more than 32,000 certified AI agent experts.

Oracle's second-quarter fiscal 2026 results underscore the momentum behind its cloud push. Total revenues rose 14% year over year to $16.1 billion, with cloud revenues (IaaS plus SaaS) surging 34% to $8.0 billion. Cloud Applications (SaaS) revenues came in at $3.9 billion, up 11%, with strategic back-office applications contributing $2.4 billion, up 16%. Non-GAAP earnings per share jumped 54% to $2.26. RPO soared 438% to $523 billion, bolstered by new commitments from Meta, NVIDIA and others.

Management maintained full-year fiscal 2026 revenue guidance at $67 billion and projected third-quarter cloud revenue growth of 40-44%. The AI agents enhance Oracle's enterprise software value proposition, boosting their ability to drive meaningful incremental SaaS adoption amid intensifying competition in the enterprise AI space.

How Cloud Rivals are Stacking Up

Oracle faces stiff competition in the enterprise AI agent space from Alphabet GOOGL-owned Google and Microsoft MSFT, both of which are aggressively embedding agentic AI into their cloud application suites. Microsoft has been rolling out autonomous AI agents across Dynamics 365 for sales, customer service, field service and finance through its 2025 release wave 2, while also launching Agent 365 as a centralized control plane and Copilot Studio for enterprise-scale agent deployment. Meanwhile, Google has been expanding its Vertex AI Agent Engine and Agent Development Kit, with its 2026 AI Agent Trends Report projecting 70% enterprise adoption of agentic AI integrated into CRM and ERP systems. Google has also introduced the Agent2Agent protocol for cross-platform interoperability. While Microsoft leverages its entrenched Dynamics 365 and Microsoft 365 ecosystem and Google taps its AI model leadership through Gemini, Oracle's differentiation lies in embedding agents natively within Fusion Cloud Applications at no extra cost, backed by a growing AI Agent Marketplace and more than 32,000 certified agent experts.

ORCL’s Price Performance, Valuation & Estimates

Shares of Oracle have lost 37.8% in the past six-month period, underperforming the Zacks Computer and Technology sector’s appreciation of 10.2% and the Zacks Computer - Software industry’s 24.3% decline.

ORCL’s 6-Month Price Performance

From a valuation standpoint, ORCL stock is currently trading at a premium with a trailing 12-month Price/Earnings ratio of 28.15x, which is higher than the industry average of 26.41x. Oracle carries a Value Score of D.

ORCL’s Valuation

The Zacks Consensus Estimate for ORCL’s fiscal 2026 earnings is pegged at $7.46 per share, marking an upward revision of 0.5% over the past 30 days. The earnings figure suggests 23.71% growth over the figure reported in fiscal 2025.

Oracle Corporation Price and Consensus

Oracle Corporation price-consensus-chart | Oracle Corporation Quote

ORCL stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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