Oracle (ORCL) Cloud & Red Bull Team up to Build Hybrid Engine
Oracle ORCL has announced that its Oracle Cloud Infrastructure (“OCI”) is partnering with the Red Bull Ford Powertrains (“RBFPT”) to create a sustainable fuel engine for Oracle Red Bull Racing and Scuderia AlphaTauri for the 2026 race season.
OCI supports RBFPT in tackling the complexity of establishing a cutting-edge business from scratch, utilizing advanced cloud technologies for its engineering simulations.
OCI provides substantial processing power, enabling RBFPT engineers to use digital simulations to evaluate concepts and improve designs before building a physical prototype.
Leveraging OCI, including bare metal compute and cluster networking, eliminated the cost and time associated with deploying an extensive on-site high-performance computing solution. This strategy enabled the engineering team to promptly initiate the development of a high-performance, eco-friendly engine and expand resources as needed.
On the racetrack, ORCL remains instrumental in fueling the team's numerous race simulations, enhancing race strategy and sharpening the driver’s decision-making skill. Furthermore, Oracle Red Bull Racing applies OCI for the advantage of its Sim Racing squad and utilizes Oracle Fusion Cloud CX to drive fresh fan engagement prospects until 2023.
Oracle Corporation Price and Consensus
Oracle Corporation price-consensus-chart | Oracle Corporation Quote
Oracle’s Auto Partnerships to Aid Services Revenues
Oracle has some prominent partnerships in the auto industry like Uber UBER, myTVS and Volkswagen Financial Services. These partnerships are making ORCL a prominent player in the auto market and expected to boost services revenues in the current fiscal year.
The Zacks Consensus Estimate for ORCL’s fiscal 2024 services revenues is pegged at $5.93 billion, indicating year-over-year growth of 6.06%. The Zacks Consensus Estimate for earnings is pegged at a profit of $5.52 per share, indicating year-over-year growth of 7.81%.
Oracle and Uber Technologies have revealed a seven-year strategic cloud collaboration to expedite Uber's innovation, launch new products and enhance profitability. As Uber expands and ventures into new markets, it becomes imperative for UBER to concentrate its resources on core strengths and strategic endeavors. Through the transfer of key workloads to OCI, Uber will have the opportunity to update its infrastructure and expedite its journey toward achieving profitability.
As India's largest digital platform in the automotive aftermarket sector, myTVS enhances its productivity, cost efficiency and control through the implementation of Oracle Fusion Cloud Enterprise Resource Planning. Additionally, Oracle Fusion Cloud Enterprise Performance Management contributes to quicker and more precise reporting, faster closing of financial books, and improved decision making for senior executives.
In a multi-year partnership with Oracle, Volkswagen Financial Services (“VWFS”), the largest automotive financial services provider globally, has transferred most of its databases to Oracle Exadata Cloud. Through Oracle's assistance, VWFS can update its database technologies to accommodate and expand its crucial systems that serve the European operations.
Zacks Rank & Key Picks
Currently, Oracle carries a Zacks Rank #3 (Hold).
Shares of Oracle have gained 37.3% year to date compared with the Zacks Computer and Technology sector’s rise of 36.9%.
ACM Research ACMR and NVIDIA NVDA are some better-ranked stocks from the broader sector that investors can consider. Currently, ACMR and NVDA sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Shares of ACM Research have gained 103.9% year to date. The Zacks Consensus Estimate for ACMR’s 2023 revenues is pegged at $561.43 million, indicating year-over-year growth of 44.39%. The consensus mark for earnings is pegged at 35 cents per share, which has remained unchanged over the past 30 days.
Shares of NVIDIA have surged 200.8% year to date. The Zacks Consensus Estimate for NVDA’s 2024 revenues is pegged at $54.03 billion, indicating year-over-year growth of 81.69%. The consensus mark for earnings is pegged at $3.32 per share, which has increased by $1.08 over the past 30 days.
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