SoftBank Group Corp. (OTC:SFTBY) (OTC:SFTBF) shares jumped 9.98% to 17,905 JPY ($121.14) on Thursday’s Tokyo trading session, building on massive year-to-date gains of 93.90% as investors bet on the company’s role in Oracle Corp.‘s (NASDAQ:ORCL) record-breaking artificial intelligence infrastructure deals.
Oracle’s $455 Billion Backlog Drives Market Optimism
Oracle’s exceptional first-quarter results revealed a stunning $455 billion backlog in Remaining Performance Obligations (RPO), marking a 359% year-over-year increase. The surge stems from four multi-billion-dollar contracts with three customers, including deals with artificial intelligence companies requiring massive cloud infrastructure.
CNBC’s Jim Cramer directly linked Oracle’s unprecedented backlog to the Stargate project, questioning “who else would be placing those orders” of such magnitude. The $500 billion AI infrastructure venture between Oracle, OpenAI, and SoftBank Group represents one of the largest technology partnerships.
Stargate Project Fuels SoftBank Investment Strategy
The Stargate initiative, announced by President Donald Trump in January, positions SoftBank as a key financial partner alongside Oracle and OpenAI. The collaboration aims to build extensive AI data centers across the United States, requiring enormous capital investments and cloud computing resources.
Wall Street Analysts Upgrade Oracle Targets
Following Oracle’s earnings release, multiple analysts raised price targets substantially. Piper Sandler‘s Brent Bracelin increased his target from $270 to $330, while Citizens JMP‘s Patrick Walravens lifted forecasts to $342.
Oracle’s market capitalization reached $922.22 billion, making it the world’s 12th most valuable public company. The stock trades at a price-to-earnings ratio of 75.62 while offering a modest 0.61% dividend yield to investors.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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