Oracle price target raised to $295 from $220 at BofA

BofA analyst Brad Sills raised the firm’s price target on Oracle (ORCL) to $295 from $220 and keeps a Neutral rating on the shares. Microsoft (MSFT) guided to Q1 capex of $30B-plus, which “well ahead” of the firm’s prior estimate for $23.5B, while Meta (META) guided fiscal year capex to $69B, above the firm’s estimate for $67B, notes the analyst, who views these as demand signals into a large addressable market for AI infrastructure. Developments such as these over the course of the Q2 earnings cycle are incrementally positive for sentiment on the AI cycle, of which Oracle is a key beneficiary, the analyst added.