10:57 AM EDT, 06/11/2026 (MT Newswires) -- Oracle (ORCL) is taking the "right steps" to address the massive artificial intelligence opportunity ahead, with its record backlog providing the revenue visibility needed to support an aggressive capacity buildout, Wedbush Securities said in a note Thursday.

The investment firm highlighted Oracle's remaining performance obligations of $638 billion, up 363% year over year and above expectations, as evidence of accelerating demand for cloud services, AI training and inferencing. Oracle's fiscal Q4 revenue of $19.18 billion and adjusted earnings per share of $2.11 also exceeded Wall Street estimates.

Management said it plans to raise about $40 billion through debt and equity financing in fiscal 2027, including a planned $20 billion at-the-market equity offering, to support AI infrastructure growth. Wedbush said prepayments and customer-supplied hardware on large AI contracts should help reduce financing needs, although adding more debt is likely to raise investor concerns.

Wedbush Securities maintained an outperform rating on Oracle, while lowering the price target to $240 from $275.

Shares of Oracle were down 10% in Thursday trading.

Price: 181.05, Change: -20.21, Percent Change: -10.04