Oracle shares jumped more than 28% in premarket trading after the company projected its AI-fueled cloud revenue to reach $144 billion by its 2030 fiscal year, up from less than $20 billion this year.

CEO Safra Catz detailed a rapid growth trajectory, forecasting Oracle Cloud Infrastructure revenue to grow from $18 billion this fiscal year to $32 billion, $73 billion, $114 billion, and $144 billion over the next four years.

The company’s optimistic outlook coincides with a massive increase in its remaining performance obligation (RPO), which soared 359% to $455 billion in Q1 2026 due to multibillion-dollar contracts with major AI players including OpenAI, xAI, and Meta.

Oracle has heavily invested in AI infrastructure, securing Nvidia GPUs for its cloud services while expanding capital expenditures to $35 billion in 2026 and making workforce adjustments, including layoffs and potential cuts to raises and bonuses, Yahoo Finance has reported.

Despite Q1 earnings slightly missing Wall Street estimates, Oracle’s aggressive AI and cloud expansion plans, coupled with high-profile contracts and long-term revenue visibility, have fueled investor enthusiasm, pushing the stock to a 70% gain over the past year.