---
title: "Wells Fargo supports Oracle: RPO data implies a long-term gold mine, with revenue from the OpenAI partnership exceeding $60 billion in 2029"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/270561849.md"
description: "Wells Fargo believes that the market's concerns about Oracle are exaggerated, and Oracle's collaboration with OpenAI is a long-term positive factor. Analysts predict that OpenAI will significantly contribute to Oracle's future revenue and earnings per share. The recent decline in Oracle's stock price is considered an overreaction, as there is still enormous potential in the field of artificial intelligence"
datetime: "2025-12-23T02:48:02.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/270561849.md)
  - [en](https://longbridge.com/en/news/270561849.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/270561849.md)
---

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# Wells Fargo supports Oracle: RPO data implies a long-term gold mine, with revenue from the OpenAI partnership exceeding $60 billion in 2029

According to Zhitong Finance APP, there is significant controversy in the market regarding Oracle's (ORCL.US) remaining performance obligations and its primary linkage to OpenAI. However, Wells Fargo believes these concerns are exaggerated, and its association with OpenAI is a long-term positive factor for Oracle.

Analyst Michael Turley wrote in a research report to clients: "While we do not currently see any risk to revenue/earnings per share contributions from OpenAI, we have separately forecasted the OpenAI and non-OpenAI segments to assess their impact."

"(We estimate) based on the company's guidance and RPO disclosure information for cross-validation, that revenue will reach $10 billion, $39 billion, $65 billion, and $78 billion in fiscal years 2027 to 2030, respectively. Using Oracle's disclosed average gross margin of 35% and our estimated net profit margin of 20%, and assuming the number of shares remains unchanged, we expect OpenAI to account for approximately 25-30% of Oracle's earnings per share in fiscal years 2028 to 2030."

Turley, who gave Oracle an "overweight" rating and a target price of $280, stated that the recent sharp decline in Oracle's stock price is "overreacted." He added that considering artificial intelligence is still in a "very early stage," Oracle has the potential to "gain significant market share" in the cloud infrastructure as a service sector.

Oracle will release its second-quarter financial report on December 10, 2025, after which its stock price experienced a significant decline. The database software giant's financial report showed that its revenue did not meet analysts' expectations, while capital expenditures exceeded expectations.

Subsequently, reports about potential delays in building data centers for OpenAI became the last straw that broke the camel's back. Although an Oracle spokesperson denied, stating that "all sites meeting contractual commitments are not delayed, and all milestones are proceeding as planned," this did not stop investors from selling off. The AI sector has undergone a harsh "reality check."

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