Oracle Corp (NYSE:ORCL) just got its golden AI ticket. The stock surged as much as 8.51% in pre-market trading Wednesday after President Donald Trump unveiled Project Stargate, a massive $500 billion AI infrastructure initiative featuring Oracle, OpenAI, Nvidia Corp (NASDAQ:NVDA), and SoftBank Capital.

With $100 billion committed in the first year alone, this project cements Oracle's role as a key AI backbone. But is this just a short-term pop, or does it signal a deeper bull case for Oracle stock?

Oracle's AI Advantage Just Got Supercharged

Oracle has been aggressively expanding its AI and cloud offerings, positioning itself as a critical infrastructure provider for generative AI workloads. Project Stargate validates that strategy, giving Oracle direct government-backed investment and integration with AI giants like OpenAI.

For investors, this means Oracle is no longer just competing in the AI arms race—it's helping build the battlefield. Expect increased cloud demand, long-term government contracts, and a higher revenue ceiling.

Read Also: Elon Musk Says Project Stargate Doesn’t ‘Actually Have The Money’ After Trump Announces $500 Billion AI Investment Led By SoftBank, Oracle And OpenAI

Ellison's Billionaire Flex: Confidence In Oracle's Future

Oracle’s CEO Larry Ellison's $12 billion windfall from the stock surge speaks volumes. His 41% stake in Oracle makes him the biggest beneficiary of this AI momentum, and the fact that he overtook Meta Platforms Inc‘s (NASDAQ:META) CEO Mark Zuckerberg to become the world's third-richest person highlights just how much value the market sees in Oracle's future.

When insiders win big, long-term investors take notice.

ORCL Stock Chart: The Bullish Case

Chart created using Benzinga Pro

ORCL stock is trading above its eight, 20 and 200-day simple moving averages, signaling strong buying pressure. While the 50-day moving average sits slightly higher at $176.33 (vs. ORCL stock at $172.57), the broader trend remains bullish.

The RSI (relative strength index) at 57.50 suggests room to run before hitting overbought levels. Although, the MACD (moving average convergence/divergence) indicator at a negative 3.72, signals bearish momentum.

Investor Takeaway: More Than Just A Hype Rally

AI narratives have driven short-term pops before, but Project Stargate gives Oracle something tangible—a direct capital infusion, AI partnerships, and potential long-term infrastructure dominance.

With strong technicals and institutional backing, ORCL stock's momentum could be more than just a momentary surge. Investors betting on the AI boom now have a compelling reason to keep Oracle on their radar.

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• Oracle Unveils AI-Powered Sales Tools To Boost Customer Engagements: Details

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