10 Best AI Stocks to Buy According to Billionaire David Tepper

8. Oracle Corporation (NYSE:ORCL)

Appaloosa Management LP’s Stake: $97,867,000

Number Of Hedge Fund Holders: 97

Oracle Corporation (NYSE:ORCL) is one of the 10 best AI stocks to buy according to billionaire David Tepper. The corporation’s shares were upgraded to an “Outperform” rating from “Market Perform” on June 13 by BMO Capital Markets. This decision followed Oracle’s stronger-than-expected Q4 FY2025 earnings report and optimistic forward guidance. BMO also raised its price target to $235 from $200.

BMO’s analysts noted that Oracle’s Q4 FY2025 earnings report indicates a robust performance, especially compared to projections. Revenue increased by 11% year-over-year to $15.9 billion, against a consensus estimate of $15.58 billion. Adjusted EPS surpassed the expected $1.64 to reach $1.70.

The analysts also noted that Oracle’s forward guidance was more optimistic than anticipated. Management expects the company’s revenue for FY2026 to hit over $67 billion, 16% higher than in FY2025. The total cloud growth rate is expected to expand from 24% in FY2025 to over 40% in FY2026. Meanwhile, Oracle anticipates the cloud infrastructure growth rate to increase from 50% in FY2025 to over 70% in FY2026.

Oracle Corporation (NYSE:ORCL) is a global enterprise software and cloud computing company. It provides businesses, governments, and institutions with cloud-based applications, infrastructure, and database technologies. Its leading products include Oracle Cloud Infrastructure, Oracle Autonomous Database, and software suites like Oracle Fusion Cloud ERP, HCM, and NetSuite. Oracle also delivers services through its healthcare-focused Oracle Cerner unit.