Oracle Corporation (ORCL) Benefited From Strong Cloud Operations

First Eagle Investments, an investment management company, released its “First Eagle Global Fund” second-quarter 2025 investor letter. A copy of the letter can be downloaded here. Class A shares of the fund returned 7.23% in the second quarter of 2025. All regions contributed to the overall performance. North America and developed Europe were the top contributors, whereas Japan and developed Asia, excluding Japan, lagged. In addition, please check the fund’s top five holdings to know its best picks in 2025.

In its second-quarter 2025 investor letter, First Eagle Global Fund highlighted stocks such as Oracle Corporation (NYSE:ORCL). Oracle Corporation (NYSE:ORCL) offers products and services that address enterprise information technology environments. The one-month return of Oracle Corporation (NYSE:ORCL) was -5.30%, and its shares gained 72.37% of their value over the last 52 weeks. On August 28, 2025, Oracle Corporation (NYSE:ORCL) stock closed at $240.32 per share, with a market capitalization of $675.018 billion.

First Eagle Global Fund stated the following regarding Oracle Corporation (NYSE:ORCL) in its second quarter 2025 investor letter:

“Leading contributors in the First Eagle Global Fund this quarter included Oracle Corporation (NYSE:ORCL), gold bullion, Meta Platforms, Inc. Class A, Taiwan Semiconductor Manufacturing Co., Ltd. and BAE Systems plc. Oracle, one of the world’s largest independent enterprise software companies, reported strong results during the quarter, largely driven by its cloud operations, which comprise approximately 75% of revenues. Oracle has benefited from the shift to a cloud-first approach by enterprises and an overall increase in industrywide capital expenditures on artificial intelligence. Strategic partnerships with companies including Microsoft and Alphabet broaden Oracle’s reach to address diverse customer needs. Growth in remaining performance obligations suggests continued strong prospective revenues.”

Oracle’s (ORCL) Strategic Innovation Boosts its Dividend Appeal

Oracle Corporation (NYSE:ORCL) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 124 hedge fund portfolios held Oracle Corporation (NYSE:ORCL) at the end of the second quarter, which was 97 in the previous quarter. While we acknowledge the risk and potential of Oracle Corporation (NYSE:ORCL) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Oracle Corporation (NYSE:ORCL) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered Oracle Corporation (NYSE:ORCL) and shared the list of technology stocks to buy according to hedge funds. In addition, please check out our hedge fund investor letters Q2 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.