Oracle stock faces funding test after 225 billion FY30 plan

Oracle set a long-term growth target and a funding limit at its Investor Day on Wednesday, October 28, 2026. The company said it expects total revenue to reach at least 225 billion US dollars in fiscal 2030, implying annual growth of more than 35% from fiscal 2026. The targets were published in the Oracle Investor Day release.

The plan combines expansion across cloud infrastructure, databases and business applications with a period of heavy investment in artificial intelligence capacity. Oracle expects a non-GAAP operating margin of at least 40% and non-GAAP earnings per share of at least 21 US dollars by fiscal 2030. For fiscal 2027, management reaffirmed revenue of at least 90 billion US dollars and non-GAAP earnings per share of 8.10 US dollars.

The plan shifts from spending to funding

Oracle expects capital expenditures to peak in fiscal 2027 and fiscal 2028 before declining in fiscal 2029. Management expects free cash flow to turn positive during the second half of fiscal 2028 and reach at least 30 billion US dollars in fiscal 2029. The company said growth should become self-funded from fiscal 2029.

To bridge the investment period, Oracle committed to limiting additional capital-market funding through fiscal 2030 to 20 billion US dollars, excluding refinancing of existing debt. The planned amount is split between 10 billion US dollars of equity and 10 billion US dollars of gross debt. This comes in addition to a 20 billion US dollar at-the-market equity raise completed in the first quarter of fiscal 2027.

Oracle also expects net debt to adjusted EBITDA to fall below 3.5 times in fiscal 2029. Vendor financing, customer-provided hardware and customer prepayments are expected to reduce the upfront cash requirement while the company builds additional capacity.

Oracle stock traded at 117.33 euros on Lang & Schwarz at 12:18 CET on Monday, November 2, 2026. Investors can follow the real-time quote of Oracle stock.

Execution remains the next test

The targets give investors a defined timetable for judging whether demand for AI computing can translate into cash generation. The key checkpoints are the expected spending peak through fiscal 2028, the move to positive free cash flow in the second half of fiscal 2028 and the planned 30 billion US dollar cash-flow level in fiscal 2029.

The strategy also puts delivery and financing discipline at the center of the investment case. Oracle must expand infrastructure while converting contracted demand into revenue and reducing reliance on new debt and equity. The company said its capital-allocation priorities remain investment-grade credit ratings, the dividend and growth opportunities.

The S&P 500 market backdrop remains the broader reference point for US-listed technology shares.

More news and analyses are available in the Oracle stock coverage.