Oracle stock closed up 10.7% at $144.54 on 28 October 2026 after the company used its investor day to set a fiscal 2030 revenue target of at least $225 billion and to promise a return to positive free cash flow in the second half of fiscal 2028. Oracle stock had risen as much as 12.8% during the session to a high of $148.48, according to market reports, after falling by about a third this year on concern about debt taken on to fund AI infrastructure.
Oracle reaffirmed its fiscal 2027 outlook of revenue of at least $90 billion and non-GAAP earnings per share of $8.10. That compares with $67.4 billion in revenue in the prior fiscal year, according to reports on the event. The company also reported record September-quarter revenue of $19.3 billion, up 30% from a year earlier, according to coverage of the investor day.
Oracle stock and the cash flow plan
Oracle stock rose mainly on the cash flow plan, according to financial coverage of the session. The Oracle stock presentation said free cash flow would turn positive in the second half of fiscal 2028 and would exceed $30 billion in fiscal 2029. Capital spending is expected to peak in fiscal 2027 and fiscal 2028 and then step down in fiscal 2029, when Oracle said growth would be supported by internal funds rather than new borrowing.
The company committed to limiting additional capital raises through fiscal 2030 to $20 billion, split evenly between $10 billion of equity and $10 billion of gross debt, excluding refinancing of existing debt. That cap came on top of a $20 billion stock sale Oracle completed in the quarter ended 31 August 2026. Oracle also said its net debt-to-adjusted EBITDA ratio would fall below 3.5 times in fiscal 2029.
Oracle said vendor financing, hardware supplied by customers and customer prepayments should ease how much cash it needs up front as it moves toward positive free cash flow. Anurag Rana of Bloomberg Intelligence said the plan could ease concern about elevated capital spending beyond the next two years, according to reports on the event. The concern had weighed on the shares for months, as Oracle spent heavily on data centers to serve AI customers.
Oracle stock after a difficult year
Oracle stock ended the session still down 25.8% for 2026, based on its 2025 closing price of $194.91, according to market calculations. Before the jump, the shares were down 33.0% for the year. The single-day gain therefore recovered only part of the year’s fall, and the shares remain well below their starting point for 2026 even after one of their strongest sessions in more than a year.
Oracle spent $55.7 billion on data centers in the year to May 2026 and ran negative free cash flow of $23.7 billion over the same period, according to reports on the investor day. Maxson, who joined Oracle as finance chief in April 2026, told investors capacity would grow by about seven gigawatts in the next couple of years and would exceed ten gigawatts by the end of fiscal 2028.
OpenAI remains the anchor customer in the buildout, according to coverage of the event, and Oracle said it would also begin renting Google chips through its cloud. The investor day message was that this demand can fund itself from fiscal 2029 onward, once the current wave of construction passes its peak.
Oracle stock: what could change the plan
The Oracle stock plan depends on demand holding up and on capital spending falling as promised. If hyperscaler demand slips, or if data center construction costs stay high for longer, the move to positive free cash flow could arrive later than the second half of fiscal 2028. If revenue growth falls short of the 35% annual rate implied by the fiscal 2030 target, the $225 billion figure would also be at risk.
Oracle stock trading volume on 28 October ran at more than double the three-month average, according to market reports. Oracle reports its next quarterly results in the coming months, and those figures will show whether the September-quarter revenue pace and the fiscal 2027 outlook still hold.