Cantor analyst Brian White released a research note on Thursday, showing confidence in Oracle Corporation (NYSE:ORCL), after hosting investor meetings yesterday in Chicago with CEO Mark Hurd and IR Ken Bond that support White positive view on Oracle’s cloud initiatives.

According to White, the majority of yesterday’s questions touched on Oracle’s transition to the cloud with a focus on Software-as-a-Service (SaaS) and Platform-as-a-Service (PaaS). When Oracle started talking more boldly about its cloud ambitions 12-18 months ago, the message was met with great skepticism from many investors. However, Oracle’s cloud bookings over the past few quarters have surprised the market, and the company remains very confident in the trajectory of this business moving forward.

White highlighted that Oracle described the push of IT resources into the cloud as a “generational change” that only comes along once every 20-25 years, which is why the company is putting the “pedal to the metal” in expanding its cloud business. White noted, “Unlike certain other software vendors, we believe Oracle’s cloud transition is more complicated given that the company continues to offer on-premise solutions, plays in a wide array of product categories and offers a broad portfolio of solutions. As such, Oracle does not want to provide a particular timeframe for when the headwind from the transition is over; however, the company is unrelenting in its view that the shift to the cloud is positive for the long-term economics of Oracle’s business model.”

In his research report, the analyst reiterated a Buy rating on Oracle stock with a price target of $48, which represents a potential upside of 21% from where the stock is currently trading.

According to, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Brian White has a total average return of 15.7% and a 63.2% success rate. White has a -3.0% average return when recommending ORCL, and is ranked #39 out of 3694 analysts.

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