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Oracle's stock was downgraded to "sell" by analyst Brian White, citing stretched valuations and disappointing earnings results despite a strong year-to-date performance. The company faces fierce competition in the cloud market from tech giants like Amazon, Microsoft, and Google, and plans to double capital expenditures to $14.2 billion amid a challenging macro environment. Shares have dropped over 10% in December, marking the worst month of 2024, following a significant earnings miss.
Top Wall Street analysts have identified three stocks with strong growth potential: ServiceNow (NOW), Snowflake (SNOW), and Twilio (TWLO). ServiceNow is benefiting from AI-driven demand, prompting an analyst to raise its price target to $1,070. Snowflake's recent performance led to a price target increase to $190, driven by a successful go-to-market strategy and large contract wins. Twilio has shown signs of recovery, with an upgraded rating and a price target of $135, as it combines communications with AI and contextual data.
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