Shares of Oracle (ORCL 4.04%) jumped 4.2% as of 3:50 p.m. ET Tuesday. The jump comes as the S&P 500 and the Nasdaq Composite both had positive days.
The tech company announced a new contract with the state of Texas that will help Texas public safety officers leverage artificial intelligence (AI).
Oracle and Texas team up
Texas agencies now have streamlined access to the Oracle Public Safety Suite via a new contract with the Texas Department of Information Resources (DIR). This partnership gives law enforcement, emergency services, schools, and other public entities streamlined access to AI-enhanced safety tools through what it says is a simplified, pre-negotiated process. The tools help integrate key functions of call-taking, dispatch, record tracking, and evidence management into a unified system. The tools also feature generative AI-assisted case reporting and record management to help reduce administrative workloads.
Investors bet global conflict will ease
Oracle, along with the whole market, also saw a boost today from developments in the Middle East. Although tensions were high after a ceasefire in the Israel-Iran war was violated, investors appeared encouraged by Iran's somewhat limited response to U.S. strikes on its nuclear facilities.
Image source: Getty Images.
A strong outlook
Oracle is betting big on AI and investing heavily to compete. The company is part of the Stargate program and could benefit greatly from its AI aspirations. Chairman Larry Ellison has called the program "the biggest AI training project out there." Given its growth prospects, even with a price-to-earnings ratio (P/E) of 47, I think Oracle can be a solid addition to a well-diversified portfolio.
