By Benzinga Newsbot

The surge in artificial intelligence (AI) has not only propelled Oracle Corp.’s (NYSE:ORCL) stock to record highs but also boosted the net worth of its founder, Larry Ellison, to unprecedented levels. Ellison, 78, has now surpassed Microsoft Corp. founder Bill Gates to become the world’s fourth-richest person.

On Monday, buoyed by the optimism around AI, Oracle’s stock and Larry Ellison’s net worth reached record highs. Ellison’s net worth has now risen to $129.8 billion, surpassing Bill Gates’ net worth of $129.1 billion, according to the Bloomberg Billionaires Index. This is the first time Ellison has ranked higher than fifth on the list.

Oracle’s stock, which has climbed 42% this year, reached a record high of $116.43 on Monday. This surge is largely attributed to investor interest in AI and a broader tech rally. Wolfe Research upgraded Oracle to outperform on Monday, citing Oracle’s plans to develop its own partnership with startup Cohere to challenge the alliance between Microsoft Corp. and OpenAI.

Larry Ellison, John McEnroe and Bill Gates sitting in the front row at center court watching a tennis match between Serena Williams (USA) and Monica Niculescu (ROU) during the BNP Paribas Open Tennis Tournament played at the Indian Well Tennis Garden in Indian Wells, CA.  Ellison, 78, has now surpassed Microsoft Corp. founder Bill Gates to become the world’s fourth-richest person. PHOTO BY JOHN CORDES/GETTY IMAGES

The rise in Ellison’s wealth is a testament to Oracle’s strong performance, particularly in the realm of AI. As previously reported by Zenger News, Oracle has been touting its role in Nvidia’s AI development, which has contributed to its stock’s upward trajectory.

Oracle’s strong top-line and bottom-line growth, led by increased Oracle Cloud Infrastructure (OCI) adoption and acceleration in AI, have been key drivers of its stock’s performance. As Zenger News reported, Wolfe Research analyst Alex Zukin expects Cloud Revenues’ OCI to grow significantly in the coming years, with Oracle’s market share predicted to double to 5% from 2% by 2025.

Furthermore, Oracle’s strong Q4 FY23 results and above-consensus Q1 FY24 guidance have also contributed to the bullish sentiment around the stock. This positive outlook is reflected in Ellison’s rising net worth and Oracle’s strong stock performance.

Produced in association with Benzinga

Edited by Saba Fatima and Newsdesk Manager

The post Bill Gates Overtaken By Larry Ellison In Billionaire Race Amid AI Boom appeared first on Zenger News.