Cloud infrastructure and software

Cloud infrastructure and software

Putting durable growth themes to work

A thematic approach is a distinctive feature of Large Cap Growth Fund. The team analyzes global trends, as well as problems and potential solutions, to identify which themes could drive sustained growth for businesses over a multi-year time horizon.
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growth themes

THEME: Cloud infrastructure and software

Businesses are increasingly shifting their information technology systems from on-premise databases to cloud storage. The benefits are widely recognized and include reduced costs, enhanced data security, better collaboration, and greater flexibility for employees accessing company documents and data.

The demand for cloud computing is on the rise as more businesses find it essential to transition their on-site data systems.

STOCK: Oracle (ORCL)

We believe Oracle is poised to benefit from accelerating growth, driven by its Oracle Cloud Infrastructure (OCI) business.

  • We believe Oracle is a credible number-four player in cloud infrastructure, with the ability to take share at its current growth rate. Our view was supported by the recent promotion of OCI from “niche” to “visionary” in Gartner’s annual cloud report quadrant.
  • Acceleration in OCI is expected to be a double-digit tailwind to organic cloud revenue growth over the next few years.
  • The business is also seeing strong momentum from traditional Oracle workloads shifting from on-premise to OCI. This shift is currently less than 50% of new revenues, but the transition is still in the early innings.
  • OCI’s network fabric architecture has proven itself in marquee contract wins with leading generative AI startups.

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Putnam Large Cap Growth Fund

See how investing in companies with durable long-term growth prospects, high and/or improving capital returns, and a strong ownership culture drives 5-star performance as of 5/31/2020.

Morningstar performance

Get to know Putnam Large Cap Growth Fund

Learn more about the distinctive thematic approach and how the team analyzes global trends to identify which themes could drive sustained growth for Putnam Large Cap Growth Fund.
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