Oracle is poised to be a big winner in the cloud industry in 2023, thanks to a combination of factors, including its “modest valuation.”

Oracle is not one of the cloud market’s Big Three — AWS, Microsoft Azure, and Google Cloud — but has nonetheless made significant headway in the market, including scoring major contracts and poaching customers from its larger rivals.

According to Seeking Alpha, Monness, Crespi, Hardt analyst Brian White said the company was “well positioned” going into 2023. In particular, the company was a “steady hand in a treacherous market,” seeing less of a stock decline than many in the tech industry.

“In our view, no company is immune to an economic downturn; however, we believe the tailwind of the Oracle Cloud and the stock’s modest valuation provide some downside protection,” White wrote to clients.

Oracle’s stature was also boosted by its inclusion in the $9 billion multi-vendor Joint Warfighter Cloud Capability (JWCC), the successor to the abandoned Joint Enterprise Defense Infrastructure (JEDI) contact.

White called it a “prestigious win” and says it shows just how much progress Oracle has made in the cloud market.