Rimini Street's AI Bet: Beyond Buybacks to a New ERP Future

LAS VEGAS, NV – December 01, 2025 – While Rimini Street’s recent $3.8 million stock repurchase might appear as a standard financial maneuver, a closer look reveals a strategic drumbeat leading up to a potentially pivotal moment for the enterprise software support giant. The buyback, part of a larger $50 million plan, is more than just a balance sheet adjustment; it’s a tangible vote of confidence from management in the company’s future, just days before it unveils its long-term vision, centered on a concept it calls “Agentic AI ERP.”

As the worlds of technology and business grapple with the disruptive force of artificial intelligence, Rimini Street (Nasdaq: RMNI) is positioning itself not just as a cost-saving alternative for Oracle and SAP users, but as a key enabler of AI-driven transformation. The company’s upcoming Investor Day on December 3rd is set to be the main stage for this new narrative, where financial stability and forward-looking innovation are expected to merge.

A Signal of Financial Confidence

In the fourth quarter of 2025, Rimini Street has so far repurchased 975,000 shares at an average price of $3.92. This brings its total repurchases to $13.3 million under a plan that has been extended through June 2029. Such buybacks are often interpreted as a signal that a company’s leadership believes its stock is undervalued. Given that RMNI’s stock, despite a remarkable 76% gain over the past year, has seen a recent dip, the move appears strategically timed.

This financial assertiveness is backed by a complex but improving financial picture. While the company reported mixed results for its third quarter—missing analyst estimates on earnings per share and revenue—it achieved GAAP profitability, a significant turnaround from a net loss in the same period last year. Furthermore, its Remaining Performance Obligations (RPO), a key indicator of future contracted revenue, grew 6.4% year-over-year to $611.2 million, suggesting a solid pipeline.

Analysts seem to agree on the underlying value. The consensus rating for Rimini Street leans heavily towards “Strong Buy,” with average price targets hovering above $6.00—a potential upside of over 60% from its current trading price. The ongoing share repurchase program reinforces this optimistic outlook, demonstrating management's commitment to enhancing shareholder value as it prepares to articulate its next phase of growth.

Charting a Course with Agentic AI

The real centerpiece of Rimini Street’s future strategy is its aggressive push into what it has termed “Agentic AI ERP.” The company is championing a radical idea: that the era of monolithic, costly, and disruptive ERP upgrades is over. Instead of a “rip and replace” approach, Rimini Street proposes a strategy of “transformation without disruption.”

This vision involves overlaying existing, stable ERP systems—like those from Oracle and SAP that Rimini Street supports—with a flexible layer of intelligent, autonomous AI agents. These agents are designed to automate complex business processes, streamline workflows, and execute routine tasks with minimal human intervention. The company argues this approach allows enterprises to harness the power of AI in weeks or months, not the years typically required for a full-scale ERP migration.

“The industry is at an inflection point,” notes one technology analyst. “Companies are hesitant to commit to massive, multi-year digital transformation projects with uncertain ROI. An approach that leverages existing, paid-for assets while introducing next-gen capabilities is incredibly compelling.”

Rimini Street’s strategic partnership with ServiceNow is a testament to this strategy, aiming to accelerate AI-enabled business transformation by building these innovative layers on top of legacy systems. The upcoming Investor Day will be a critical platform for CEO Seth Ravin and his executive team to detail this vision, showcasing how Agentic AI can drive measurable business outcomes, from reduced labor costs to enhanced productivity and market agility.

The Bedrock of Innovation: Third-Party Support

This futuristic vision is firmly grounded in Rimini Street’s core business: providing third-party support for enterprise software. The company’s value proposition has always been twofold: superior service and significant cost savings, often cutting a client’s annual support fees by 50% or more compared to the original software vendor.

This is where the two parts of the company’s strategy elegantly connect. The billions of dollars in savings that Rimini Street claims to have delivered to its clients are not just a line item on a CFO’s spreadsheet; they represent freed-up capital that can be reinvested into innovation. By providing stable, reliable, and long-term support for mission-critical systems, Rimini Street allows its 3,100+ clients to avoid costly, vendor-mandated upgrades and instead redirect those funds toward strategic initiatives—like implementing the very Agentic AI solutions the company is now offering.

This symbiotic relationship is crucial. The stability of the core support business, evidenced by a growing client base and strong revenue backlog, provides the financial foundation and customer trust necessary to launch and scale new, innovative service lines. It transforms the company from a simple cost-cutter into a strategic partner in IT modernization.

Investor Day: A Moment to Define the Future

Despite the optimistic outlook, Rimini Street faces headwinds. The slight revenue decline in Q3 and the ongoing, planned wind-down of support for Oracle's PeopleSoft products put pressure on the company to demonstrate new avenues for growth. This context elevates the importance of the December 3rd Investor Day from a routine update to a defining moment.

Investors and the broader market will be looking for clear answers. How will the Agentic AI ERP strategy translate into a scalable, profitable revenue stream? What is the timeline for adoption, and what does the competitive landscape look like? How will the company manage the transition and expand its annualized recurring revenue beyond the impacts of legacy product wind-downs?

The presentations by Seth Ravin and his team will need to weave a convincing narrative that connects the financial stability demonstrated by stock buybacks, the foundational strength of the core support business, and the transformative potential of its AI vision. The market is signaling its readiness to believe, but the details shared this week will ultimately determine whether Rimini Street is viewed as a steady-eddy support provider or a true trailblazer in the new economy of enterprise technology.