Oracle shares drop most since 2001 on mounting AI spending
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A sharp drop for Oracle keeps Wall Street in check
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Oracle shares slide 11% as AI data center capex surges to $12 billion, pushing FY26 spending to $50 billion amid slower cloud revenue and rising credit risk.
The tech giant is piling on debt to fund AI data centers.
It is a far cry from the company’s last quarterly results, released in September, when news of a series of AI deals boosted its bottom line and saw its share price soar 40 percent, briefly making founder and CTO Ellison the world’s richest man.
Oracle and other AI stocks tumbled on Thursday after the company reported surging expenditures related to its AI data center buildout, reinforcing concerns on Wall Street about debt-fueled spending on the fledgling technology.
Did people complain – and by people, we mean Wall Street – as the world’s largest bookseller invested huge amounts of money to transform itself into an
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Oracle Corp. has been hit with two new proposed class actions for not protecting sensitive personal data of its customers’ employees in a data breach.
Oracle (Nasdaq: ORCL) shares were trading for roughly $207 per share before the company’s earnings call, but selling accelerated during the call, and shares are now trading for about $194. A few notes: Oracle shares are now trading only slightly above where they traded the Friday before the DeepSeek panic sank AI stocks in late January.