Oracle Corporation is massively profitable, which limits risks for investors who are concerned about CapEx growth. Learn more about ORCL stock here.

Oracle missed a slew of Wall Street estimates for sales, operating profit and future cloud-computing contract growth, a sign that corporate spending on its cloud services may be cooling amid broader concerns of a bubble in the artificial intelligence market.

Oracle Corp. shares fell the most in more than 24 years after the company reported a jump in spending on AI data centers and other equipment, rising outlays that are taking longer to translate

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

Oracle said that spending would rise by $15 billion compared with earlier estimates - a sign that big capital outlays to chase AI cloud-computing customers is not turning into profit as fast as Wall Street had expected.

To support that build-out, CNBC reported that Oracle raised US$18bn in a jumbo bond sale in September—one of the largest tech-sector debt deals on record—and is expected to raise about US$20bn–US$30bn in debt annually over the next three years, according to Citi analyst Tyler Radke.

It’s been a wild ride for Oracle investors this year. Shares of the enterprise software provider kicked off 2025 like most tech stocks, falling victim to the initial tariff-related volatility. From there,

With relatively tepid growth, rising debt, an increasing cash burn rate, soaring capex and reliance on money-losing OpenAI, $ORCL has not earned its premium valuation.

Market analysts are concerned about the AI bubble bursting, but Oracle’s latest earnings call shows it is still expanding datacentre roll-outs.

Oracle Chairman Larry Ellison said Wednesday that the company sold its stake in chip designer Ampere Computing “because we no longer think it is strategic for us to continue design, manufacturing and using our own chips in our cloud data centers.