-8.83% to $130.55 from $143.20
What moved ORCL
- Shares fell more than 7% as rising rate-hike bets triggered a broader sell-off in AI-related stocks.
- The move was tied to September’s Consumer Price Index data, which came in above expectations and raised the odds of another Federal Reserve rate increase.
- Commentary linked the decline to how higher rates amplify financing risk for AI infrastructure investment, a theme that has weighed on debt-financed AI buildouts broadly.
- The Nasdaq Composite posted its worst day since July as worries about interest rates pummeled shares of Oracle and other AI-infrastructure-linked companies.
Sources: GV Wire · TradingKey · CNN
-5.48% to $135.69 from $143.56
What moved ORCL
- The decline followed a report that OpenAI’s annualized revenue was near $50 billion at the end of September, versus roughly $70 billion previously cited in media reports, reviving doubts about the pace of AI spending.
- Oracle’s 2025 cloud-computing agreement with OpenAI, reported at roughly $300 billion over five years, represents about 45% of Oracle’s contracted-revenue backlog of $664 billion, concentrating investor risk in a single customer.
- Oracle’s long-term debt has nearly doubled to more than $160 billion over the past two years, making it the fifth-largest borrower in the U.S. corporate bond market as it funds AI data centers.
- The company’s latest quarterly results showed $28.5 billion in capital expenditure against $5.4 billion in negative free cash flow.
- The selloff spread across AI-linked names, with chipmakers Nvidia and AMD each falling roughly 3%-4% the same session.
Sources: Yahoo Finance · Bloomberg (via Yahoo Finance) · CNBC
-3.47% to $139.54 from $144.56
What moved ORCL
- Oracle notified developer Blue Owl Capital that it is invoking a force majeure provision on the Project Jupiter data center, seeking to delay payments if the New Mexico facility isn’t completed by 2028 as planned.
- Oracle pushed back on the market reaction, telling Bloomberg that “Project Jupiter remains on our planned schedule” and that it remains “fully committed to New Mexico.”
- The decline was compounded by fresh reports of double-digit percentage layoffs across some Oracle teams.
- The drop stood out against peers, with cloud names Snowflake and CoreWeave holding comparatively steady, framing the move as company-specific rather than sector-wide.
Sources: Yahoo Finance · Bloomberg · StocksToTrade · 24/7 Wall St
+3.13% to $145.75 from $141.32
What moved ORCL
- Oracle has drawn up plans for a new round of layoffs timed before the start of its fiscal second quarter, following roughly 21,000 job cuts already made in 2026.
- The company has a newly authorized at-the-market equity program of up to $20 billion as part of roughly $40 billion in planned debt and equity financing for fiscal 2027.
- Oracle’s free cash flow was negative $23.7 billion last year as capital spending on AI infrastructure surged to $55.7 billion.
Sources: TheStreet · Yahoo Finance
+3.10% to $146.47 from $142.07
What moved ORCL
- The Department of Veterans Affairs raised the ceiling on its Oracle Health electronic-health-record modernization contract by about $17 billion, to nearly $27 billion, and added optional one-year extensions that could stretch the deal through May 2031.
- Mizuho reiterated its rating on Oracle following the VA contract expansion.
- The VA has deployed the Oracle Health system at eight medical facilities so far this year, with three more sites going live Aug. 22 and two more Oct. 24, out of 164 VA medical centers total.
Sources: FedScoop · Investing.com · Nextgov/FCW
+9.22% to $141.85 from $129.87
What moved ORCL
- Shares rose alongside CoreWeave and Snowflake in a broad risk-on rally across AI-linked cloud infrastructure names.
- The gains extended last week’s news of an expanded partnership bringing Google’s Gemini AI models to more Oracle customers.
- Oracle continues to face investor questions about converting its roughly $638 billion contracted backlog into cash flow.
Sources: 24/7 Wall St. · The Motley Fool · ts2.tech