Oracle Shares Tumble as AI Spending Outruns Returns

UBS has lowered its price target for Oracle's stock to $325, attributing this adjustment to the timing of backlog conversion. This change reflects UBS's analysis of Oracle's current operational performance and market conditions.

Oracle Database is now available on Google Cloud in Canada, expanding the cloud services offered by both companies in the region. This launch allows Canadian businesses to leverage Oracle's database technology within the Google Cloud infrastructure.

U.S. stocks exhibited mixed performance on December 11, 2025, following Oracle's earnings report and the Federal Reserve's decision to implement a quarter-point interest rate cut. This development reflects ongoing market volatility as investors react to corporate earnings and monetary policy changes.

Oracle's stock experienced a significant decline of 15% following an underwhelming earnings forecast and increased spending on data centers, raising concerns among investors about the company's financial health. This downturn reflects a broader anxiety regarding Oracle's aggressive investments in artificial intelligence infrastructure.

DA Davidson has lowered its stock price target for Oracle to $180 following an earnings miss, reflecting concerns over the company's financial performance. This adjustment comes in the wake of Oracle's disappointing earnings forecast and increased spending on data centers, which have raised investor anxiety about its financial health.

Oracle's shares plummeted by 15% following an increase in capital expenditure forecasts, as the company intensifies its focus on artificial intelligence infrastructure. This downturn reflects investor concerns about the sustainability of Oracle's aggressive spending strategy in the face of rising operational costs.

Oracle's recent earnings report has led to a selloff in its stock, which some analysts view as a rational response to the exuberance surrounding artificial intelligence investments. Steve Chiavarone of Federated Hermes interprets this reaction as a positive sign for the broader market, indicating a healthy skepticism among investors.

US equity futures declined following Oracle's disappointing earnings report, which revealed a significant drop in cloud sales and a surge in AI spending. This comes after the S&P 500 experienced its largest gain on a Fed decision day since March, highlighting investor volatility. Additionally, US forces seized a sanctioned oil tanker off Venezuela's coast, escalating geopolitical tensions.