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Stock impact report

Oracle shares sink on weak cloud bookings and aggressive AI buildout [Wealth Professional (Canada)]

FactSet Research Systems Inc. (FDS) 
Last factset research systems inc. earnings: 3/26 07:01 am Check Earnings Report
US:NYSE Investor Relations: investor.factset.com
Oracle just turned the AI trade into a live-fire drill on leverage and cash flow. According to BNN Bloomberg , Oracle shares fell as much as 15.6 percent on Thursday, wiping out nearly US$93bn in market value, after the company paired a revenue miss with a much more aggressive AI spending plan. CNBC reported the stock was down about 11 percent on the day and still up roughly 34 percent year-to-date. Oracle's top line slightly disappointed: CNBC said the company posted quarterly revenue of US$16.06bn versus US$16.21bn expected, based on LSEG data. According to BNN Bloomberg , Oracle also guided third-quarter revenue growth of 16 percent–18 percent, below the 19.4 percent that analysts had forecast. The real shock came from capex and funding. Oracle now expects about US$50bn in capital expenditures for the current fiscal year, up from a previous forecast of US$35bn, driven by new AI-related contracts with firms like Meta and Nvidia, as reported by CNBC BNN Bloomberg added Show less Read more
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