Company Overview - Oracle's stock experienced a significant decline of over 12%, dropping from approximately $223 to $194 per share, resulting in a loss of $90 billion in market capitalization [1][3][7] - Co-founder Larry Ellison's net worth decreased by nearly $35 billion, falling from $276 billion to $244 billion, which caused him to drop from the second to the third position on the Forbes list of the world's richest individuals [2][5] Financial Concerns - The decline in Oracle's stock triggered a sector-wide selloff in technology stocks, affecting major firms such as Nvidia, AMD, Micron, Broadcom, and Arm, while the Nasdaq index fell by 0.6% [3] - Investors expressed concerns over Oracle's substantial debt, which is reported to be $100 billion, leading to increased purchases of credit-default swaps as a hedge against potential default [4][7] Market Reactions - The rise in credit-default swap prices reached a five-year high, indicating heightened fears regarding Oracle's ability to meet its debt obligations [7] - Despite the negative market reaction, some analysts remain optimistic about Oracle's future, highlighting the $523 billion in business that the company has committed to but has yet to deliver [10]

Oracle (ORCL) stock tanked as much as 15% on Dec. 11 after the company raised its guidance for artificial intelligence (AI) spending, even as revenue missed estimates in Q2. The selloff, its largest since January, even pushed ORCL decisively below its longer-term 200-day moving average, reinforcing bearish momentum heading into 2026. More News from Barchart Following the post-earnings decline, Oracle stock is down roughly 40% versus its September high. www.barchart.com Why Is the Capex Guide Concerni ...

Oracle Corporation (ORCL) is down 12.39 percent to $195.38, falling $27.63 on Thursday in heavy trading even after being named a Leader in the IDC MarketScape: Worldwide Utility Meter Data Management Systems 2025 Vendor Assessment. Shares opened at $190.62 and have traded between $186.23 and $195.49 so far today on the New York Stock Exchange. The bid is at $194.34 and the ask at $194.37. Volume has surged to 65,026,329, far above the average of 25,142,415.Oracle's 52-week range stands at $118.86 to $345.7 ...

Core Viewpoint - Oracle's second-quarter revenue miss and disappointing profit outlook are negatively impacting the tech sector, particularly affecting neocloud stocks like CoreWeave Inc and IREN Ltd due to renewed fears of AI overvaluation [1] Company Summaries CoreWeave Inc (CRWV) - CRWV shares are down 3.1%, trading at $85.46, despite the announcement of powering Runway's next-generation AI video models; the stock is down 42.5% over the last six months [2] - The company has seen a 32.9% rise in short interest in the last two reporting periods, with short interest making up 11.1% of its total available float [3] IREN Ltd (IREN) - IREN shares are down 2.7%, trading at $42.67, but have a remarkable 532.3% gain over the past nine months; the stock has been testing a support level at $40 since a pullback from its record high of $76.87 [3] - Short interest for IREN constitutes 19.7% of its total available float, indicating significant bearish sentiment [3] Market Conditions - Both CRWV and IREN are experiencing high short interest, with CRWV's Schaeffer's Volatility Index (SVI) at 90%, indicating elevated volatility, while IREN's SVI ranks at the bottom of the last 12 months' readings [4]

Core Insights - Oracle reported a record-breaking Remaining Performance Obligation (RPO) of $523 billion, reflecting a significant increase of $68 billion from the last quarter and a 433% increase year-over-year [3][4] - Despite the impressive RPO figures, Oracle's stock has seen a decline of 13.5%, raising questions about the sustainability of its growth strategy [2] - A substantial portion, 43%, of the RPO is expected to be implemented in 2026, amounting to $225 billion, which may help offset the company's planned capital expenditures of around $50 billion [4][10] Financial Performance - Oracle's cloud business, particularly its Oracle Cloud Infrastructure (OCI), has shown strong growth, with a year-over-year increase of 66%, and GPU-related cloud revenue surged by 177% [12] - The company is financing its growth through debt, which raises concerns about the sustainability of its core business [8][9] Competitive Landscape - Oracle is entering a competitive market dominated by major players like AWS, Azure, and Google Cloud, which have established themselves as early movers in AI and cloud services [7][15] - There are concerns that Oracle may be overestimating its ability to compete with these hyperscalers, especially given its late entry into the AI space [16] Market Dynamics - The RPO surge may not translate into immediate cash flow, as over 75% of these obligations are set to start within 24 months, leading to skepticism about the actual realization of these contracts [9][18] - Analysts are urged to focus on the profitability and sustainability of the businesses behind the $523 billion RPO commitments, rather than solely on Oracle's core operations [17][19]

Core Viewpoint - Oracle's disappointing Q2 2026 earnings results have led to a significant drop in its stock price, impacting the broader tech and AI sectors [2][3][8] Financial Performance - Oracle reported non-GAAP earnings per share (EPS) of $2.26, a 54% increase, and total revenue of $16.1 billion, a 14% increase [6] - Analysts had expected total revenue to be higher at $16.21 billion, leading to investor disappointment despite the EPS beating expectations [3] Market Reaction - Oracle's stock price fell over 12% to $196.25 per share following the earnings report [8] - Major chip companies in the AI space experienced stock price declines, including AMD, Arm, Broadcom, Intel, Micron, NVIDIA, Qualcomm, and TSMC, with drops ranging from 0.9% to 1.4% [7] Industry Concerns - The announcement of new agreements with AI investors like Nvidia and Meta raised concerns about circular spending in the AI industry, contributing to fears of an AI bubble [4] - Oracle's remaining performance obligations increased to $523 billion, but the circular spending concerns have renewed skepticism among investors [4]

Market Performance - The Dow Jones Industrial Average reached a record high of 48,685, gaining 1.3% on Thursday, following a 1.1% increase the previous day, marking the best two-day rally since May [1] - Small caps continued to rise, with the Russell 2000 up 1% at 2,590, while the Nasdaq 100 fell 0.6% due to declines in chipmakers [2] - Major US indices showed varied performance, with the Nasdaq 100 at 25,595.45 (-0.7%), S&P 500 at 6,884.86 (0.0%), Dow Jones at 48,653.82 (+1.2%), and Russell 2000 at 2,585.75 (+1.0%) [7] Sector Performance - Technology sector was the only S&P 500 sector trading in the red, with notable declines in shares of Nvidia Corp. (-2.5%), Broadcom Inc. (-2.3%), and Intel Corp. (-3%) [3] - The Technology Select Sector SPDR Fund (NYSE:XLK) lagged, down 1.1%, while the Materials Select Sector SPDR Fund (NYSE:XLB) outperformed, up 2.0% [8] Company-Specific News - Oracle Corp. shares dropped 12% after disappointing earnings and guidance [2] - Vail Resorts, Inc. saw an increase of 8.60%, while The Mosaic Company and Rocket Lab USA, Inc. also posted gains of 8.13% and 7.73% respectively [9] - In contrast, Oracle Corporation experienced a significant decline of 13.28%, alongside other companies like Robinhood Markets, Inc. (-7.87%) and Medical Properties Trust Inc. (-6.62%) [9] Economic Indicators - Initial jobless claims rose to 236,000, indicating early signs of cooling in labor-market conditions, surpassing the consensus of 220,000 [4] - Despite the jobless claims data, traders expect the Federal Reserve to maintain interest rates at its late-January meeting, with an 82% probability of no change [4] Commodity and Crypto Markets - The dollar fell to a two-month low, while gold rose 1.1% to $4,280 an ounce, copper increased nearly 2%, and silver surged 3.7% to a record $64, marking a 121% year-to-date increase [5] - Crypto markets faced pressure, with Bitcoin dropping 2.5% below $90,000 and Ethereum, Solana, and Cardano also experiencing declines [6]

Core Viewpoint - Oracle's disappointing Q2 2026 earnings results have led to a significant drop in its stock price, impacting the broader tech and AI sectors [2][3][8]. Financial Performance - Oracle reported non-GAAP earnings per share (EPS) of $2.26, a 54% increase year-over-year, and total revenue of $16.1 billion, up 14% [6]. - Despite beating EPS expectations, Oracle's total revenue fell short of analyst forecasts of $16.21 billion, contributing to a 12% decline in its stock price [3][8]. Market Reaction - Following Oracle's earnings report, major chip companies in the AI space experienced stock price declines, including Advanced Micro Devices (down 1.2%), Arm Holdings (down 1.2%), and Nvidia (down 1.3%) [7]. - Broader tech stocks also faced declines, with Alphabet down 0.5%, Amazon down 0.7%, and Microsoft down 0.6% [10]. Industry Concerns - Oracle's new agreements with AI investors like Nvidia and Meta have raised concerns about circular spending in the AI industry, which could indicate a potential bubble [4]. - The total remaining performance obligations for Oracle increased to $523 billion, but investor fears about the sustainability of AI investments have intensified [4].

If you like to see more ideas, please subscribe to the premium service "Value in Corporate Events" here and try the free trial. In this service we cover major earnings events, M&A, IPOs and other significant corporate events with actionable ideas. Furthermore, we provide coverage of situations and names on request!Shares of Oracle Corporation ( ORCL ) have plunged 15% following the release of its fiscal second quarter results . This makes it so that shares are down 45% from the highs in September butThe Val ...

Company Overview - Capital Limited is an integrated services provider to exploration and mining companies in Africa, the Middle East, and North America [3] - The company operates through three principal divisions: drilling, earthmoving, and mining services [3] - The drilling division operates a fleet of 135 rigs, the largest in Africa and the Middle East, providing services from exploration drilling to underground grade control and blast hole drilling [3] Recent Developments - The company is currently active at the Reko Diq site in Pakistan through its earthmoving business, which specializes in niche earthmoving services [3] - A general meeting was held to consider the approval of resolutions related to the issuance of the second tranche of shares under a recently announced placing [1][2]