This stock Michael Burry warned about just crashed 12% overnight

Core Viewpoint - Michael Burry criticized leading tech companies, including Oracle, for allegedly overstating earnings through accounting practices, predicting Oracle would overstate earnings by 26.9% by 2028 [1][2]. Company Performance - Oracle's fiscal second quarter revenue was $16.06 billion, a 14% increase year-over-year but below the consensus estimate of $16.21 billion [6]. - Cloud-infrastructure revenue surged 68% to $4.1 billion, narrowly missing expectations, while earnings per share (EPS) were $2.26, exceeding the forecast of $1.64 [6]. - Software sales declined 3% to $5.9 billion, falling short of the $6.06 billion analyst estimate [7]. Market Reaction - Following Oracle's earnings report, shares fell nearly 12% in after-hours trading, leading to valuation concerns among shareholders [4]. - The earnings report resulted in a loss of approximately $70 billion in Oracle's market capitalization [8]. Debt and Investment Concerns - Oracle raised $18 billion in bond offerings prior to announcing a $300 billion deal with OpenAI, contributing to market concerns about its debt-driven expansion for AI infrastructure [9]. - Since the bond offering and deal announcement, Oracle shares have decreased by around 40% [9].