Core Viewpoint - Oracle Corp has triggered a tech selloff following a revenue miss in its fiscal second quarter, raising concerns about overvaluation in the AI and neocloud sectors [1] Group 1: Company Performance - Oracle's fiscal second-quarter revenue fell short of expectations, contributing to a broader selloff in technology stocks [1] - The stock is currently trading at $179.29, reflecting a 0.5% increase, but has dropped nearly 40% over the last three months from a record high of $345.72 on September 10 [6] - The stock is facing overhead pressure at the 20-day moving average after a brief period above this trendline [6] Group 2: Options Activity - Oracle has seen significant options activity, with 3,362,916 calls and 2,427,676 puts traded in the last 10 days, making it one of the stocks with the highest options volume [2] - The most popular options contract during this period was the weekly 12/12 200-strike call [2] - Oracle's Volatility Scorecard (SVS) is at 99 out of 100, indicating that the stock has consistently exceeded options traders' volatility expectations over the past year [5]

Core View - CoreWeave, a cloud computing firm backed by Nvidia, is preparing for an IPO aiming to raise $4 billion at a valuation exceeding $35 billion [1] Company Background - Originally a cryptocurrency mining company, CoreWeave transitioned to AI in 2019 and has since aggressively acquired Nvidia GPUs, totaling 300,000 chips, which are essential for AI model training [2] - The company's revenue has surged from $25 million in 2022 to a projected $2 billion in 2024 [2] IPO Details - Major investment banks Morgan Stanley, Goldman Sachs, and JPMorgan are leading the IPO process [3] - CoreWeave has significant backing from investors including Nvidia, Coatue, Jane Street, and Fidelity, but it also carries a substantial debt of $11 billion, primarily secured by its Nvidia chips [3] Customer Dynamics - Microsoft, CoreWeave's largest customer, has committed over $10 billion through 2030, although its AI infrastructure strategy is reportedly changing, raising concerns about CoreWeave's ability to maintain its growth trajectory [4] Market Implications - The upcoming IPO is seen as a critical test for the "neocloud" market, with potential implications for the GPU-rental business depending on its success or failure [5]