Alphabet’s Century Bond is a Quiet Wager Against Sterling - Moby THE GIST Alphabet has served up a rare 100-year bond in sterling as part of a multi-currency borrowing blitz designed to fund a massive AI buildout. On the surface, it is just smart liability management and investor base diversification. Under the hood, it looks a lot like a soft bet that sterling funding is cheap today and may look even cheaper tomorrow. WHAT HAPPENED Alphabet kicked off the week with a $20 billion US dollar bond sale t ...

One side effect of the race to build artificial intelligence platforms and data centers is the staggering cost of AI infrastructure. Data centers use hundreds of bundled graphics processing units, each costing tens of thousands of dollars. That’s why many companies have been raising their capital expenditure budgets—they need the computing power to handle greater AI workloads. But not every company has the resources to handle the capital outlay. Oracle (ORCL) made news last year when it raised its capita ...

For decades, Amazon (NASDAQ: AMZN) has been dominating online retail. Its e-commerce marketplace has become one of the most popular go-to options for consumers due not only to its convenience, but to the speed of its delivery. It has wreaked havoc on conventional brick-and-mortar stores and their once-stable business models. But Amazon has shown an appetite for businesses beyond just its online marketplace. It acquired Whole Foods in 2017 in an effort to get into the grocery business. Now, it's looking at ...

Oracle shares were higher on Monday after the company disclosed plans to raise between $45 billion and $50 billion in funding as it accelerates investment in cloud infrastructure designed to support a... ...

Oracle’s fundraising plans could pressure margins and weigh on earnings, analysts said. - Dado Ruvic/Reuters Oracle said it plans to raise between $45 billion and $50 billion this year to fund its artificial-intelligence infrastructure buildout, seeking fresh capital to satisfy growing demand from clients. The cloud-services giant said it expects to raise the money through a combination of debt and equity to build capacity for its cloud infrastructure business so it can meet demand it has already contrac ...

Economic Data - The U.S. producer price index (PPI) for final demand increased by +0.5% month-over-month (m/m) and +3.0% year-over-year (y/y) in December, surpassing expectations of +0.2% m/m and +2.7% y/y [1] - The core PPI, excluding food and energy, rose by +0.7% m/m and +3.3% y/y in December, also exceeding expectations of +0.2% m/m and +2.9% y/y [1] - The Chicago PMI for January rose to 54.0, significantly above the expected 43.5 [1] Stock Market Performance - Major equity averages on Wall Street ended lower, with chip stocks like KLA Corp. (KLAC) dropping over -15% and Advanced Micro Devices (AMD) falling more than -6% [2] - Mining stocks also declined sharply, with Coeur Mining (CDE) down over -16% and Hecla Mining (HL) sliding more than -14% [2] - PennyMac Financial Services (PFSI) plummeted over -33% after reporting disappointing Q4 results [2] - Conversely, Deckers Outdoor (DECK) surged more than +19% after better-than-expected FQ3 results and an increase in full-year guidance [2] Corporate Earnings and Economic Outlook - Investors are anticipating a new round of corporate earnings reports from major companies including Alphabet (GOOGL), Amazon.com (AMZN), and others, with S&P 500 companies expected to report an average +8.4% increase in Q4 earnings compared to the previous year [8][9] - The U.S. January Nonfarm Payrolls report is awaited for insights into the labor market and its implications for monetary policy, with revisions expected to show a significant markdown in hiring pace [10] - Several Federal Reserve officials are scheduled to speak this week, with discussions likely focusing on the current inflationary environment and interest rate policies [11] Global Market Trends - The Euro Stoxx 50 Index is down -0.07%, with mining stocks declining due to falling metal prices [14] - In Japan, the Nikkei 225 Index closed lower as risk sentiment soured, despite initial gains from a weaker yen and positive election polls [19] - China's Shanghai Composite Index experienced a significant drop, influenced by disappointing economic data and geopolitical concerns [16][17] Company-Specific Developments - Oracle (ORCL) announced plans to raise $45 billion to $50 billion for cloud infrastructure expansion, raising concerns about its debt burden [4][21] - Nvidia (NVDA) shares fell about -2% after CEO Jensen Huang clarified that the proposed $100 billion investment in OpenAI was not a commitment [4][22] - Palantir Technologies (PLTR) rose over +2% in pre-market trading following an upgrade from William Blair [22]

Core Viewpoint - Oracle plans to raise between $45 billion to $50 billion this year to expand its cloud infrastructure, which has raised investor concerns leading to a 4% drop in shares during premarket trading [1] Group 1 - Oracle's share price fell approximately 4% in premarket trading on Monday [1] - The company aims to raise significant capital to enhance its cloud infrastructure [1] - Investor concerns have been fueled by the scale of the planned capital raise [1]

Oracle has said it expects to raise between $45 billion and $50 billion in 2026 to expand capacity for its cloud infrastructure, signalling one of its largest capital-raising efforts as demand for art... ...

Core Viewpoint - Oracle expects to raise between $45 billion and $50 billion by 2026 to enhance its cloud infrastructure capacity for customers [1] Summary by Relevant Categories - **Financial Projections** - Oracle anticipates raising $45 billion to $50 billion in 2026 [1] - **Strategic Initiatives** - The funds will be utilized to build additional capacity for cloud infrastructure customers [1]

Core Viewpoint - Oracle's recent earnings report shows strong growth in cloud services, particularly driven by AI demand, despite a slight decline in overall share performance compared to the S&P 500 [1][2]. Financial Performance - Oracle reported Q2 fiscal 2026 non-GAAP earnings of $2.26 per share, exceeding estimates by 38.65% and increasing 54% year over year in USD [3]. - Total revenues rose 14% year over year to $16.1 billion, with cloud infrastructure growth being a significant contributor [4]. - Cloud infrastructure revenues surged 68% to $4.1 billion, with GPU-related revenues growing 177% [6]. Revenue Breakdown - Revenues from the Americas increased 17.2% to $10.47 billion, while Europe/Middle East/Africa grew 11.2% to $3.76 billion [5]. - Total cloud revenues (SaaS plus IaaS) increased 34% to $8 billion, now accounting for 50% of Oracle's overall revenue [9]. Cloud Services Growth - Cloud database services revenues climbed 30%, with Autonomous Database revenues rising 43% and Multicloud consumption increasing 817% [7]. - Cloud application revenues reached $3.9 billion, up 11% [8]. Operating Expenses and Income - Non-GAAP total operating expenses increased 17% to $9.3 billion, while non-GAAP operating income rose 10% to $6.7 billion [14]. - Operating margin stood at 42% on a non-GAAP basis [14]. Cash Flow and Investments - As of Nov. 30, 2025, Oracle had cash and cash equivalents of $19.2 billion, with capital expenditures totaling approximately $8.1 billion [15]. - Free cash flow was negative $7.3 billion, primarily due to significant investments in data center capacity [16]. Remaining Performance Obligations - Remaining Performance Obligations reached $523 billion, up $68 billion sequentially, with a 438% increase from the prior year [17]. Shareholder Returns - Oracle repurchased shares for $95 million and paid out $2.85 billion in dividends during the six-month period for fiscal 2025 [18]. Guidance - For Q3 fiscal 2026, Oracle expects total cloud revenue growth of 37% to 41% in constant currency and 40% to 44% in USD [20]. - Full-year fiscal 2026 revenue expectation remains at $67 billion, with an additional $4 billion expected in fiscal 2027 due to new RPO [21]. Market Sentiment - Since the earnings release, there has been an upward trend in fresh estimates for Oracle [22]. - Oracle holds a Zacks Rank 3 (Hold), indicating an expectation of in-line returns in the coming months [24].