Oracle's AI Debt Concerns Ahead of Earnings

Oracles quarterly earnings announcement today is highly anticipated, with analysts predicting a significant increase in earnings per share and revenue. The focus is on Oracle Cloud Infrastructure (OCI), their AI segment, expected to see a substantial revenue rise. However, Oracles stock has dropped significantly, contrasting with other tech companies gains. The stock surged initially due to a deal with OpenAI, but concerns about high costs and an AI bubble have made investors nervous. Oracle has accumulated substantial debt to fund AI investments, causing increased risk perception and potential concerns about the tech rally being overvalued.The Daily News Now! — Every city. Every story. AI-powered. Hosted on Acast. See acast.com/privacy for more information.