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Oracle shares fell nearly 12% in premarket trading, as aggressive AI investment sparked investor concerns

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2025-12-11 10:30:59
Oracle Inc. (ORCL. N) shares fell nearly 12 percent in premarket trading on Thursday as earnings missed expectations and the company announced an additional $15 billion in data center spending to meet AI demand. Revenue was $16.10 billion in the last quarter, up 14 percent from a year earlier but missing analysts' expectations. The company has raised its capital spending forecast for the current fiscal year by 40 percent to $50 billion as long-term debt climbed to $99.90 billion. Investors have raised concerns about Oracle's heavy borrowing and spending to meet the needs of AI companies such as OpenAI, questioning its short-term return outlook. Morgan Stanley expects Oracle's net debt to reach about $290 billion by 2028.
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