Oracle Shares Drop 7% Despite Bullish Analyst Ratings Amid AI Ambitions
Oracle's stock fell sharply Friday, dropping over 7% to $291 per share despite receiving predominantly Buy ratings from Wall Street analysts. The decline followed the company's AI World event in Las Vegas, where executives unveiled ambitious 2030 forecasts.
TD Cowen analyst Derrick Wood praised Oracle's performance across key metrics, stating the company had "all the tools" for AI success—apps, data, infrastructure, and artificial intelligence capabilities. Yet investors remained cautious, with only four Hold ratings appearing among 18 total analyst actions tracked by TipRanks.
The selloff extended pre-market losses of 2.4%, suggesting skepticism about Oracle's ability to deliver on its long-term AI vision. While the enterprise software giant dismissed recent reports of weak cloud infrastructure demand, market reaction underscored the high stakes of its AI pivot.
