Oracle Shares Plummet After Investor Day Disclosures
Oracle Corporation (ORCL) experienced a sharp decline of up to 8.1% during Friday's trading session, settling at a 6.9% loss by market close. The sell-off followed the company's Investor Day presentation, where long-term financial targets failed to meet elevated market expectations despite impressive projections.
The cloud giant revealed ambitious 2030 revenue guidance of $225 billion, with $166 billion expected from cloud infrastructure services. While disclosing improved 30-40% gross margins on large cloud deals—alleviating concerns about its OpenAI-dependent growth—investors opted to take profits after the stock's recent rally. The market's reaction underscores the tension between Oracle's transformative cloud ambitions and execution risks in a competitive sector.
