Tech Sell-Off Flags Oracle, Palantir as Oversold Amid AI Valuation Fears
A sharp tech sell-off on Thursday left Oracle, Palantir, and Super Micro Computer flashing oversold signals on the 14-day RSI screen. The Nasdaq Composite attempted a Friday rebound but remains down 3.5% for November, reflecting persistent anxiety over stretched AI valuations.
Oracle’s RSI plunged to 24—among the index’s lowest—as shares fell 6% this week. Despite a 35% year-to-date gain, the cloud infrastructure provider has shed 35% since its September peak. Wall Street’s concern centers on Oracle’s debt-heavy expansion into AI infrastructure, prompting Bank of America to reiterate a market-weight rating while urging clearer financial discipline.