Oracle's earnings fell by 11% after quarterly revenues were below analysts' estimates, despite strong demand for AI solutions.

Oracle's shares recorded a drop of up to 15% on Thursday, later stabilizing at a decline of 11%, after the release of quarterly revenues of $16.06 billion, below the estimate of $16.21 billion. This weakness also affected other stocks in the AI sector, such as Nvidia and AMD. Although Oracle recently raised $18 billion through a bond issuance and signed a $300 billion agreement with OpenAI, concerns about high debts and capital expenditures in AI infrastructure expansion persist. Free cash flow was negative, reaching nearly $10 billion, below analysts' expectations. Wedbush analysts believe that demand for Oracle's AI solutions is a positive signal, and the market declines could represent a buying opportunity. Despite recent declines, Oracle's shares have risen by 34% since the beginning of the year, highlighting investor interest.