Oracle Trims Gain to 0.6% Despite $664 Billion AI Backlog as $40 Billion Funding Plan Worries Investors
Updated
Updated · Yahoo Finance · Sep 11
Oracle Trims Gain to 0.6% Despite $664 Billion AI Backlog as $40 Billion Funding Plan Worries Investors
3 articles · Updated · Yahoo Finance · Sep 11
Summary
Oracle shares slid from an early 7% premarket jump to $153.74, leaving the stock up only about 0.6% after touching $165.80.
$664 billion in remaining performance obligations and strong Q1 results initially fueled the rally, with revenue up 30% to $19.3 billion and infrastructure-as-a-service sales surging 121% to $7.4 billion.
Investor enthusiasm faded as Oracle disclosed roughly $5.4 billion in negative free cash flow and plans to raise $40 billion this fiscal year to fund AI buildout.
The company added 850 megawatts of computing capacity and installed more than 300,000 GPUs, underscoring demand that still must convert from contracts into reported sales over time.