Oracle Faces Investor Doubts After 15% Stock Plunge Over AI Investments

Oracle's recent financial results have raised alarms among investors, leading to a significant drop in its stock value. The company's shares plunged 15%, reflecting concerns over disappointing revenue growth and the sustainability of its heavy investments in artificial intelligence.

Despite a notable increase in cloud sales, analysts warn that rising debt levels and slower-than-expected growth could jeopardize future valuations. The market's anxiety is exacerbated by fears of an AI bubble, as other tech firms like Nvidia also faced declines.

Investors are now keenly focused on whether Oracle can translate its increased spending into substantial revenue gains, particularly with ambitious plans for AI and cloud infrastructure.