Oracle Shares Tumble as $15 Billion Capex Increase and Weak Guidance Reignite AI Bubble Concerns

Oracle CorporationORCL shares slumped nearly 11% in premarket trading on Thursday after the cloud computing giant issued downbeat forecasts and warned that capital expenditures would surge far beyond previous estimates, fanning worries that its massive AI infrastructure investments are taking longer than expected to deliver returns.

Executives warned that capital expenditures for fiscal 2026 are now expected to be $15 billion higher than the $35 billion the company estimated in September during its first-quarter earnings call. The dramatic increase brings total projected capex to $50 billion, raising critical questions about the company's ability to monetize its ambitious data center buildout and partnerships with firms like OpenAI.