Oracle Shares Plunge 10% as Capex Plans Top $80B–$100B
ORCL•Oracle plans to boost next fiscal year capex to $80–100 billion for Project Stargate data centers and Nvidia chips, with 36 of 43 analysts rating it Buy or higher. Oracle shares fell 10% today on broader market weakness while analysts forecast Q4 revenue of $19.1 billion and adjusted EPS of $1.96.
1. Capital Expenditure Plans
Oracle plans to invest between $80 billion and $100 billion in capital expenditures next fiscal year to bring online data center campuses under its Project Stargate initiative and to secure additional Nvidia AI chips.
2. Analyst Forecasts
Of 43 analysts covering the company, 36 rate it Buy or higher, six rate it Hold, and one rates it Sell, with a consensus price target near $283, while fourth-quarter forecasts call for $19.1 billion in revenue and $1.96 in adjusted earnings per share.
3. Stock Reaction and Performance
Oracle shares declined 10% today in reaction to the capex outlook and broader market selling, even as retail sentiment remains bullish, with the stock up over 10% year-to-date and nearly 26% over the past 12 months.
