Oracle shares rebound 6% to $194 after 18% June slump
ORCL•Oracle shares rebounded 6% to near $194 on Monday after an earlier sell-off pushed them down about 18% over June. Investors are comparing this recovery to peers’ AI spending, notably Microsoft’s planned $190 billion 2026 capex, to assess potential margin pressure on Oracle’s cloud division.
1. Oracle Shares Rebound After Sell-Off
Oracle stock climbed roughly 6% on Monday to about $194 following a steep 18% decline for the month. The rebound reflects investor confidence returning after earnings concerns triggered the earlier sell-off, with buyers attracted by the discounted share price and expectations for stabilizing software license and cloud revenue.
2. Microsoft’s AI Capex Highlights Sector Margin Risks
Oracle investors are monitoring peers’ AI infrastructure investments, especially Microsoft’s $190 billion capital expenditure plan for 2026. The massive spending raises questions about future cloud margin trajectories across the sector and whether Oracle may face similar profitability headwinds as it scales AI services and data center capacity.
