Michael Burry, the investor renowned for his successful bet against the U.S. housing market in 2008, has opened a sizable bearish position against Oracle Corporation. Regulatory filings show Burry’s fund purchased deep out-of-the-money put options with expirations in June and September 2026, representing notional exposure of approximately $150 million. In commentary accompanying the filings, Burry warns that Oracle’s valuations no longer reflect the deceleration in legacy software licensing revenues and warns investors to brace for margin compression as on-premises maintenance renewals slow and competitive cloud vendors gain share. He advises focusing on companies with cleaner balance sheets and more predictable subscription models rather than legacy enterprise software providers facing ongoing transition risks.

At NRF 2026 in New York, Oracle introduced its Oracle Retail Supply Chain Collaboration cloud solution designed to help retailers navigate supply chain volatility. The platform leverages AI-driven insights to improve forecast accuracy by up to 25%, automatically issues urgent notifications to suppliers when shipments face delays, and integrates directly with Oracle Retail Merchandising Foundation Cloud Service to synchronize SKU-level product records in real time. According to Oracle’s release, early adopters report a 15% reduction in out-of-stock events and a 20% improvement in on-time supplier acknowledgments. Paul Woodward, global vice president of Oracle Retail Products, highlighted that the solution supports sustainability goals by collecting and validating supplier ESG certifications and compliance audits within a unified portal.

A leading equity research firm has upgraded Oracle to a Buy rating, citing a rare convergence of strong growth momentum and attractive relative valuation. The analyst noted that Oracle’s cloud revenues surged 34% year-over-year in the most recent quarter, while Oracle Cloud Infrastructure growth reached 68% and remaining performance obligations (RPOs) soared 438% to $523 billion. Although high leverage and rising funding costs remain risks, the firm believes robust demand across SaaS and infrastructure segments and Oracle’s positive guidance for Q3—projecting mid-20% cloud growth—mitigate default concerns. The upgrade comes with a 12-month price target implying a 20% upside from current levels, based on a discounted cash flow analysis that assumes free cash flow conversion of 85% and a weighted average cost of capital of 8.5%.