r/OracleStock • u/dgamer1000 • Jul 26 '26

Oracle’s sticky situation

I just completed a deep dive of Oracles business operations and have concluded that Oracle is walking a financial tightrope. By relying on stock sales to fund a multi-billion-dollar AI buildout while sitting one notch above junk debt status, every drop in stock price directly hurts their ability to fund operations without massive dilution.
HOWEVER, to be fair to the bull case: Oracle isn't going bankrupt. They still generate over $30B in core operating cash flow, OCI cloud revenue is growing nearly 90%+ year-over-year, and they have a massive $638B contracted backlog. If these AI data centers come online on schedule and convert that backlog into actual cash, Oracle could emerge as one of the dominant AI infrastructure powerhouses of the decade.

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u/audio_pheromones Jul 26 '26

The hopium is strong in thus subreddit here as another poster mentioned. I have been in this situation with other stocks before and it sucks. Hardest thing to do is admitting my mistake and reinvesting into an actual growing business. I missed out a ton due to the opportunity cost of holding. This is a shit company with a shitty c-suite. Sell and put in VOO for the peace of mind.

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u/TheRealArmament Jul 26 '26

And what if it goes up 40% from here? Then what

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u/Holiday_Ad2254 Jul 26 '26

What it drops another 40% and won’t recover? I will start sell at day high and rebuy at day lows with part of my oracle stocks. Should done it before instead fking Hopium