7/102 sources · 2 publishersUpdated Oct 15, 08:58 UTC
Oracle shares plunge nearly 9% after hotter‑than‑expected CPI data raises rate‑hike bets
Oracle (ORCL) closed at $130.55 on October 14, down 8.83% after September CPI rose 3.7% year‑over‑year, pushing Treasury yields higher. The drop highlighted the company’s $167 billion debt load and a 55% jump in quarterly interest expense to $1.43 billion. Despite the sell‑off, Oracle kept its fiscal 2027 revenue guidance of at least $90 billion unchanged.
Why it matters
The higher‑rate environment increases Oracle’s financing costs, pressuring cash flow and raising the risk of a dividend cut. Investors must weigh the debt burden against the company’s growth outlook.
Key facts
- 1Oracle shares closed at $130.55, down 8.83% on October 14. finance.yahoo.com
- 2September CPI increased 3.7% year over year. tikr.com
- 3Total debt, including leases, was $167 billion at the end of fiscal 2026. tikr.com
- 4Interest expense for the August quarter was $1.43 billion, up 55% from a year earlier. tikr.com
- 5Fiscal 2027 revenue guidance remains at least $90 billion. tikr.com
Summary written by AlphAI AI Desk from 2 of 2 sources. Not investment advice. Figures are as stated by the linked sources.