By Ghazal Ahmed
Publication Date: 2025-11-29 10:57:00
Oracle Corporation (NYSE:ORCL) is one of the AI stocks are making headlines on Wall Street. On November 25, DA Davidson lowered its price target on the stock from $300.00 to $200.00 but maintained a Neutral rating. The company expressed concerns about excessive backlog related to OpenAI and rising credit risks, citing these as key overhangs in the shares.
Analysts noted that their concerns grew when they saw that Oracle’s backlog increase was almost entirely due to OpenAI, although Oracle initially suspected several customers were behind it.
“We were concerned about ORCL when we realized that OpenAI represented the entire increase in Oracle’s backlog, and that has actually hit ORCL again as shares are now trading at a lower price than they were before the earnings release.”
A clearer picture regarding the increase in order backlog emerged the next day when Oracle announced on September 9th. reported its profits, which raised red flags.
“The $300 billion was by far OpenAI’s largest commitment and made…
