By Reuters
Publication Date: 2025-12-11 14:17:00
LONDON, Dec 11 (Reuters) – The cost of insuring Oracle’s debt against default rose to its highest in at least five years on Thursday after the company’s results fell short of forecasts, rekindling investor concerns about its “massive borrowing to finance its push into AI.”
The company’s five-year credit default swaps, a derivative that pays bondholders in the event of an issuer’s default, rose nearly 12 basis points intraday to 139 basis points, according to S&P Global Market Intelligence.
This was the highest level since at least September 2020, according to LSEG data.
Oracle shares fell 13% in premarket trading, pointing to a decline at the opening bell later.
(Reporting by Amanda Cooper; Editing by Dhara Ranasinghe)
