Oracle (ORCL) valuation review as debt-backed AI push and OpenAI cloud deal come under scrutiny

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Oracle (ORCL) is back in the spotlight after its aggressive push into AI infrastructure, funded largely by new debt tied to a long-term cloud partnership with OpenAI, raised new questions about risk and disclosure.

Check out our latest analysis for Oracle.

The latest AI infrastructure headlines follow a volatile period for Oracle shares, with a 1-year shareholder return of 19.87% versus a 90-day share price decline of 31.06%. This suggests that momentum has cooled, although the longer-term picture remains much better.

With that in mind, new cloud deals in retail, healthcare and defense, as well as Oracle’s push into decentralized AI data centers, add to a broader discussion about how much leveraged AI capacity investors are comfortable with at the current share price of $191.09.

When Oracle’s AI drives…