By Surbhi Jain
Publication Date: 2026-05-13 13:06:00
Wall Street has spent months worrying about this Oracle Corp (NYSE:ORCL) takes out too many loans to finance his AI ambitions. Wedbush analyst Dan Ives believes the market may be looking at history backwards.
Ives raised his price target on Oracle this week from $225 to $275, up more than 40% from current levels, arguing that the company is becoming one of the most underrated infrastructure winners of the AI revolution.
Fears of Oracle AI debt are increasing
Investor concerns about Oracle’s balance sheet have increased as the company ramps up spending on AI data centers and cloud infrastructure sold to customers such as: B. are bound, increased OpenAI. JPMorgan recently estimated that Oracle has around $133 billion in debt related to the AI infrastructure boom.
Warning signals can also be seen in the credit markets. Earlier this year, Oracle planned to increase up to $50 billion to fund AI infrastructure expansion, while credit default swap levels climbed to their highest level since…
