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The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
Amid the aggressive race for AI leadership, Oracle's rapid expansion has sparked questions regarding the sustainability of its financing model. Analysts expressed concern over the company's high spending levels and increasing reliance on debt funding, even as it managed to beat quarterly earnings estimates. However, the company recorded a massive backlog totaling more than $630 billion, driven by surging demand for its cloud infrastructure services.
These concerns emerge as Big Tech faces mounting pressure to balance growth with fiscal discipline; for instance, Microsoft recently reported a 79% year-over-year increase in capital expenditure to $14 billion per its latest filings, placing Oracle in a direct capital battle. Compared to its peers, investors are closely monitoring borrowing costs as Oracle finances new data centers to support its massive backlog, per market data.
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Sign InAt the close of June 11, 2026, ORCL shares stood at $182.24, having traded between a low of $175.28 and a high of $183.13 during the session per market data. Traders should watch for any credit rating updates or new debt issuance announcements as key catalysts, especially with a relatively quiet global economic calendar scheduled for the next seven days.