{"id":48976,"date":"2026-04-28T11:35:24","date_gmt":"2026-04-28T11:35:24","guid":{"rendered":"https:\/\/quickassetsmarket.com\/index.php\/2026\/04\/28\/oracle-stock-falls-as-openai-reportedly-misses-targets-300b-deal-in-focus\/"},"modified":"2026-04-28T11:35:24","modified_gmt":"2026-04-28T11:35:24","slug":"oracle-stock-falls-as-openai-reportedly-misses-targets-300b-deal-in-focus","status":"publish","type":"post","link":"https:\/\/quickassetsmarket.com\/index.php\/2026\/04\/28\/oracle-stock-falls-as-openai-reportedly-misses-targets-300b-deal-in-focus\/","title":{"rendered":"Oracle stock falls as OpenAI reportedly misses targets; $300B deal in focus"},"content":{"rendered":"
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Shares of Oracle Corporation fell about 5% in early premarket trading on Tuesday after a report raised concerns about the growth trajectory of OpenAI, one of its largest customers, casting a shadow over the cloud giant\u2019s long-term revenue visibility.<\/p>\n

The decline follows a report by The Wall Street Journal, which said OpenAI has fallen short of internal targets<\/a> for both user growth and revenue in recent months.<\/p>\n

The development is significant for Oracle, which last year announced a massive $300 billion, five-year cloud agreement with the artificial intelligence firm.<\/p>\n

The ripples from OpenAI\u2019s reported growth slowdown also reached Tokyo, where SoftBank Group\u2014now a 13% owner of the startup\u2014saw its shares plunge 9.9%.<\/p>\n

AI infrastructure provider CoreWeave also fell by 3.5%.<\/p>\n

Concerns over OpenAI’s growth<\/h2>\n

According to the report, OpenAI missed its internal goal of reaching 1 billion weekly active users by the end of 2025.<\/p>\n

It also fell short of multiple monthly revenue targets earlier this year, amid rising competition in key segments such as coding and enterprise services.<\/p>\n

The company has reportedly lost ground to rivals including Anthropic, while its flagship product ChatGPT has seen a decline in market share.<\/p>\n

Data cited in the report showed ChatGPT\u2019s share of generative AI web traffic dropped from 86.7% a year earlier to 64.5% in January 2026, while Gemini rose sharply from 5.7% to 21.5%.<\/p>\n

Crucially, the report noted that OpenAI\u2019s chief financial officer, Sarah Friar, has expressed concerns internally about the company\u2019s ability to meet future computing contract obligations if revenue growth does not accelerate.<\/p>\n

Investor concerns over Oracle exposure<\/h2>\n

The developments have triggered fresh concerns among investors about Oracle\u2019s exposure to a single, high-profile customer.<\/p>\n

The company has been investing heavily in data centre infrastructure to support its AI ambitions, much of it tied to anticipated demand from OpenAI.<\/p>\n

Oracle\u2019s financial position has come under increasing scrutiny. The remaining performance obligations surged 325% to $553 billion.<\/p>\n

The company is also in the process of raising $50 billion through a combination of debt and equity to fund additional data centre capacity.<\/p>\n

These investments are being made ahead of revenue generation from the OpenAI deal, which is expected to begin contributing meaningfully only next year.<\/p>\n

Analyst flags structural risks<\/h2>\n

Some market participants have raised concerns about the sustainability of Oracle\u2019s strategy.<\/p>\n

George Noble, a hedge fund veteran and former Fidelity fund manager, warned that the company\u2019s artificial intelligence push could be built on fragile foundations.<\/p>\n

\u201cOracle has been using project financing structures (loans repaid from projected future cash flow) to keep tens of billions more in borrowing off its balance sheet entirely. So when analysts quote Oracle’s debt load, they’re UNDERSTATING the actual exposure by a meaningful margin,\u201d he said in a post on X.<\/p>\n

Noble argued that Oracle\u2019s bullish narrative is heavily dependent on a concentrated bet, particularly the OpenAI contract, and cautioned that delays in related projects and lender skepticism could pose additional risks.<\/p>\n

He also suggested that recent earnings performance may be supported by accounting adjustments and cost-cutting measures, warning that the broader narrative could \u201cend HORRIBLY.\u201d<\/p>\n

Oracle shares have already declined significantly, falling about 50% from their 52-week high reached last September.<\/p>\n

Mixed views among analysts and investors<\/h2>\n

Despite the concerns, sentiment on the stock remains divided.<\/p>\n

According to data from Koyfin, 34 out of 44 analysts currently rate Oracle shares as \u2018Buy\u2019 or higher, with an average price target implying roughly 40% upside.<\/p>\n

Retail investor sentiment, however, has weakened in recent days.<\/p>\n

On Stocktwits, sentiment around Oracle was described as neutral, with some traders expressing caution.<\/p>\n

\u201c$ORCL OpenAI news going to drop it hard today,\u201d one user wrote, while another said, \u201c$ORCL embarrassing stock and embarrassed that I bought it.\u201d<\/p>\n

Not all analysts share the bearish outlook.<\/p>\n

Dan Ives of Wedbush Securities reiterated a positive stance on the stock<\/a>, assigning an Outperform rating and a $225 price target on April 24.<\/p>\n

Ives argued that the market is \u201cfundamentally misinterpreting\u201d Oracle\u2019s heavy capital expenditure as a risk rather than a strategic shift.<\/p>\n

He described the company\u2019s transformation into a \u201cfoundational infrastructure provider\u201d for the AI economy as being in its early stages.<\/p>\n

\u201cThe early innings of a significant repositioning\u201d require substantial upfront investment, he said, adding that Oracle has already strengthened its balance sheet by raising $30 billion through investment-grade bonds and preferred stock.<\/p>\n

According to Ives, concerns about negative free cash flow are \u201cbackward-looking\u201d and fail to account for the scale of future demand embedded in long-term contracts such as the OpenAI deal.<\/p>\n

He added that once these partnerships begin to translate into revenue growth, the current weakness in Oracle\u2019s share price could be viewed as a buying opportunity.<\/p>\n

The post Oracle stock falls as OpenAI reportedly misses targets; $300B deal in focus<\/a> appeared first on Invezz<\/a><\/p>\n

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Shares of Oracle Corporation fell about 5% in early premarket trading on Tuesday after a report raised concerns about the growth trajectory of OpenAI, one of its largest customers, casting a shadow over the cloud giant\u2019s long-term revenue visibility. The decline follows a report by The Wall Street Journal, which said OpenAI has fallen short <\/p>\n","protected":false},"author":1,"featured_media":48977,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":{"0":"post-48976","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-investing"},"_links":{"self":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/48976","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/comments?post=48976"}],"version-history":[{"count":0,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/48976\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media\/48977"}],"wp:attachment":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media?parent=48976"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/categories?post=48976"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/tags?post=48976"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}