Oracle shares fall 5% in intraday trading after surging 36% to record high in previous session; market cap rises by approximately USD 250 billion.

Oracle shares fall 5% in intraday trading after surging 36% to record high in previous session; market cap rises by approximately USD 250 billion.

Oracle shares experienced a significant drop of 5% in intraday trading on September 10, 2025, following a 36% surge to a record high in the previous session. This decline, which occurred despite the company's robust earnings report, underscores the volatile nature of the stock market. The fall in share price resulted in a decrease in Oracle's market capitalization by approximately USD 250 billion.

The intraday drop in Oracle's stock was driven by several factors. Firstly, the company's stock had seen an unprecedented rise, with shares soaring by 36% to hit a new all-time high. This rapid appreciation, coupled with the anticipation of continued strong performance, led to a sell-off as investors took profits. Additionally, market participants may have been influenced by broader market trends and geopolitical uncertainties, leading to a general pullback in tech stocks.

Oracle's earnings report, released on September 9, 2025, was notable for its robust performance in the AI cloud sector. The company reported a record backlog of $455 billion, a figure that exceeded analyst expectations by a significant margin [^NUMBER]. This backlog reflected strong demand for AI workloads and underscored Oracle's position as a key player in the AI infrastructure market. Furthermore, Oracle's projections for future growth in its cloud infrastructure revenue were highly optimistic, with estimates of $144 billion by 2030 [^NUMBER].

Despite the strong earnings report, the market reacted with caution. The company's high valuation, as reflected in its forward price-to-earnings multiple of 35.8X, may have contributed to the sell-off. Investors may have been concerned about the sustainability of Oracle's growth trajectory and the potential for a correction in the stock price [^NUMBER].

The fall in Oracle's share price highlights the importance of risk management and diversification in investment portfolios. While Oracle's strong performance in the AI cloud sector is commendable, the company's stock remains highly volatile. Investors should closely monitor the company's future earnings reports and adjust their investment strategies accordingly.

In conclusion, Oracle's shares fell 5% in intraday trading on September 10, 2025, following a 36% surge to a record high in the previous session. The decline was driven by a combination of factors, including the stock's rapid appreciation, market trends, and geopolitical uncertainties. The company's strong earnings report, particularly its robust performance in the AI cloud sector, was a highlight of the quarter. However, investors should remain cautious and monitor the company's future performance closely.