Oracle Shares Plunge 10.83% Pre-Market on Mixed Earnings, Cloud Concerns

Friday, Dec 12, 2025 7:04 am ET1min read
Aime RobotAime Summary

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shares fell 10.83% pre-market on Dec 12, 2025, driven by weaker-than-expected cloud growth in its earnings report.

- Mixed results highlighted resilient core database revenue but raised concerns over competitiveness in high-margin cloud services.

- Market skepticism toward enterprise software stocks intensified amid tight credit conditions and bearish cloud service momentum.

- Analysts monitor Oracle's 2026 AI integration plans and RSI indicators for potential rebounds amid short-term downward pressure.

- Long-term fundamentals remain intact as Oracle's enterprise ecosystem sustains critical global business infrastructure.

Oracle shares plunged 10.83% in pre-market trading on December 12, 2025, marking a sharp decline ahead of the opening bell. The drop, one of the largest intraday swings in recent months, sent shockwaves through the tech sector amid heightened investor caution.

Analysts attributed the sell-off to mixed signals from the company’s recent earnings report, which highlighted slower-than-expected growth in its cloud infrastructure division. While revenue from Oracle’s core database licensing remained resilient, underperformance in high-margin cloud services raised concerns about its ability to compete with market leaders. The market’s reaction underscored a broader skepticism toward enterprise software stocks amid tightening credit conditions.

Short-term technical indicators suggest the stock may test key support levels in the coming sessions, though long-term fundamentals remain intact. Institutional investors are closely watching management’s guidance for fiscal 2026, particularly its plans to accelerate AI integration across cloud platforms, which could influence sentiment in the near term.

Market analysts are also monitoring Oracle’s recent RSI (Relative Strength Index) levels for signs of oversold conditions that may precede a potential rebound. However, bearish momentum in cloud services and a weak earnings outlook could prolong downward pressure on the stock in the short term.

Despite the recent downturn, Oracle’s enterprise software ecosystem continues to represent a significant portion of global business infrastructure, and any stabilization in cloud growth could reignite investor confidence. The broader market will likely remain watchful for signs of a turnaround in the coming weeks.

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