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Oracle Shares Drop 5% Amid AI Growth Doubts

9/28/2025

40 8 Full Breakdown

Summary

Story summary

Oracle shares fell over 5% after Rothschild & Redburn report questioned its cloud and artificial intelligence (AI) growth projections.
Rothschild & Redburn set a $175 target for Oracle, about 40% below valuation.
In China, AI chips could take 55% of market by 2027, up from 17% in 2023.
Microsoft unveiled microfluidic cooling system for data centers, disrupting nVent and Eaton.

History

Historical Context

The dot-com bubble burst in 2000 led to a dramatic decline in technology stocks, with Oracle's market capitalization plummeting over 80%. This event reflected investor skepticism about tech growth. Today, Rothschild & Redburn's report warns of a potential 40% drop in Oracle's shares, raising concerns about its competitiveness against innovative firms like Microsoft in the evolving cloud and AI landscape.

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Story summary

Oracle shares fell over 5% after Rothschild & Redburn report questioned its cloud and artificial intelligence (AI) growth projections.
Rothschild & Redburn set a $175 target for Oracle, about 40% below valuation.
In China, AI chips could take 55% of market by 2027, up from 17% in 2023.
Microsoft unveiled microfluidic cooling system for data centers, disrupting nVent and Eaton.

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