Oracle initiated a $20 billion at-the-market stock offering. The company also completed a $25 billion debt issuance. These actions support a broader strategy to raise between $45 billion and $50 billion in 2026 to expand Oracle Cloud Infrastructure (OCI) capacity.
The capital aims to meet contracted demand from major artificial intelligence customers. However, the aggressive spending strategy fueled investor concerns regarding rising debt, cash flow, and shareholder dilution. These factors contributed to a significant stock price decline in January 2026.
Multiple law firms filed securities fraud class-action lawsuits against Oracle on February 5, 2026. The suits allege that the company and its executives made false or misleading statements in 2025 regarding the capital expenditures required for its AI strategy. Litigation also focuses on the failure to disclose associated financial risks.