Oracle Stock Is Down 60%: Why Its AI Cloud Explosion Makes It a Compelling Buy

Published July 15, 2026 · Category: Finance

Overview

The share price of Oracle (NYSE: ORCL) has plunged more than 60% from its 52-week high, and the stock currently trades at $136. This reflects investor concerns around the heavy capital spending to support the company's data center build-out, but it's difficult to overlook the level of demand in Oracle's cloud business.

Cloud revenue growth has accelerated from 28% year over year in the August-ending fiscal first quarter to 47% growth in the fiscal fourth quarter. Demand for artificial intelligence (AI) services drove a 93% increase in the cloud infrastructure business last quarter. While there are risks, the disconnect between cloud growth and its stock price presents a compelling opportunity for investors.

Image source: The Motley Fool.

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Originally published at www.fool.com.

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