Shares of Oracle, which makes database software, fell more than 6 percent in the Dec. 10 postmarket following the release of its <a href="https://www.prnewswire.com/news-releases/oracle-announces-fiscal-year-2026-second-quarter-financial-results-302638471.html">quarterly report</a>. The company's revenue came in worse than expected, CNBC <a href="https://www.cnbc.com/2025/12/10/oracle-orcl-q2-earnings-report-2026.html">points out </a>. For the second quarter of fiscal year 2026, which ended Nov. 30, it increased 14% to $16.06 billion, while analysts on average expected $16.21 billion. Earnings per share were $2.26 versus expectations of $1.64, the channel reports.

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Oracle Corporation

Options markets are pricing in a 10% move in the stock in either direction following the release of the Oracle report 

"A key moment for AI stocks": what Wall Street is expecting from Oracle's report

Oracle's debt risk index has risen to a three-year high - and Morgan Stanley estimates this is just the beginning. Against the background of growing borrowings to finance AI projects and large-scale construction of data centers, default protection is becoming more expensive, and the pressure on the securities is increasing. What do analysts see and what actions do they suggest investors take?

Morgan Stanley: Oracle debt risks are at a 3-year high. What does it advise?

Oracle, one of the largest U.S. software makers and server hardware vendors, is actively engaged in the artificial intelligence race, and this is already worrying investors. The company has a growing debt load and risks concentrating large customers. Its case mirrors the story of the development of AI itself: investors first skyrocketed the quotations of companies related to it, and then began to wonder whether a giant bubble had burst in this sector.

Oracle's shares collapsed 6%. Its revenue fell short of expectations