Oracle stock in free fall: What's driving the latest selloff and what's next?

Oracle shares have fallen to a fresh 52-week low after an extended selloff triggered by an S&P Global Ratings downgrade to BBB-, just one notch above junk status. S&P cited aggressive AI infrastructure spending, rising leverage, and execution risks. Investors remain concerned that heavy capex on data centers could pressure cash flows and debt levels before meaningful AI-driven returns materialise.