Oracle rebounds 4.9% after AI revenue concerns trigger sell-off

Oracle shares rose 4.9 percent in Friday morning trading, joining a broader rebound in technology stocks after a sharp decline tied to artificial intelligence revenue reports. The recovery followed a day when major equity averages, including the S&P 500 and the Nasdaq, faced selling pressure as investors reassessed the monetization timeline for AI investments. Other technology names also advanced, with C3.ai and Dynatrace each gaining 2.6 percent and Amplitude rising 1.5 percent.

The initial sell-off was sparked by new data on OpenAI’s financial performance. According to CNBC, OpenAI informed investors that its annualized revenue reached roughly $50 billion at the end of September. This figure is significantly lower than the $68 billion run rate that had been widely circulated in late October. The Financial Times first reported the $50 billion figure, which was included in an investor presentation as OpenAI works to justify its $852 billion valuation ahead of a potential initial public offering in 2027.

A person familiar with the matter told CNBC that the discrepancy between the two figures stems from accounting practices. The initial $68 billion estimate included gross revenue from OpenAI’s partners, a choice intended to facilitate direct comparisons with rival Anthropic for potential investors. The correction of this metric contributed to heightened volatility in AI-linked equities, particularly pressuring Oracle as market participants evaluated the underlying growth trajectory of the cloud infrastructure sector.

Oracle’s stock has experienced significant fluctuations recently. The company’s shares have registered 37 moves greater than 5 percent over the past year. Before Friday’s recovery, Oracle stock dropped 5.7 percent approximately 21 hours earlier, a decline attributed by financial media to the surprise in OpenAI’s revenue figures and surging bond yields. The current trading price stands at $141.82 per share.

This price is 54.7 percent below Oracle’s 52-week high of $313, which was recorded in October 2025. Since the beginning of the year, Oracle shares are down 27.5 percent. Despite this recent decline, long-term investors have seen gains; a $1,000 investment in Oracle five years ago is now valued at $1,488.