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ORCL
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161 days

Oracle won some big cloud contracts. Here’s why its stock is falling. - MarketWatch

1. Oracle's shares fell 4.4% post-earnings despite high demand forecasts. 2. Company's fiscal Q3 earnings missed expectations, causing share price decline. 3. Oracle holds $130 billion in cloud service backlogged contracts. 4. Analysts adjusted price targets down due to margin pressures and slow growth. 5. Stargate contract revenue was not included in estimated projections.

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FAQ

Why Bearish?

Oracle's revenue miss and lowered guidance suggest declining investor sentiment, reminiscent of similar situations where lowered forecasts led to stock price drops.

How important is it?

The article presents crucial financial information impacting ORCL's performance and investor confidence, amplifying the stock's volatility.

Why Short Term?

Immediate concerns about margin compression and lower guidance will affect market perception quickly, but may stabilize with strong execution on backlogged contracts.

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