Oracle (NYSE:ORCL) shares down as AI layoffs put focus on cloud spending
Oracle shares dropped 2.7% to $170.32 in late-morning New York trading Tuesday. The move came after the company said in its annual report that its workforce was down by around 21,000 in fiscal 2026, raising investor worries about the cost of its AI plans. Oracle touched $165.00 earlier. The company’s market value now sits near $496 billion. Poor timing for tech stocks. U.S. technology shares dropped as investors pulled money from semiconductor and AI-linked names. Both the Nasdaq and S&P 500 traded at more than one-week lows. Nigel Green, chief executive of deVere Group, said the AI trade was so crowded that “the exit door becomes very small very quickly.”