Wendi Susanto

#OracleFlags$20BAdditionalCapitalRaise On July 9, S&P downgraded $ORCL  to BBB- (one notch above junk), citing balance sheet strain from its AI infrastructure buildout. The stock still closed +2.65% . Oracle is raising $40B+ this year — including $20B in new equity — to fund FY2027 CapEx of $90B–$95B . The result is a projected -$42B free cash flow deficit and 4x adjusted leverage , with total debt reaching ~$167B. OpenAI alone accounts for ~50% of the $638B backlog . The bull case: $638B RPO will eventually convert into cash flows. Cloud revenue grew 47% YoY, OCI surged 93%. The market is betting Oracle becomes the fourth hyperscaler. The risk: bond spreads already widened from 1.75pp to 1.84pp. If AI demand softens, Oracle carries the heaviest leverage in tech. Bottom line: Napoleonic bet. The FY2027 earnings will tell us if the backlog justifies the debt. Disclaimer: Not financial advice. #MicronPostsRecord84.9%GrossMargin #MetaLaunchesPaidAIModelMuseSpark1.1 #SKHynixIPOBankFeesTop$140M #KRXHaltsKOSDAQProgramBuyingFor5Min