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Oracle Stock Drops As Layoffs And Project Jupiter Risks Mount

JACK KELLOGG•UPDATED SEP. 24, 2026, 9:19 AM ET
Reviewed by Ellis Hobbsand Fact-checked by Matt Monaco

Oracle Corporation stocks have been trading down by -4.74 percent amid concerns over slowing cloud growth and competitive pressures.

Key Takeaways

  • Repeated workforce cuts continue, with reports of double‑digit percentage layoffs in some Oracle teams after earlier reductions this year.
  • Shares of ORCL slid roughly 3.8%–4.4% on the layoff headlines, as traders reacted to fresh cost-cutting signals in a weak tech tape.
  • Data center loans tied to Oracle’s Project Jupiter campus in New Mexico trade at stressed levels amid lawsuits, delays, and an S&P downgrade to just above junk.
  • Datacom’s deal to resell Rimini Street support in Australia and New Zealand adds price pressure on Oracle’s lucrative software support business.
  • Macro headwinds — higher oil, rising Treasury yields, and rate‑hike fears — are weighing on tech names, including ORCL, in a broader risk‑off backdrop.

Candlestick Chart

Live Update At 09:18:54 EDT: On Thursday, September 24, 2026 Oracle Corporation stock [NYSE: ORCL] is trending down by -4.74%! Discover the key drivers behind this movement as well as our expert analysis in the detailed breakdown below.

Quick Financial Overview

ORCL is trading like a big, powerful ship hitting rougher seas. The daily chart shows Oracle Corporation sliding from the mid‑$160s earlier in the month toward the mid‑$140s, a clear trend of lower highs and lower lows. For short‑term traders, that’s classic downside momentum, not noise.

On the intraday tape, ORCL has been grinding in a tight range around $142–$143, with quick pops sold into. That tells you dip‑buyers are cautious and day traders are fading strength instead of chasing it. Momentum is leaning bearish.

More Breaking News

Fundamentally, Oracle Corporation is still a cash machine. Revenue over the last year sits around $67.4B, with an EBITDA margin near 50% and profit margins above 25%. ORCL throws off over $8.1B in quarterly operating cash flow, but it is also plowing roughly $8.5B into capital spending, leaving slightly negative free cash flow in the latest quarter. Debt is heavy: long‑term obligations around $96.3B and leverage metrics that show Oracle running a balance sheet built for scale, not caution. With a P/E near 25.6 and price‑to‑sales around 6.7, ORCL still trades like a premium software and cloud name, which makes any crack in growth or margins matter more for active traders.

Why Traders Are Watching ORCL Right Now

The core story around ORCL this week is simple: layoffs, leverage, and lingering macro pressure.

Oracle Corporation has launched another round of job cuts, and reports say some teams are losing double‑digit percentages of staff. This is not a one‑off trim; it follows earlier workforce reductions this year. When a mega‑cap like ORCL hits the brakes on headcount twice in quick succession, traders pay attention. It screams cost discipline, but it also hints that management is feeling real pressure on growth or margins.

The market’s reaction was fast and clear. ORCL dropped roughly 3.8%–4.4% on the layoff headlines, underperforming even a weak tech tape. For short‑term trading, that kind of single‑day flush often resets support and creates new resistance levels overhead as trapped longs look to exit on any bounce.

At the same time, the credit story around Oracle Corporation’s infrastructure push is getting louder. Loans tied to ORCL’s Project Jupiter data center campus in New Mexico are trading at stressed levels. The reasons are not pretty: permitting delays, environmental lawsuits, and local opposition, plus an S&P downgrade that left the related credit sitting just above junk and banks holding more debt than planned. For equity traders, this signals that Oracle’s capital‑intensive cloud build‑out is more complex and risky than the smooth narrative in most slide decks.

Competitive pressure is creeping in too. Datacom’s move to resell Rimini Street’s third‑party support for Oracle software in Australia and New Zealand hands Oracle licensees a cheaper alternative to Oracle Corporation’s own high‑margin support contracts. That may not crush ORCL tomorrow, but traders who think in quarters, not days, will note potential future margin pressure.

Layer on the macro: US equities have been hit as oil spikes, Treasury yields climb, and the market prices in another Fed rate hike. Risk appetite is fading, with WallStreetBets‑type names showing broad premarket declines. In that kind of tape, bad company news hits twice as hard — and ORCL has had plenty of it.

Conclusion

For active traders, ORCL is moving from “steady compounder” to “headline‑driven” name, at least in the short term. You have a rich valuation, heavy leverage, stressed loans around a flagship Project Jupiter data center, and back‑to‑back layoff cycles hitting double‑digit chunks of some teams. That is not the backdrop where traders blindly buy dips and forget about risk.

Yet ORCL is not some broken micro‑cap. Oracle Corporation is still generating billions in quarterly operating cash flow, posting thick margins, and pushing hard into cloud infrastructure. The problem for traders is timing and sentiment. With shares sliding from the $160s into the $140s, the chart shows distribution, not accumulation. Until ORCL proves that the layoffs are proactive efficiency moves — and that Project Jupiter’s legal and permitting headaches are contained — momentum traders are likely to fade strength and lean short into pops.

Competition on support revenue from Datacom and Rimini Street adds another slow‑burn risk. If pricing power in Oracle Corporation’s support business erodes in key regions like Australia and New Zealand, that chips away at one of ORCL’s highest‑margin streams.

This is where discipline matters. As Tim Sykes loves to remind traders, “Cut losses quickly — you can always re‑enter, but you can’t get back blown‑up capital.” As millionaire penny stock trader and teacher Tim Sykes says, “There is always another play around the corner; don’t chase just because you feel FOMO.”. For those studying ORCL, that means respecting the downtrend, watching how price reacts around each news hit, and treating every bounce as a trading setup — not a guarantee of a rebound. This article is for educational and research purposes only and is not investment advice.

This is stock news, not investment advice. Timothy Sykes News delivers real-time stock market news focused on key catalysts driving short-term price movements. Our content is tailored for active traders and investors seeking to capitalize on rapid price fluctuations, particularly in volatile sectors like penny stocks. Readers come to us for detailed coverage on earnings reports, mergers, FDA approvals, new contracts, and unusual trading volumes that can trigger significant short-term price action. Some users utilize our news to explain sudden stock movements, while others rely on it for diligent research into potential investment opportunities.

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The available research on day trading suggests that most active traders lose money. Fees and overtrading are major contributors to these losses.

A 2000 study called “Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors” evaluated 66,465 U.S. households that held stocks from 1991 to 1996. The households that traded most averaged an 11.4% annual return during a period where the overall market gained 17.9%. These lower returns were attributed to overconfidence.

A 2014 paper (revised 2019) titled “Learning Fast or Slow?” analyzed the complete transaction history of the Taiwan Stock Exchange between 1992 and 2006. It looked at the ongoing performance of day traders in this sample, and found that 97% of day traders can expect to lose money from trading, and more than 90% of all day trading volume can be traced to investors who predictably lose money. Additionally, it tied the behavior of gamblers and drivers who get more speeding tickets to overtrading, and cited studies showing that legalized gambling has an inverse effect on trading volume.

A 2019 research study (revised 2020) called “Day Trading for a Living?” observed 19,646 Brazilian futures contract traders who started day trading from 2013 to 2015, and recorded two years of their trading activity. The study authors found that 97% of traders with more than 300 days actively trading lost money, and only 1.1% earned more than the Brazilian minimum wage ($16 USD per day). They hypothesized that the greater returns shown in previous studies did not differentiate between frequent day traders and those who traded rarely, and that more frequent trading activity decreases the chance of profitability.

These studies show the wide variance of the available data on day trading profitability. One thing that seems clear from the research is that most day traders lose money .

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Citations for Disclaimer

Barber, Brad M. and Odean, Terrance, Trading is Hazardous to Your Wealth: The Common Stock Investment Performance of Individual Investors. Available at SSRN: “Day Trading for a Living?”

Barber, Brad M. and Lee, Yi-Tsung and Liu, Yu-Jane and Odean, Terrance and Zhang, Ke, Learning Fast or Slow? (May 28, 2019). Forthcoming: Review of Asset Pricing Studies, Available at SSRN: “https://ssrn.com/abstract=2535636”

Chague, Fernando and De-Losso, Rodrigo and Giovannetti, Bruno, Day Trading for a Living? (June 11, 2020). Available at SSRN: “https://ssrn.com/abstract=3423101”