Oracle slips after cautious long-term profit outlook despite GenAI push

Oracle shares fell about 2.1% after its long-term profit guidance missed analyst expectations, despite reaffirming growth bets on GenAI workloads. Management cited slower enterprise software demand and extended deal cycles, though cloud infrastructure momentum continues. Investors are tracking backlog conversion and AI-driven capacity expansion. Any improvement in Autonomous Database and ISV partnerships could cushion macro pressure. Valuations remain sensitive near record highs, keeping sentiment tied to execution and clarity on margin expansion for FY26.