Down More Than 60% From Its High, Has Oracle Stock Become a Bargain Buy?

Oracle's stock has plummeted over 60% from its highs due to investor concerns about massive AI infrastructure spending, high debt levels, and dependence on OpenAI. Despite capital expenditures doubling to $55.7 billion and long-term liabilities reaching $176.9 billion, the company maintains strong profit margins and trades at a forward P/E below 16—significantly lower than the S&P 500 average of 22. For long-term investors, Oracle could represent a compelling contrarian buying opportunity as bearish sentiment may be overpriced.