Oracle is trading 4.4% down at ARS 70,200.00 after S&P Global downgraded its credit rating, citing risks associated with the company's aggressive AI infrastructure financing.
- S&P Global lowered the rating to BBB-, just one notch above junk status, due to heavy capital expenditures and rising debt tied to OpenAI-related data centers.
- Analysts expressed concern over cash flow risks as the company ramps up spending to support its massive AI buildout.
- The downgrade adds significant pressure to the stock, which was already under scrutiny for its ambitious and costly expansion plans.