Shares in key semiconductor names Nvidia (NVDA) and Oracle (ORCL) fell over 2% on Wednesday afternoon, extending losses from the previous day. It appears that reports of OpenAI missing its user and revenue growth targets are still driving investors to be cautious.
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New trading tool for NVDA bearsOpenAI Performance Raises Concerns
According to The Wall Street Journal, OpenAI — the AI startup that kicked off the generative AI boom a few years ago — saw the growth of its user base for its popular AI chatbot ChatGPT slow down toward the end of 2025. ChatGPT has also reportedly been facing higher subscriber losses, even as OpenAI is believed to have missed its annual revenue target for the platform.
The reports renewed concerns about whether massive AI spending by tech majors will pay off and came after the recent selloff in Magnificent Seven stocks over the same concern. Shares in chipmakers Intel (INTC) and Advanced Micro Devices (AMD) also fell on Tuesday following the news, but both bounced back in Wednesday afternoon trading.
Why Nvidia and Oracle Are in the Spotlight
However, Nvidia and Oracle shares remained in the red zone.
It comes as Nvidia expanded its annual capital spending by roughly 87% year-over-year to $6.04 billion at the end of its last fiscal year that ended on January 25, 2026. Nvidia is also aiming to hit at least a revenue of $1 trillion by 2027, with growth fueled by demand for its Blackwell and upcoming Vera Rubin data center systems.
On the other hand, Oracle has significantly expanded its debt profile to fuel the expansion of its AI infrastructural base, even as the company transitions from an enterprise software giant to an AI-first company.
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