Oracle Corp.'s 10-K, read.

Oracle's cloud demand is accelerating sharply, with Q1 FY2027 revenue up about 30% and a $664 billion backlog of remaining performance obligations. That growth requires enormous data-center spending, which now exceeds operating cash flow and is being funded by customer prepayments, a $19.9 billion equity raise, and a growing pile of lease and purchase commitments.

• Free cash flow is negative, at about -$5.4 billion: in Q1 FY2027 operating cash flow was $23.1 billion against $28.5 billion of capital expenditures, and the company raised $19.9 billion through an at-the-market stock sale, more than covering that gap.
• Shareholder dilution: common shares outstanding rose from about 2,880 million at May 31, 2026 to 3,024 million at August 31, 2026, with 141 million shares issued under the ATM program.
• Off-balance-sheet obligations are large: $288 billion of additional data-center lease commitments not yet on the balance sheet (generally commencing through fiscal 2029, with 15–19 year terms), plus $34.2 billion of unconditional purchase obligations.
• Customer prepayments are inflating reported liquidity: deferred revenues doubled to $30.8 billion, including $11.4 billion of prepayments with a significant financing component received in the quarter, which will unwind as performance obligations are delivered.
• Depreciation and costs are rising quickly: depreciation more than doubled to $3.2 billion from $1.4 billion year over year, and cloud and software operating costs rose to $6.4 billion from $3.6 billion, pressuring margins as capacity comes online.

Not investment advice — general research, the same for every reader. You make your own calls.