Oracle's stock has dropped 33% since reaching an all-time high in September, as the company grapples with skepticism in the AI sector. Analysts highlight Oracle's significant capital expenditures and high leverage, raising concerns about its financial stability. The cost of insuring against Oracle's debt default has surged to its highest since 2009, reflecting investor anxiety over the company's debt risk. Despite a strong earnings outlook three months ago, the current uncertainty overshadows potential positive outcomes from its upcoming earnings report.