In the past year, Oracle has seen its share price drop more than 20 percent, while Yahoo has experienced an even greater plunge.
On Friday, Oracle reported a loss of $1.07 billion, or $0.13 per share, as its share value dropped by almost $50 billion to $4.25 billion.
That loss comes as Oracle has been grappling with the fallout of Oracle’s massive acquisition of Yahoo, the largest technology company in the world.
Oracle’s stock price has lost more than a third of its value in the past 12 months, and is now down almost 20 percent since April.
“This was the biggest acquisition in Oracle history, but I think it’s going to be a big mistake,” said Chris Hays, chief executive of global technology consultancy Maven Group.
“The stock is still a great performer but it’s down 50 percent.”
The stock also has fallen on news of the impending merger with Yahoo.
“Oracle has a lot of leverage over Yahoo, but there are a lot more things to worry about than a potential merger,” said Mark Barden, an analyst at Morningstar.
“There are plenty of people at Oracle who would be very happy with Yahoo going into a new, smaller company.”