Oracle Co-founder Ellison Halts $7.5 Billion Stock Sale Plan Citing Undervaluation

SAN FRANCISCO — Oracle Corp. co-founder and chief technology officer Larry Ellison has canceled a preannounced plan to sell approximately $7.5 billion worth of the company's stock, halting a major divestiture that had been scheduled for execution in the coming weeks.

The decision, announced on Sunday, September 13, 2026, marks a sharp reversal for Ellison, who previously filed regulatory documents outlining the intent to liquidate a significant portion of his holdings. The cancellation comes after Oracle shares experienced a substantial year-to-date decline, leading Ellison to conclude that the current market price does not reflect the company's intrinsic value.

Ellison, who remains one of the world's wealthiest individuals and a central figure in the technology sector, stated that the move is intended to preserve optionality for a potential market rebound. By retaining the shares, he positions himself to capitalize on any future appreciation rather than locking in losses during a downturn. The planned sale represented a significant portion of his personal equity stake, making the reversal a notable signal of confidence in Oracle's long-term trajectory despite recent volatility.

Oracle stock has faced headwinds throughout 2026 as broader technology sector concerns and shifting investor sentiment weighed on valuations. While the company continues to report steady growth in its cloud infrastructure and database segments, the market has reacted cautiously to macroeconomic pressures and competitive dynamics. Ellison's decision to walk back the sale suggests a divergence between his internal assessment of the firm's prospects and the current trading environment.

The initial disclosure of the planned sale had triggered speculation regarding liquidity needs or a strategic shift in Ellison's portfolio management. The sudden cancellation has left market analysts reassessing their outlook on Oracle's near-term price action. Some observers view the move as a vote of confidence that could stabilize investor sentiment, while others question whether the broader market conditions will support a sustained recovery.

Oracle shares are expected to react to the news when trading resumes, though the magnitude of the response remains uncertain. The company has not issued additional commentary beyond the regulatory filing confirming the cancellation of the transaction plan. Ellison's shift in strategy underscores the volatility facing major technology leaders as they navigate an unpredictable economic landscape.

Questions remain regarding whether this is a temporary pause or a permanent abandonment of the divestiture strategy. It is unclear if Ellison will attempt to sell the shares at a later date should market conditions improve, or if he intends to hold the position indefinitely. Investors are now watching closely to see if other major shareholders might follow suit in adjusting their own selling plans in response to the co-founder's revised stance.