Oracle's Credit Rating Lowered

S&P recently announced that it was lowering the rating on Oracle's debt from AA- to A+. The reason given for the downgrade was the $36 billion the company spent on stock repurchases in fiscal 2019. The buybacks have increased Oracle's debt-to-EBITDA ratio from 0 to 1.4 and debt has increased by $18 billion. During the same period, Oracle only spent $1.66 billion on R&D.