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TSX edges up, Wall Street slips on inflationFed rally extends gainsMarkets rally to end week, yields calmThis summary was created by AI, based on 44 opinions in the last 12 months.
Based on the reviews of different experts, it seems that Adobe Systems is a strong player in the AI space, with potential for growth in the long term. The company has shown consistent performance but has faced some challenges related to communicating its AI plans and facing competition in the gen-AI market. Overall, experts believe that the company's fundamentals remain strong and it will continue to benefit from AI applications.
ADBE has been under tremendous pressure after the most recent earnings release, although the operating results were largely in line with expectations, one of the key reasons for the drop is due to weak forward guidance and the market fear of whether Artificial Intelligence tools could disrupt this business, and negatively affect the growth prospect of ADBE’s over the next few years. ADBE’s management is well aware of this risk and already has some products in place to address this risk (such as Firefly – its generative AI creative tool), the company also has a large repurchase program of up to $25B, which we like. That said, the degree of uncertainty is high here given the risk of technological disruption, we would be okay to hold ADBE here but not a significant position.
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Met expectations, but poor guidance. AI will change how it thinks about its business, but will take a while. Key issue is how to monetize it? At a critical point in incorporating AI. Buy here, as it's shown to execute very well. Regulatory veto, which is hurting all big tech, prevented a favourable acquisition.
It's dropped $140. Got caught up in the AI hype earlier this year. They reported results which showed no benefit yet from AI. Nothing changed with the company itself, but the PE ran up. Company guided for strong growth and they will buy back $25 billion shares over 5 years. This is a long-term winner. His wife is a designer and uses Adobe software.
An AI play. Recently has been pressured given competition in gen-AI, but analysts were impressed by Adobe at a summit conference recently. The company will include AI across all products. Shares are finding support at $500, so now's a good time to start buying.
(Analysts’ price target is $623.29)It was overbought and has been falling off to today's price which is fairly valued. He feels it has 10 to 11% growth.
He added to it recently. Creative folks won't abandon Adobe's products; it's too embedded in workflows. Fundamentally, this was a great report: beat top and bottom, 11% revenue growth, 15% EPS growth, and net new annualized recurring revenue beat but fell short of forward forecast. Adobe will benefit from AI. You should consider buying this now.
This is a buying opportunity. The AI hype was driving this stock, but that hype is getting flushed out today. They are a leader in their industry, and the costs are too high for a client company to leave Adobe and adopt another company's creative software. Adobe fundamentals remain strong and they will benefit from AI, but not as big as the market was expecting.
Happy that shares are falling today (14%) and wants it to fall another 10% before he buys it back at levels where he previously sold.
EPS of $4.48 beat estimates of $4.38; revenue of $5.18B was marginally above estimates. EBITDA of $2.68B beat estimates by 4%. But guidance was conservative. Adobe's below-consensus 2Q outlook ($440 million vs. $460 million) for Digital Media net new annualized recurring revenue (ARR) stood out as the main sticking point of fiscal 1Q results. Management not raising the annual ARR target after beating 1Q guidance is being perceived as another negative. This is only a minor concern, as Adobe is more focused on new users to its AI products right now and less on monetization. This is the right strategy and should show an improvement in AI monetization in 2H, especially 4Q and in 2025. Digital Experience guidance of just 8% sales growth in 2Q was also disappointing, and may see some improvement in 2H. Adjusted operating margin gained 180 bps to 47.6%, its highest level, but the rate of improvement may taper in 2H on more AI investments. The stock is getting hit hard, but this is not the first time; it remains a global leader with strong expected growth. We would be more inclined to buy once the stock settles in.
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One of the first adopters of AI with Firefly. Mind-blowing commercial productivity application. Trading in low 30s x earnings, with growth still in high teens. Despite runup, still good value and still buying.
A great company. A huge part of the internet is creating content, and Adobe is the centre of that. A long-term buy. Great balance sheet. It won't go up 30% year after year, but you can sleep at night owning this. They're broadly into AI and will continue to benefit from it.
They report this week. Was reiterated a buy on Wall Street. Shares are back to last July's levels, slumping because the street feels Adobe isn't communicating its AI plans. Lags peers like CRM. This report and call are crucial.
Is concerned, because it hasn't performed as well as some software peers. It could be breaking below its 200-day moving average. They need their report next week to prevent this.
Adobe Systems is a American stock, trading under the symbol ADBE-Q on the NASDAQ (ADBE). It is usually referred to as NASDAQ:ADBE or ADBE-Q
In the last year, 36 stock analysts published opinions about ADBE-Q. 34 analysts recommended to BUY the stock. 1 analyst recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Adobe Systems.
Adobe Systems was recommended as a Top Pick by on . Read the latest stock experts ratings for Adobe Systems.
Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.
36 stock analysts on Stockchase covered Adobe Systems In the last year. It is a trending stock that is worth watching.
On 2024-04-26, Adobe Systems (ADBE-Q) stock closed at a price of $476.975.
Beat earnings and revenue expectations last quarter. Great AI exuberance of a few months ago has turned into impatience. Investors want immediate revenue results. He looks at the long-term potential of fundamentals.
On leading edge of using AI as an application, huge impact of letting companies boost margins through productivity growth via AI. This will filter through to the bottom line numbers, stock price will improve.