The latest reports on inflation, jobs, and consumer sentiment could be in the spotlight this week, with Wednesday's release of the Consumer Price Index (CPI) offering a key update on price pressures in February.
Technology has been one of the worst-performing sectors in 2025, led by a sell-off in megacap behemoths like Apple, Microsoft, and Nvidia. But Adobe (ADBE 1.04%) has held up well and is up slightly year to date at the time of this writing.
Adobe's reliable subscription-based model and strong fundamentals, including impressive revenue and net income growth, make it a solid investment. Adobe's comprehensive software suite and seamless cloud integration provide a significant competitive moat, despite increasing competition and AI advancements. Valuation is reasonable, with forward P/E ratios and price/free cash flow multiples aligning well with sector averages, presenting a good entry point.
ADBE's first-quarter fiscal 2025 results are likely to reflect strong demand for GenAI solutions amid growing competition and stretched valuation.
Could any more bad news hit the market? Of course it can.
When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?
Recently, Zacks.com users have been paying close attention to Adobe (ADBE). This makes it worthwhile to examine what the stock has in store.
In the most recent trading session, Adobe Systems (ADBE) closed at $440.72, indicating a +0.49% shift from the previous trading day.
Adobe stock is 36% off its all-time high, making it reasonably priced despite slower growth and competition from cheaper alternatives like Canva. Adobe's growth has slowed to the low-double digits, but it remains a growing industry leader, and the growth rate is expected to be relatively steady from here. Adobe's Creative Cloud and continuous innovation in AI keep it indispensable for professionals, with an estimated 37 million Creative Cloud subscribers.
Adobe said on Tuesday it is bringing its Photoshop app to mobile phones for the first time, offering both a free version and a paid version at the lowest cost yet for the app, at $7.99 per month.
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ADBE shares are benefiting from strong demand for its creative products and expanding clientele amid increasing competition and stretched valuation.