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Stock impact report

Analysts Say Adobe's (ADBE) AI Tools Are Popular, but Competition Is Intensifying [Yahoo! Finance]

Adobe Inc. (ADBE) 
Last adobe inc. earnings: 3/12 04:05 pm Check Earnings Report
US:NASDAQ Investor Relations: adobe.com/investor-relations.html
Company Research Source: Yahoo! Finance
While Adobe's AI tools show adoption and increasing usage, it has had limited monetization amid competition. The rating downgrade comes as part of the firm's adjusted ratings in the software sector. The firm believes that investors should stay underweight in software as growth slows and lags other sectors such as semiconductors. Particularly for Adobe, Jefferies highlighted competitive pressure in the lower-end segment of its market. Analysts noted how casual users have access to numerous AI-enhanced alternatives to Adobe's Creative Cloud suite. On the other hand, its business remains "well-protected" among creative professionals and power users who demand "fine-grained control" and the advanced features that Creative Cloud offers. “Adobe has made significant progress with Al features since Firefly was announced in early 2023. In FQ3, gen Al credit consumption increased 3x q/q, and Al-influenced ARR exceeded one-third of overall business. While heavy Al users must sign up for Show less Read more
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