ADBE — All updates

Adobe reported revenue growth of 13% in its most recently completed quarter and raised expectations for the full year on the top and bottom line. This is exactly what investors want to see from Adobe, just continued performance and disruption avoidance and avoiding the disaster that could be created by the rising effectiveness of artificial intelligence.

Um, can we review Adobe? Uh, what's Adobe doing here? We did have some of those software names were end up doing pretty well. Adobe up 4% here. So, this bucking some of the trend there.

I think we talked about now and some of the cyber security names being up too. Adobe, same deal. Looks like 264 was your resistance here.

He's also been quietly buying Adobe.

He's buying Adobe where the narrative is AI will destroy it

Next company, Adobe. The company that I own that I remind you, we're never here to give a stock tip. So, don't buy a company because I own it. But it is the company behind Photoshop.

Bur started buying it early this year and then it fell 28% and he did a signature move. He bought even more near the lows around $200 a share and his reasoning is fantastic.

So, let me show you one, because I told you at the start of the video that I'd bring you to it. Guys, Adobe is a company that I've seen fall from a high of 700 down to 200. It got interesting to me under 450. I started buying some shares.

As time went on, people were saying, "You don't get it. AI is going to destroy this company." Meanwhile, Chat GPT and Claude were both partnering with Adobe to use their AI into their systems.

Now, the next one I want to talk about is Adobe. Very interesting chart, right? Taking a look purely at the chart, you could say, well, Lton, this definitely favored a move lower on Adobe Brook.

This beautiful ups sloping trend line continued to fall.

Where would support be? Well, the stock initially opened down off of earnings, right? We can see that what happened. Well, they double beat they beat earnings and beat revenue expectations.

But one thing that they unfortunately didn't do was raise guidance and and as a result of uh poor guidance or lowered guidance rather the stock kind of fell into the open right but you can see that investors weren't as worried and the stock has fully recovered.

Uh Brett says, "Oracle and Adobe, let's see those premiums at the open." Two of the big earnings reports. Adobe gapping down. We'll see what that uh how that pretends for the rest of the day here.

The next stock on our list is going to be Adobe. The ticker is ADBE and it was down 3.07% in the pre-market despite posting better than expected third quarter fiscal 2026 results.

Adobe reported earnings here. Check this out. The stock is down, although catching a little bit of a bid pre-market, but again, here you have a stock that fell into earnings. It's down more.

Check out this trend line. Major trend line. Price broke out. So, what do we know about trend lines that break out? What does price generally like to do? It likes to go back to the scene of the crime.

The scene of the crime means a retrace to that level which had acted as major resistance but now will act as support. And so again, even as a swing trade, I'm not even looking at this as a day trade.

I'm looking at this as a swing trade. If it pulls back to that trend line, I will be a buyer on a swing trade basis.

All right, let's talk Adobe. Those shares under pressure off the back of its latest quarterly results and this keeps happening. They beat expectations and the stock sells off. Doesn't matter uh them beating or not. What's the latest here?

Second subject up here we're going to talk about Oracle and Adobe. Their earnings have come out. I want to share my opinion and perspectives on if I like those stocks, if I don't, those sorts of things.

Next up here, Adobe. Listen. Adobe's a company you can generally count on putting up solid numbers, and this is exactly what they did this quarter. B grade income statement here from Adobe.

Revenue's up 13% it's good, you know, impressive number there.

Adobee's holding on to that 2% loss.

Adobe's coming up. Adobe just appointed a new CEO, by the way, about a week ago. So, the new CEO, uh the stocks fell like 2% after they picked a new CEO. It just doesn't I don't know that it really like puts confidence in the stock when they're like, "Yeah, you know, our strategy sucks so badly. We got to fire the CEO and start over."

All right. Well, we've got Adobe's earnings coming across right now. So, let's flip to those, KG. I'll get you the numbers here. Third quarter EPS coming in at $6.13. Estimate was looking for $6.08.

So, we've got a beat there on EPS. Revenue for their third quarter, 6.76 billion. The estimate was for 6.7, so a slight beat there as well. As we're looking at some of their guidance here, I want to walk through their guidance.

They're raising their fiscal year adjusted EPS guidance to 2445 to 2450 from a previous range of 2435 to 2445. So, a 5 cent increase, but an increase nonetheless. Revenue, they're raising to 26.58 to 26.63 billion.

That's also a very small adjustment, but still an adjustment. First quarter EPS, they're expecting to see between $6.30 and $6.35. That's right in line with the 630 estimate that's at the low end of that range.

Their remaining performance obligations, $22.16 billion. That missed the estimate, and that is likely why we're seeing this move to the downside. We're 1 and 1/3% lower right now.

Their AI first ARR grew more than 150% year-over-year. Monthly active users here, we're looking at 1 billion across creativity and productivity solutions here. And of course, they have their new CEO coming on December 1st.

They announced that last week. Did not get a great response. The street was looking for someone that was coming from the outside, perhaps. But not a huge move to the downside for Adobe. A small move.

And then we have Adobe, which like many software companies, it's been beat down for the past year, but it's reporting earnings this Thursday. Could it have a big bump like Salesforce?

Now, the last stock here is Adobe, which is in the center of the AI disruption debate. Adobe's now down to $256, down another 3%. When we look at this one year-to-date, it's down 23%.

In the past 5 years, Adobe's down a staggering 61%.

Think of companies like Salesforce, Adobe, and Microsoft.

Even the powerful Adobe company has dropped by 25%.

Adobe's stock fell by 73% .

You should have seen the criticism I received for buying Adobe shares and thinking they were great. I remember seeing messages from people on YouTube and Instagram saying, "Why am I listening to this guy?" "This is the guy who loves Adobe."

The shares of many such companies are still in losses, such as Apple, Oracle, Adobe, etc. So, Adobe is almost at the bottom of this list, and to me that's one of the risks, especially not directly because of generative AI.

If you need generative AI to create something, you probably weren't already a big Photoshop user. The point is, AI is enabling other companies to create competitive products that may be cheaper or more user-friendly for customers.

So, we can also see now that it has fallen a bit in the pre-market.

Those four stocks are Adobe, MGM Resorts, Dick Sporting Goods, and Lyft.

One of them is Adobe. is there a growth problem with Adobe? Well, it doesn't really appear to be the case right now. Total revenue continues to grow at about a 10, 11, 12% growth rate.

So that's actually accelerating over the past couple of quarters. That's really good to see.

The next company we discussed during the past year is Adobe. What can we say here? We have made a 50 % profit since the last time we discussed it , which we did at 270, where we are now.

So, yes, Adobe is an option to buy, but be aware of the risks and returns associated with portfolio exposure. Then when it drops as it did, you have to add now and perhaps restore balance.

And now we are here where we were just 6 months ago . So, the story now is, well, what kind of bets are there now? We ran the Excel program to find out the value of Adobe.