Adobe Reports Earnings Today. The Focus Is on Generative AI.

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The company has been building outs its generative AI strategy. The question is when its AI push will start to show up in its financial results.

Adobe stock has surged this year as the company has made a full-court press to add generative artificial intelligence capabilities across its broad suite of content creation and marketing tools.

While that should be no surprise—it hasn’t even been a year since OpenAI kicked off the current mania with the launch of ChatGPT—some stocks that had big AI-driven runs have spiraled back to earth when near-term financial results failed to demonstrate any lift from the trend. Microsoft and Oracle are two examples.

Citi’s Tyler Radke is more cautious, keeping his Neutral rating, though he raised his price target on the stock this week to $570 from $544.

 

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