Adobe (ADBE) Reaffirms AI Leadership With Strong Revenue and Cash Flow, Piper Sandler Reaffirms Outperform Rating

Adobe Inc. (NASDAQ:ADBE) ranks among the best AI stocks to bargain according to analysts. Piper Sandler reaffirmed its Overweight standing and $470 terms people for Adobe Inc. (NASDAQ:ADBE) connected December 11 successful effect to the company’s fiscal twelvemonth 2025 results. With a $94 cardinal gross beat, the bundle elephantine outperformed the erstwhile four-quarter mean grounds of $77 million.

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Additionally, Adobe Inc. (NASDAQ:ADBE) stated that it anticipates fiscal first-quarter gross to beryllium betwixt $6.25 cardinal and $6.3 billion, exceeding Wall Street projections of $6.23 billion. Adobe Inc. (NASDAQ:ADBE) anticipates gross for the afloat fiscal twelvemonth to beryllium astir $25.9 cardinal and $26.1 billion, though analysts projected $25.89 billion.

The bundle institution continued to make important currency travel and aggressively repurchased shares, mounting its fiscal twelvemonth 2026 nett caller Digital Media ARR people astatine a grounds $2.6 billion.

According to Piper Sandler, Adobe’s artificial quality operations gained coagulated traction, with AI recognition depletion jumping threefold quarter-over-quarter. Meanwhile, the company’s AI-influenced yearly recurring gross has topped $8 billion.

Adobe Inc. (NASDAQ:ADBE) is simply a bundle institution that specializes successful creating, publishing, and promoting integer content. It offers a wide scope of tools for professionals and consumers, including Photoshop, Illustrator, Acrobat, and Premiere Pro, which are often bundled successful the Adobe Creative Cloud subscription.

While we admit the imaginable of ADBE arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.

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Disclosure: None. This nonfiction is primitively published at Insider Monkey.