Up 52% This Year, Is Adobe Stock Still a Good Buy?
Adobe's (NASDAQ: ADBE) stock has benefited from the renewed bullishness in the tech sector this year. Gaining more than 50%, the shares have pushed back up over $500. The company is also continuing to report double-digit growth. But it may not be smooth sailing for the stock because artificial intelligence (AI) could lead to both new opportunities and challenges for the business. And with an expensive valuation, is the stock still worth its premium?
On Sept. 14, Adobe released its third-quarter results, demonstrating strong growth. Revenue of $4.9 billion for the period ending Sept. 1 was a new record high for the company and was up 10% year over year. It would have been even higher at 13% if not for unfavorable exchange rates. But the concern that investors may have is that the long-term trajectory remains a downward one.
Source Fool.com
Adobe Inc. Stock
The stock is one of the favorites of our community with 60 Buy predictions and 2 Sell predictions.
With a target price of 589 € there is a slightly positive potential of 17.85% for Adobe Inc. compared to the current price of 499.8 €.
