Posted 3/15/2024, 8:06:45 PM
Adobe Stock Plunges 14% Despite Earnings Beat as AI Competition Clouds Sales Outlook
- Adobe beat revenue and EPS estimates but shares plunged 14% due to disappointing sales outlook
- Adobe is benefiting from AI hype but facing rising competition from AI-based startups
- Adobe has integrated its Firefly AI into top products but AI monetization is slower than expected
- Microsoft and OpenAI's new Sora video AI spooked investors about Adobe's AI timeline
- Generative AI threatens Adobe's unique business model that has protected it from competitors