Adobe shares fell 14% on Thursday, marking their steepest drop in over two years, after the company issued disappointing revenue guidance for the fiscal first quarter. Adobe's sales forecast fell short of analysts' expectations, but its fourth-quarter earnings exceeded predictions. Adjusted EPS and revenue both surpassed estimates, reflecting stronger-than-anticipated performance. Analysts expressed mixed views on Adobe, citing challenges in 2024 but highlighting its success in monetizing generative AI. Adobe's stock is now down 20% year-to-date, significantly underperforming the Nasdaq, which is up more than 30%.
Category
🗞
NewsTranscript
00:00It's Benzinga bringing Wall Street to Main Street.
00:02Adobe's share fell 14% on Thursday, marking their steepest drop in over two years,
00:07after the company issued disappointing revenue guidance for their first fiscal
00:11quarter. Adobe's sales forecast fell short of analysts' expectations, but its fourth-quarter
00:16earnings exceeded predictions. Adjusted EPS and revenue both surpassed estimates,
00:21reflecting stronger-than-anticipated performance. Analysts expressed mixed views on Adobe,
00:27citing challenges in 2024 but highlighting its success in monetizing generative AI.
00:33Adobe's stock is now down 20% year-to-date,
00:36significantly underperforming the Nasdaq, which is up more than 30%.