Posted on July 5, 2023
Adobe Inc. (NASDAQ:ADBE) provides software for graphic designers, web developers, video editors and photographers.
And now—like everyone else who wants to cash in from the AI mania sweeping the world—they’re branching out strongly into that realm of phony smarts.
Will it help?
After Q2 earnings were reported, the stock, indeed, jumped.
As you’ll see on the chart below, price gapped higher on news of an earnings beat and the company’s promise to lead the “new era of generative AI”.
But ADBE management was also quick to point out that the next couple of quarters might NOT produce the type of gains seen through the first two quarters of fiscal 2023.
And sure enough, investors backed off.
Before we get to all the technical nitty-gritty, however, let’s take a look at the fundamentals.
Much of the company’s immediate fortunes are tied to U.K regulators, who will shortly decide if Adobe’s plans to buy out the design specialists at Figma for $20 billion will “hurt [industry] innovation.”
They’re scheduled to judge the issue by early August.
That said, G-d decides.
And whether the Jews and Loyal Noahides win, is entirely in his hands.
Many happy returns,