Adobe (ADBE) CEO Says Stock Undervalued; William Blair Reaffirms Buy

Adobe Inc. (NASDAQ:ADBE) is one of the best stocks to buy according to Citadel LLC. In an October 28 interview with Bloomberg Television, Adobe’s CEO, Shantanu Narayen, stated that the company is trading below its intrinsic value despite robust growth drivers and expanding AI product adoption.

During the interview ahead of its Adobe MAX 2025 event, one of the reasons the CEO cited for the disparity was that the market is currently fixated on semiconductors and AI infrastructure and is not giving the software layer its due importance. He argued that ultimately, AI-embedded applications will take center stage and Adobe will be a beneficiary given its positioning. For now, the company is focusing on more buybacks due to its undervaluation, the CEO added.

Nevertheless, Adobe received a vote of confidence from Jake Roberge, an analyst at William Blair, who reaffirmed his Buy rating following the event, without assigning a price target. The analyst was encouraged by many updates, including the launch of new products such as the Firefly Image Model 5 and the agentic AI integration roadmap across several other products.

Roberge also liked the visibility into catalysts for long-term growth, the reaffirmation of FY 2025 guidance, and the customer-focused strategy for FY 2026. He therefore reiterated his optimistic view on the stock.

Adobe Inc. (NASDAQ:ADBE) is a global leader in creative, document, and digital experience software, providing tools for content creation, design, marketing, analytics, and customer engagement.

While we acknowledge the potential of ADBE as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.