HSBC Reduces PT on Adobe Inc. (ADBE) Stock

Adobe Inc. (NASDAQ:ADBE) is among the 14 Best Cloud Computing Stocks to Buy Right Now.

On February 13, HSBC reduced its price objective on the company’s stock to $302 from $388, while keeping a “Hold” rating, as reported by The Fly. As per the firm, there are competitive risks for Adobe Inc. (NASDAQ:ADBE) from the AI-powered tools, which threaten to commoditize its core creative franchise.

In a separate release, Piper Sandler downgraded Adobe Inc. (NASDAQ:ADBE)’s stock to “Neutral” from “Overweight” with a price objective of $330, down from the prior target of $470. Notably, the firm believes that the seat-compression as well as vibe coding narratives might limit the multiple.

Earlier, Gabriela Borges from Goldman Sachs downgraded the company’s stock from “Buy” to “Sell” with a price objective of $290. Notably, the firm highlighted the concerns related to the potential scenarios in which Adobe Inc. (NASDAQ:ADBE)’s EPS growth might witness further pressure.

Adobe Inc. (NASDAQ:ADBE) operates as a technology company. The company’s customers use its integrated Creative Cloud, Document Cloud, and Experience Cloud solutions.

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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