© Reuters
ADBE
-0.54%
Add to/Remove from Watchlist
Add to Watchlist
Add Position
Position added successfully to:
Please name your holdings portfolio
Type:
BUY
SELL
Date:
Amount:
Price
Point Value:
Leverage:
1:1
1:10
1:25
1:50
1:100
1:200
1:400
1:500
1:1000
Commission:
Create New Watchlist
Create
Create a new holdings portfolio
Add
Create
+ Add another position
Close
Investing.com – Adobe reported Thursday softer-than-expected guidance on a key revenue metric for the current quarter, adding to concerns that rising competition is stifling growth.
Adobe Systems Incorporated (NASDAQ:ADBE) shares fell 9% in after-hours trade following the report.
For fiscal Q2, the company guided digital media net new revenue, a key metric, of $440 million, missing analyst estimates of about $460 million. Adjusted EPS was expected in a range of $4.35 and $4.40 on revenue of $5.25B to $5.30B, compared with analyst estimates of $4.39 on revenue of $5.31B.
The weaker guidance offset better-than-expected fiscal first-quarter results.
Adobe reported EPS of $4.48 on revenue of $5.18 billion. Analysts polled by Investing.com anticipated EPS of $4.38 on revenue of $5.14B.
Its digital media business saw revenue of $3.82B, up 12% year-over-year growth in Q1, with net new digital media annualized recurring revenue, or ARR, of $432M.
The company also announced a a new $25 billion stock buyback program.
The results come ahead of the company’s investor day on Mar. 26, when the company is expected to unveil new products that could alleviate investor fears of rising competition from OpenAI’s text-to-video generator, Sora.
Source: Investing.com
