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    Adobe Stock Pitch Finalv2

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    Adobe Inc. (NASDAQ: ADBE) stock is recommended as a buy with a price target of $609 over the next 2 years. Adobe creates multimedia and creative software and generates revenue through subscriptions and licenses. It has a competitive advantage due to high barriers to entry in the digital software sector and strong brand recognition. Risks include potential downside if the market declines and overexpansion into unfamiliar markets.

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    Adobe Stock Pitch Finalv2

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    api-545894623
    284 views1 page
    Adobe Inc. (NASDAQ: ADBE) stock is recommended as a buy with a price target of $609 over the next 2 years. Adobe creates multimedia and creative software and generates revenue through subscriptions and licenses. It has a competitive advantage due to high barriers to entry in the digital software sector and strong brand recognition. Risks include potential downside if the market declines and overexpansion into unfamiliar markets.

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    Adobe Inc. (NASDAQ: ADBE) stock is recommended as a buy with a price target of $609 over the next 2 years. Adobe creates multimedia and creative software and generates revenue through subscriptions and licenses. It has a competitive advantage due to high barriers to entry in the digital software sector and strong brand recognition. Risks include potential downside if the market declines and overexpansion into unfamiliar markets.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    284 views1 page

    Adobe Stock Pitch Finalv2

    Uploaded by

    api-545894623
    Adobe Inc. (NASDAQ: ADBE) stock is recommended as a buy with a price target of $609 over the next 2 years. Adobe creates multimedia and creative software and generates revenue through subscriptions and licenses. It has a competitive advantage due to high barriers to entry in the digital software sector and strong brand recognition. Risks include potential downside if the market declines and overexpansion into unfamiliar markets.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    of 1

    Adobe Inc.

    (NASDAQ: ADBE)
    $487.23 (as of 11/04/2020)
    Recommendation: BUY (Long 2 years)
    Price target: $609
    Software - Technology

    Business Overview

    Adobe Inc. is a multinational computer software company that specializes in the creation of
    multimedia and creative software products. Adobe generates revenue by selling software for
    creative content and marketing purposes, with a focus on user experience. The products are
    offered as a subscription and through licenses.

    Catalysts
    ● Implementation of artificial intelligence across product groups
    ● Higher demand for digital software products as more people are working from home
    ● Increased focus on converting free mobile app users to paid mobile subscriptions due to
    social media usage
    ● Targeting ~18% Y/Y growth in Digital Media segment
    Competitive Advantage

    Adobe is strongly positioned in the digital software space. They offer unique products that are
    highly demanded by businesses, individuals, and educational providers. Adobe’s main competitive
    advantage is that their sector has high barriers of entry and Adobe’s brand recognition has secured
    them the top spot in the space. Their Creative Cloud package is internationally recognized for
    excellence and user flexibility.

    Comparable Companies

    Company Price Market Cap F P/E Ratio EV/EBITDA

    Adobe Inc $487.23 $213.45B 40 44.37

    DocUSign $235.01 $37.45B 200 -325.43

    Microsoft $216.39 $1,530B 30.77 20.50


    (metrics as of 11/04/2020)

    Risks

    ● Potential downside in price if the market declines (beta 2.29)


    ● Possible overexpansion of the company and undue entry into unfamiliar markets

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