Adobe price target lowered to $625 from $650 at Stifel

Stifel lowered the firm’s price target on Adobe to $625 from $650 and keeps a Buy rating on the shares. The company’s “relatively clean” Q1 report excluding the Figma breakup fee was overshadowed by disappointing guidance and investor skepticism around the achievability of full year targets, the analyst tells investors. Management’s view that the benefit from new solutions will be felt more in the second half of 2024 “isn’t enough to satisfy investors attracted to Adobe for its AI potential,” but the firm maintains a high level of conviction in Adobe’s AI positioning despite the breather in shares, the analyst added.