Adobe price target raised to $621 from $550 at Citi

Citi analyst Tyler Radke raised the firm’s price target on Adobe to $621 from $550 and keeps a Neutral rating on the shares. The firm expects stronger pricing tailwinds in the second half of 2024 for Adobe but saw mixed web traffic data points for Q3. Though the second half numbers setup “tilts more positive” as pricing reverts to a tailwind in Adobe’s core creative business, Citi sees some balance by high investor expectations and mixed web traffic data, the analyst tells investors in a research note. The firm believes the post-print reaction could be muted unless Adobe posts a strong enough beat on Digital Media net new annual recurring revenue, saying expectations are already high.