Digital media and marketing software maker Adobe on Tuesday announced new collaboration and artificial intelligence-powered features for its Creative Cloud applications. The news comes as ADBE stock has been depressed by concerns of slowing growth for its digital media products.
At the company's Adobe Max conference in Los Angeles, Adobe unveiled the latest innovations for its Adobe Creative Cloud products.
Adobe introduced a "Share for Review" capability that enables Photoshop and Illustrator users to seamlessly collaborate on projects without leaving those apps.
"We're doubling down on collaboration," David Wadhwani, president of Adobe's Digital Media business, said at the event. "Creativity is increasingly a team sport whether you're collaborating with other creators or asking for feedback from stakeholders."
He also said the Share for Review feature will be "a huge time saver" for creative professionals.
ADBE Stock Dips
On the stock market today, ADBE stock sank 0.2% to 292.98. Year to date, ADBE stock is down 48.3%.
At its Max conference, Adobe also showed off AI-powered capabilities for its software. They include automatic image enhancements and a one-tap "Background Removal" tool for photos. Plus, it is adding automatic speech-to-text captioning for Premiere Pro video creation.
Also, Adobe announced new desktop tools for 3D and immersive content creation for its Substance 3D portfolio. The tools work with Meta's Quest virtual-reality platform, allowing creators and brands to make immersive metaverse experiences.
Adobe Stock Gets Neutral Ratings
On Monday, BMO Capital Markets analyst Keith Bachman reiterated his market perform, or neutral, rating on ADBE stock. He also lowered his price target on ADBE stock to 332 from 345.
Bachman noted that investors are concerned about sputtering growth in the company's Digital Media business, which includes Creative Cloud. Adobe will provide year-ahead guidance for the business in a meeting with financial analysts at its Max conference.
"The macro (economic) backdrop this year makes any one-year forward guidance challenging, particularly since we think creative budgets will be at risk during challenging macro times," Bachman said in a note to clients.
Further, Morgan Stanley analyst Keith Weiss said in a recent report that Adobe's pricey acquisition of Figma raised investor worries about an impending slowdown in the Creative Cloud business. Weiss rates ADBE stock as equal weight, or neutral, with a price target of 337.
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