Adobe: Strong FCF Growth, But Growth Stabilization Needed

Core Insights - Adobe's stock dropped nearly 14% following a mixed earnings report for Q1 FY2025, despite beating revenue and non-GAAP EPS consensus estimates [1] - The company provided weaker-than-expected guidance for Q2, indicating potential challenges ahead [1] - Although Adobe's growth appears resilient, there is a noted sequential slowdown in performance [1] Financial Performance - Adobe reported better-than-expected revenue and non-GAAP EPS for Q1 FY2025, which suggests strong underlying performance [1] - The specific figures for revenue and EPS were not disclosed in the provided text, but the overall performance exceeded market expectations [1] Future Outlook - The guidance for Q2 is weaker than anticipated, which may raise concerns among investors regarding future growth prospects [1] - The sequential slowdown in growth could indicate potential headwinds for the company moving forward [1]