Adobe Dips 11% YTD: Should You Buy, Sell or Hold the Stock?

Adobe (ADBE) shares have declined 10.9% year to date (YTD), reflecting the negative impact of stiff competition in the AI and Generative AI (GenAI) space from the likes of Microsoft (MSFT) -backed OpenAI, as well as a lack of monetization of its AI solutions. The company’s new AI book of business (more than $125 million exiting first-quarter fiscal 2025) was a roughly low single-digit percentage of total revenues ($4.23 billion in the fiscal first quarter). ADBE expects this AI book of business to double by ...