What's Going On With IBM Shares On Tuesday?
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 21 2024
0mins
Should l Buy ADBE?
Source: Benzinga
- IBM Granite Models Integration: IBM plans to make its IBM Granite model series available on Salesforce's CRM Einstein 1 platform, offering clients more AI models for decision-making in CRM use cases.
- Granite Code Models: The IBM Granite code models range from 3B to 34B parameters and are designed for tasks like code generation and bug fixing.
- Partnership with AWS: IBM and AWS are collaborating to combine Amazon SageMaker and watsonx.governance on AWS, providing advanced AI governance capabilities for predictive machine learning and generative AI models.
- Open Source Release: IBM will release a family of IBM Granite models into open source and has launched InstructLab in partnership with Red Hat.
- Other Partnerships and Services: IBM is partnering with Adobe on hybrid cloud and AI solutions, introducing new consulting services for client adoption of Adobe Express, with capabilities expected to be available in the second half of 2024.
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Analyst Views on ADBE
Wall Street analysts forecast ADBE stock price to rise
24 Analyst Rating
17 Buy
6 Hold
1 Sell
Moderate Buy
Current: 262.500
Low
310.00
Averages
454.52
High
660.00
Current: 262.500
Low
310.00
Averages
454.52
High
660.00
About ADBE
Adobe Inc. is a global technology company. The Company's products, services and solutions are used around the world to imagine, create, manage, deliver, measure, optimize and engage with content across surfaces and fuel digital experiences. Its segments include Digital Media, Digital Experience, and Publishing and Advertising. The Digital Media segment is centered around Adobe Creative Cloud and Adobe Document Cloud, which include Adobe Express, Adobe Firefly, Photoshop and other products, offering a variety of tools for creative professionals, communicators and other consumers. The Digital Experience segment provides an integrated platform and set of products, services and solutions through Adobe Experience Cloud. The Publishing and Advertising segment contains legacy products and services. In addition, its Adobe GenStudio solution allows businesses to simplify their content supply chain process with generative artificial intelligence (AI) capabilities and intelligent automation.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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See More
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- Wix's Growth Potential: Wix's latest earnings report indicates a revenue growth acceleration to 14%, suggesting strong market demand in the low-code website development space, and the new AI tools being developed are expected to further expand its addressable market and enhance future growth prospects.
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- Surge in Capital Expenditures: Tech giants like Amazon and Google have significantly raised their capital expenditure outlooks, with Amazon projecting spending to reach $200 billion, far exceeding the $147 billion consensus, which could impact stock performance and investor confidence.
- Intensified Market Competition: The rapid advancement of AI technology raises questions about the value of enterprise software, leading investors to adopt a pessimistic view on the future of traditional software companies, especially in labor-intensive areas that may face workforce reductions due to AI adoption.
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See More
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- Unique Market Positioning: The company focuses on providing software for HVAC, roofing, plumbing, and other skilled trades, catering to specific needs and avoiding direct competition with large enterprise software, thus remaining relatively insulated from AI disruptions.
- Improved Profitability: ServiceTitan's non-GAAP operating margin increased from 0.8% to 8.6% year-over-year, indicating significant progress in cost optimization and efficiency, enhancing its future profit potential.
- AI Application Prospects: Executives mentioned integrating AI technologies into their platform during the latest earnings call, indicating that ServiceTitan not only embraces AI but plans to leverage it to enhance software performance, maintaining a competitive edge.
See More
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- Inflation Data Impact: The U.S. January Consumer Price Index rose by 2.4% year-over-year, below the expected 2.5%, marking the smallest increase in seven months, which may prompt the Fed to continue cutting rates, thus providing support for the stock market and alleviating concerns over rate hikes.
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See More
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- Market Overreaction: The iShares Expanded Tech-Software ETF has dropped 30% since late October due to fears of AI competition, yet high switching costs may prevent businesses from easily changing software providers, suggesting future earnings could be more predictable than the market anticipates.
- Microsoft's Growth Potential: Microsoft 365 Commercial sales rose 14% year-over-year, with consumer sales up 27% and Dynamics 365 sales increasing by 17%, showcasing strong software performance under AI integration, while its forward P/E ratio stands at just 24, indicating a low valuation.
- Atlassian's Cloud Transition: Atlassian is pushing customers to its cloud-based platform, achieving a 120% net revenue retention rate for cloud customers in fiscal 2025, with momentum expected to continue into 2026; despite a forward P/E of 21, management forecasts an 18% revenue growth.
- Adobe's AI Integration: AI-influenced products accounted for one-third of Adobe's annual recurring revenue, and despite fears of AI displacing its software, its recurring revenue continues to grow at a double-digit pace, with the stock currently trading at less than 12 times forward earnings, highlighting its attractiveness.
See More
