Advancements in AI Tools Drag Down Legal Tech Stocks
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 4d ago
0mins
Should l Buy ADBE?
Recent advancements in AI tools have dragged down the shares of companies that develop, license, and invest in code, Matt Wirz and Jack Pitcher of The Wall Street Journal reports. Following Anthropic's announcement that it will be adding new legal tools to its Cowork assistant to automate legal drafting and research tasks, the shares of companies providing some form of legal tools or research databases fell, including Thomas Reuters (TRI), Legalzoom.com (LZ), and London Stock Exchange. Soon after, the downturn hit the broader software market, with Paypal (PYPL), Expedia (EXPE), EPAM System (EPAM), Equifax (EFX), and Intuit (INTU) among the hardest hit. Software makers Adobe (ADBE) and Salesforce (CRM) were also hit.
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Analyst Views on ADBE
Wall Street analysts forecast ADBE stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for ADBE is 454.52 USD with a low forecast of 310.00 USD and a high forecast of 660.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
24 Analyst Rating
17 Buy
6 Hold
1 Sell
Moderate Buy
Current: 269.390
Low
310.00
Averages
454.52
High
660.00
Current: 269.390
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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