Riding the latest tech craze, digital media and marketing software firm Adobe on Tuesday unveiled generative artificial intelligence services for creative professionals and marketers. ADBE stock rose on the news.
At its Adobe Summit 2023 conference in Las Vegas, the company showed off new products across its Adobe Experience Cloud, a customer experience management platform, and Adobe Creative Cloud, a digital content creation platform.
Adobe debuted new Adobe Sensei GenAI services at the show. They include Adobe Firefly, a new family of creative generative AI models focused initially on image generation and text effects.
Adobe also introduced generative AI innovations for its Experience Cloud to power end-to-end marketing workflows.
"As the digital economy continues to expand and effective customer experience management remains an imperative, Adobe Experience Cloud offers every business a generative AI-powered co-pilot for more power, precision and speed," Anil Chakravarthy, president of Adobe's Digital Experience business, said in a news release.
Adobe Links Creative, Experience Clouds
Further, the San Jose, Calif.-based company announced a comprehensive content supply chain solution. The solution connects Creative Cloud and Experience Cloud for planning, creating, reviewing and distributing creative content.
On the stock market today, ADBE stock rose 3.1% to close at 374.22.
On Sunday, Deutsche Bank analyst Brad Zelnick reiterated his buy rating on ADBE stock with a price target of 430.
"We expect generative AI to be in focus at Adobe Summit," Zelnick said in a note to clients. "We believe generative AI will be a powerful tool in the belt of creative professionals, communicators and consumers going forward, enabling Adobe to more deeply penetrate its existing total addressable market."
ADBE Stock Gets Price-Target Hikes
Last week, at least nine Wall Street analysts raised their price targets on ADBE stock after the company beat estimates for its fiscal first quarter and guided higher for the full year.
Also on Tuesday, Adobe and graphics-chip maker Nvidia announced a partnership to advance creative workflows using generative AI. The companies will codevelop a new generation of advanced generative AI models for creators and marketers.
ADBE stock has an IBD Composite Rating of 95 out of 99, according to IBD Stock Checkup.
IBD's Composite Rating is a blend of key fundamental and technical metrics to help investors gauge a stock's strengths. Further, the best growth stocks have a Composite Rating of 90 or better.
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