In what has been a common theme over the past couple of years, Adobe (NASDAQ: ADBE) reported solid quarterly results, but the stock sold off with investors seemingly left wanting more from the maker of Photoshop and Acrobat.

Adobe faces significant disruption risks from AI-first rivals, struggling to replicate their rapid revenue growth and AI prominence. Despite resilient margins and a sticky subscription base, Adobe's lackluster AI revenue growth casts doubt on its ability to fend off competitors.

The software company’s stock logged its seventh postearnings decline in eight quarters, as a boost to the revenue outlook wasn’t enough for Wall Street.

Live Updates Live Coverage Updates appear automatically as they are published. Massive Internet Outage 4:00 pm by Ahead of Adobe’s earnings there’s a massive outage of cloud services that’s brought down the share prices of several notable companies like Cloudflare (NYSE: NET).

Despite a beat-and-raise quarter, investors continue to sell off Adobe. Learn more on ADBE stock's Q2 report and its quality business model.

Adobe Inc. (NASDAQ:ADBE) is one of the 12 AI Stocks Every Investor Should Be Watching. On June 13, Goldman Sachs analyst Kash Rangan reiterated a “Buy” rating on the stock with a $570.00 price target.

The Investment Committee share their latest portfolio moves.

Adobe is currently focused on user growth, and large-scale AI monetization may take more time to fully play out. Read more on ADBE stock here.