10 Best AI Software Stocks to Buy Right Now

7. Adobe Inc. (NASDAQ:ADBE)

Number of Hedge Fund Holders: 88

Adobe Inc. (NASDAQ:ADBE) is one of the best AI stocks in the software industry to buy now. On January 26, UBS reduced its price target on Adobe Inc. (NASDAQ:ADBE) from $375 to $340 and maintained its Neutral rating on the stock.

On January 14, Baird also lowered its price target on Adobe Inc. (NASDAQ:ADBE) from $410 to $350 and kept a Neutral rating on the stock.

Earlier, on January 9, BMO Capital downgraded its rating on Adobe Inc. (NASDAQ:ADBE) from Outperform to Market Perform and cut its price target from $400 to $375. This update comes after BMO Capital’s seventh proprietary Creative Cloud survey, which showed rising competition in the creative software market. This is affecting smaller businesses, students, and freelance users.

BMO Capital noted that while Adobe Inc. (NASDAQ:ADBE) offers an “undemanding” current valuation, it does not see any clear positive catalysts for the company. According to the research firm, shares are expected to stay range-bound. Despite the downgrade and the reduced price target, the firm maintained its financial forecasts for the company.

Adobe Inc. (NASDAQ:ADBE) is a global leader in digital media and digital marketing solutions. It provides creator tools and services to individuals, teams, and enterprises to create, publish, and promote content.