5 Best TaaS Stocks to Buy Now

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In this article, we discuss the 5 best tech-as-a-service (TaaS) stocks to buy now. If you want to read about some more tech-as-a-service stocks, go directly to 11 Best TaaS Stocks to Buy Now.

5. Adobe Inc. (NASDAQ:ADBE)

Number of Hedge Fund Holders: 93  

Adobe Inc. (NASDAQ:ADBE) operates as a diversified software company worldwide. It operates through three segments: Digital Media, Digital Experience, and Publishing and Advertising. On November 17, Adobe’s planned acquisition of Figma, a collaborative web application for interface design, for $20 billion was moved to an in-depth review by the Department of Justice. The parties received a DoJ second request on November 14.

On December 12, UBS analyst Karl Keirstead maintained a Neutral rating on Adobe Inc. (NASDAQ:ADBE) stock and raised the price target to $350 from $320, noting that stability rather than material deceleration is suggested in the quarter despite the apparent macro demand pressure.

Among the hedge funds being tracked by Insider Monkey, Washington-based investment firm Fisher Asset Management is a leading shareholder in Adobe Inc. (NASDAQ:ADBE) with 5.1 million shares worth more than $1.4 billion. 

In its Q3 2022 investor letter, L1 Capital International, an asset management firm, highlighted a few stocks and Adobe Inc. (NASDAQ:ADBE) was one of them. Here is what the fund said:

“Late in the quarter, one of our smallest positions, Adobe Inc. (NASDAQ:ADBE), reported quarterly results and gave guidance which was modestly below our expectations. The share price fell substantially, not because of current financial performance and outlook, but principally because of the announced acquisition of Figma for $20b in cash and shares, plus additional retention payments to Figma employees. Figma, founded in 2012, has pioneered the development of software for collaborative product design on the web. The acquisition is a mix of offence and defence by Adobe management. Strategically the acquisition makes a lot of sense, with Figma complementary to Adobe’s suite of software and it is the clear leader in a fast-growing market. We also believe Adobe was acting defensively, fearing Figma could develop into a strong direct competitor over time. The acquisition price was extremely high, with annual recurring revenue estimated to be $400m by the end of 2022.”

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