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Wall Street Maintains a Positive Outlook on ​Adobe Inc. (ADBE)

​Adobe Inc. (NASDAQ:ADBE) is one of the Best Software Stocks to Buy According to Wall Street Analysts. Adobe Inc. (NASDAQ:ADBE) is trading close to its 52-week lows. However, Wall Street maintains a positive sentiment, with analysts’ 12-month price targets reflecting more than 40% upside from the current levels.

​Recently, on January 26, Karl Keirstead from UBS reiterated a Hold rating on the stock and lowered the price target from $375 to $340. Earlier, on January 12, Gabriela Borges from Goldman Sachs downgraded the stock to a Sell rating from Buy and maintained a price target of $290.

​Analysts at Goldman Sachs noted relatively weaker growth metrics as one of the main reasons behind the undervalued PEG ratio. The firm noted that Adobe Inc. (NASDAQ:ADBE) projects around 10% revenue growth over the next 12 months, which lags behind its peers with 11% growth expectations. Moreover, the next 12 months’ EPS growth of 10% also trails behind the 18% growth expectations from its peers. The firm noted that this places the company in the bottom quartile for PEG valuation. On the bright side, fiscal 2026 EPS is forecasted at $22.69, signaling sustained profitability.

​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.

While we acknowledge the potential of ADBE to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than ADBE and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

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  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

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