Jim Cramer criticized analysts for their harsh stance on Adobe Inc. ADBE following its third-quarter financial results.
What Happened: According to Cramer the host of CNBC’s “Mad Money,” analysts are overlooking Adobe’s fundamental strengths.
On Thursday, Adobe released its third-quarter earnings after the market closed. Cramer took to X, formerly known as Twitter to voice his concerns, stating, “Analysts very tough on Adobe guide tonight, ignoring core strength of the quarter.”
Cramer emphasized the need for a balanced perspective, saying, “I know, the forecast is the forecast, but there is something in between total euphoria and total skepticism.”
Why It Matters: Adobe’s third-quarter earnings report revealed a record revenue of $5.41 billion, surpassing analysts’ expectations of $5.37 billion, and a 10.63% year-over-year growth.
The company’s earnings per share also beat estimates, coming in at $4.65 compared to the expected $4.53.
Additionally, Adobe has been a key player in the artificial intelligence space, with investors like Jim Lebenthal of Cerity Partners highlighting the company’s ability to monetize AI technologies. This has positioned Adobe as a top tech pick alongside Oracle Corp.
Price Action: Adobe stock closed at $586.55 Thursday, 1.06%. In after-hours trading, the stock dropped 9.12%. Year-to-date, Adobe's stock has increased 1.12%, according to data from Benzinga Pro.
Read Next:
Image Via Shutterstock
This story was generated using Benzinga Neuro and edited by Kaustubh Bagalkote
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
