Adobe needs to convince Wall Street that AI is helping revenue growth in order for its shares to move higher, analysts say.

Shares plunge 5.4% to 52-week low after Oppenheimer downgrade. AI competition from Canva, Figma concerns analysts. Down 24% year-over-year.

Shares of creative software giant Adobe (NASDAQ:ADBE) fell 5.4% in the afternoon session after Oppenheimer downgraded the stock, adding to a growing chorus of concerns that the rise of Artificial Intelligence could hurt the company's business.

The two software stocks were among the S&P 500’s biggest losers on Tuesday as investors considered the threat AI poses to their business models.

Although ADBE has seen a decline of -4% this year, the positive aspect is that it is currently valued at 35% less based on its P/S (Price-to-Sales)

Software stocks underperformed the broader tech sector for a second straight year in 2025 as concerns about AI disruption weighed on investor sentiment.

Adobe released 11 security bulletins for 25 vulnerabilities, including a critical code execution bug in ColdFusion.

Adobe stock has evolved from one of the hottest trades in Wall Street into one of the top laggards. What next for the ADBE share price?

Market Domination Overtime Host Josh Lipton tracks several of the day's top trending stock tickers, including Adobe's stock (ADBE) downgrade to Market Perform from Oppenheimer analysts, Moderna (MRNA) providing an upbeat update to its guidance,

Adobe (ADBE) stock has experienced a 5-day losing streak, with total losses during this timeframe reaching -6.3%. The company's market capitalization has declined

Oppenheimer is the latest financial firm to downgrade Adobe, rerating the creative software company to Perform from Outperform. "We had previously been bullish on Adobe as we expected its AI business momentum to reinvigorate growth in its Digital Media business,