Adobe (NASDAQ: ADBE) – Potential Re-Accumulation & Upside Opport

🚀 Idea: Adobe (NASDAQ: ADBE) – Accumulation Zone & AI Catalyst
🔍 Technical Analysis

Adobe is currently forming a base around $330–$360 on the weekly chart, which has been tested multiple times.

Supply zones: $550–$650, with a higher resistance near $700.

Momentum: Weekly RSI is showing a bullish divergence (lower lows in price vs. higher lows in momentum), signaling a possible reversal.

Projection: If support holds, price could re-test $550–$650 and potentially extend to $700+.

📊 Fundamentals & Catalysts

Q2 FY2025 Earnings: Revenue $5.87B (+11% YoY), EPS $5.06 vs. $4.48 YoY, with Digital Media ARR growing 12% YoY to $18.09B (Adobe, 2025a).

Digital Experience Segment: Expanded ~10% YoY, strengthening diversified revenue streams (Adobe, 2025a).

Raised Guidance: Full-year revenue outlook upgraded to $23.50-$23.60B and EPS to $20.50-$20.70 (Financial Modeling Prep, 2025).

AI Growth: Firefly and Acrobat AI Assistant adoption continues to drive ARR and premium feature upgrades (MarketWatch, 2025).

⚠️ Risks

Competitive threats from Canva, OpenAI, and other AI-driven platforms (Barron’s, 2025).

Slower enterprise adoption of premium AI features could weigh on margins.

Valuation remains elevated, requiring continued revenue and margin expansion.

📈 WaverVanir Trade Framework
Parameter Value
Entry Zone $330–$360
Stop Loss Below ~$300 (10–12% downside risk)
Target 1 $550–$650
Target 2 $700+
Time Horizon 3–6 months
R/R Potential ~2–3x if support holds
📌 Conclusion

Adobe sits at a critical accumulation level. If support holds, earnings strength + AI adoption momentum could propel price toward $550–$700. A failure to hold $330–$360 support would shift bias bearish toward $300.

#Adobe #ADBE #AI #DigitalMedia #WaverVanir #InstitutionalTrading

References

Adobe. (2025a). Q2 FY2025 financial results. Adobe Investor Relations.

Barron’s. (2025). Adobe earnings and competitive risks. Barron’s.

Financial Modeling Prep. (2025). Adobe raises full-year guidance as AI demand fuels growth.

MarketWatch. (2025). Adobe stock performance and AI catalyst outlook.