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Adobe hits record high on strong earnings

Reuters Videos
Updated

Shares of Adobe shot up 3% at the market open, hitting an all-time high Friday after at least seven analysts raised their price targets on the software developer.

Shares of the Photoshop application maker were among the top gainers on the S&P 500 one day after reporting a quarterly revenue surge of nearly 23%. Its top and bottom lines easily beat analysts’ targets.

Once known for photo and video editing software, Adobe has grown to become one of the biggest providers of software for digital marketing. Its Digital Experience business, which includes marketing and analytics products, saw revenues soar 25%. Revenue in its Digital Media segment, its biggest business that offers cloud services, rose 25%.

Looking ahead, Adobe sees strong momentum continuing. Its earnings forecast for the current quarter surpassed Wall Street’s estimates.