Not Even Coronavirus Can Keep Adobe Stock Down for Long
It's taken just a month to wipe out nearly a year's worth of gains for high-flying software stock Adobe (NASDAQ: ADBE). The coronavirus panic is sweeping through markets, and nothing is being spared -- not even high-quality growth outfits that are key ingredients to the digital transformation movement spreading across the globe.
Nevertheless, while Adobe did forecast some business disruption due to the pandemic in the next couple of quarters, investors who have been waiting for a dip to jump on this stock have been given a gift.
Adobe's primary segment, digital media, grew 22% year over year during the fiscal 2021 first quarter (three months ended Feb. 28, 2020). Digital media's annual recurring revenue (or ARR, a common metric for subscription-based and cloud computing business models) increased $400 million sequentially from the previous quarter to $8.73 billion, a stunning 5% quarter-over-quarter increase for a business this large.
Source Fool.com
