Why Adobe Stock Rallied 4% Today
Shares of creativity and document-management software giant Adobe (NASDAQ: ADBE) jumped 4.3% today as of market close, compared to a less than 1% gain for the Nasdaq Composite on the day. This could be a temporary relief rally, though; the market remains in a sour mood as the Federal Reserve raises interest rates to try and tame inflation. Adobe stock is down some 44% from all-time highs as of this writing.
Image source: Getty Images.
Adobe has been under pressure along with other growth stocks as the software titan's growth rate slows. What was once an extremely high premium investment is now approaching a value investment. Shares currently trade for less than 28 times free cash flow as of this writing.
Source Fool.com
