Watch Adobe, Apple, Microsoft and more

Posted on June 15, 2024 by darion

Baystreet.ca – Watch Adobe, Apple, Microsoft and more<br />

Apple (AAPL) only needed two words to announce that its market cap was higher than Microsoft’s (MSFT): Apple Intelligence.

Apple shares rose for three days in a row as Apple shares defied investors skeptical of falling iPhone sales in China. The markets have changed their sentiment from extremely bearish to bullish. While Microsoft is a more attractive investment, thanks to cash flow growth in cloud, artificial intelligence, productivity, gaming (via Activision) and enterprise software, it is currently falling out of favor.

In the case of Apple, history may repeat itself. Markets expect the iPhone platform to easily attract the attention of AI users. Microsoft launched CoPilot (powered by ChatGPT) before anyone else. However, gaining market share requires customers to use the Bing search engine. Changing your habits from Google (GOOG) to Bing is a challenge.

Adobe grows by 15%

Adobe shares will open at least 15% higher today. Following continued sales, the company reported earnings per share of $4.48 in 2024. Revenue increased 10.2% YoY to $5.31 billion. Markets are not concerned that third-quarter revenue forecasts of up to $5.38 billion will miss the consensus target of $5.40 billion. Revenues this year will exceed estimates thanks to annual recurring digital media revenues.

Adobe needs to consider splitting its shares and initiating a dividend. He should pass on the savings resulting from not purchasing Figma to shareholders.