By Angela Palumbo

Adobe earnings are on deck, but ongoing concerns about artificial intelligence's impact on the business might continue to overshadow any positive financial results from the enterprise software company.

Adobe is scheduled to report fiscal second-quarter financials after the stock market closes on Thursday. Analysts surveyed by FactSet expect the Photoshop parent to post adjusted earnings of $5.82 a share on revenue of $6.45 billion.

In the same period last year, Adobe reported earnings of $5.06 a share on revenue of $5.87 billion.

During this earnings season, Wall Street has had little patience for tech companies that report results that are just in line with analyst estimates after stocks and valuations have soared.

But Adobe is in a different position, as the stock has fallen 36% this year and trades at just 8.8 times earnings expected over the next 12 months.

"We think the bar is low heading into the quarter," Stifel analyst J. Parker Lane wrote in a note on June 7. Lane cut his price target on Adobe to $350 from $400 while maintaining a Buy rating on the stock.

The problem for Adobe is continued worries about the impact AI will have on its business. Adobe is working hard to alleviate those fears by launching its own AI products, including an AI agent platform called CX Enterprise, which is designed to help companies boost sales, improve customer experience, and quicken time-intensive tasks.

But even as Adobe releases its own AI and reports better-than-expected financials, the stock tends to fall after earnings as broader concerns loom. According to Dow Jones Market Data, Adobe stock has fallen after eight of its last 10 earnings reports.

Adobe stock was down 4.8% to $222.23 ahead of earnings on Thursday.

"Longer term, the key question is whether Adobe can realistically position itself as the core orchestration layer for AI-driven enterprise creativity," Third Bridge analyst Dylan Koehler wrote on Tuesday.

Quite a few analysts are still optimistic about the company's future. Of the 37 surveyed by FactSet, 17 say the stock is a Buy, 17 say it's a Hold, and three say it's a Sell.

"We think ADBE is in a solid position to capitalize on this next technology wave around GenAI, but we believe it will take time to have a meaningful impact and bend its growth curve," TD Cowen's Derrick Wood wrote on June 7. He lowered his price target to $285 from $310 while maintaining a Hold rating on the stock.

Write to Angela Palumbo at angela.palumbo@dowjones.com

This content was created by Barron's, which is operated by Dow Jones & Co. Barron's is published independently from Dow Jones Newswires and The Wall Street Journal.

(END) Dow Jones Newswires

June 11, 2026 12:46 ET (16:46 GMT)

Copyright (c) 2026 Dow Jones & Company, Inc.