Tag Archives: adbe

Adobe slashes near-term sales outlook, stock soars

Adobe Systems late Thursday slashed its 2014 revenue outlook by 21% and its expected earnings per share by 52%. And Friday morning Adobe stock soared to a record high. What gives? In the topsy-turvy world of Adobe (ADBE) lately, what looks like bad news is actually good news. The maker of graphic design and media creation software is transitioning its business to the Internet cloud/subscription model from buy-upfront software. The move holds the promise of higher lifetime revenue per customer, as users switch to paying a monthly subscription fee rather than buying software products outright and using them indefinitely. But Adobe’s top and bottom lines will take a short-term hit as customers stop paying upfront for the software. Investors are clearly focused on the longer term. Adobe stock was up nearly 11%, near 60, in morning trading on the stock market today . Adobe reported fiscal fourth-quarter results after the close Thursday. It earned 32 cents a share excluding items, down 48% from a year earlier, but matching Wall Street expectations. Sales fell 10% to $1.04 billion, above the…

Adobe Creative Cloud dissatisfaction grows with subscribers

Adobe Systems stock has risen nearly 50% this year on investor enthusiasm for the company’s transition to an Internet cloud-based business. Wall Street will be looking for continued strength in Adobe’s Creative Cloud and Marketing Cloud offerings when it reports fiscal fourth-quarter results on Thursday. While Adobe (ADBE) continues to attract customers to its core Creative Cloud business, at least one survey indicates that satisfaction with the product is declining and new customers might be harder to come by. Baird Equity Research analyst Steven Ashley conducted a survey of 50 Adobe customers recently to gauge their views. The percentage using Creative Cloud rose to 46% this quarter from 32% in Q3 and 25% in Q2, he said in a report Monday. But the share of customers saying they’re very satisfied with Creative Cloud fell to 18% this quarter from 33% in Q3 and 52% in Q2. Also, the percentage of…

Security breaches raise concerns about online safety

For people concerned about online security, the headlines this week did little to convince them that it is safe to conduct their business on the Internet. On Wednesday, the BBC reported that more than 2 million passwords for sites including Facebook (FB)Yahoo (YHOO) Google (GOOG )Twitter (TWTR) and LinkedIn (LNKD) had been stolen and posted online. Security firm Trustwave discovered the trove of login credentials, email credentials and passwords. A criminal organization might have been behind the security breach that acquired the personal information. The data likely were taken from computers infected with malicious software that logged key presses, the BBC said. In October, Adobe Systems (ADBE) reported that hackers broke into its computer systems and stole user names, passwords and credit card numbers. That breach impacted about 38 million active users on Adobe’s network Business Insider reported. On Thursday, JPMorgan Chase (JPM) warned 465,000 holders of prepaid cash cards…