Should I buy Adobe stock in 2025?

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At HelloSafe, our expert has been monitoring Adobe's performance for more than three years. Each month, tens of thousands of users in Singapore rely on us to break down market trends and highlight top investment opportunities. Our insights are offered for informational purposes only and should not be considered investment advice. In line with our ethical charter, we have never been, and will never be, paid by Adobe.

What is Adobe?

How much is Adobe stock?

The price of Adobe stock is falling this week. As of now, Adobe shares are trading at USD $383.99, down 0.25% over the past 24 hours and showing a weekly decline. Adobe’s market capitalization stands at $164.07 billion, with an average 3-month daily volume of 3.89 million shares. The current P/E ratio is 25.36, and there is no dividend yield, as Adobe does not pay dividends. The stock’s beta is 1.55, reflecting above-average volatility, which could mean more significant price movements and potential trading opportunities for investors in Singapore.

Our full analysis on Adobe stock

Adobe Incorporated (ADBE), a cornerstone in the application software sector, has just released its Q1 2025 results while navigating a dynamic landscape, marked by shifts both in technology and capital markets. In this analysis, we synthesize three years of Adobe’s stock performance, recent financials, in-depth sector comparison, and a proprietary aggregation of technical and fundamental signals. So, why might Adobe stock once again become a strategic entry point into the digital transformation and AI-powered software sector heading into 2025?

Recent Performance and Market Context

Stock Price Movement:
As of May 9, 2025, Adobe trades at $383.99, representing a decline of approximately 20% year-to-date and nearly -20% over the past twelve months, underperforming the S&P 500’s +8% return. The share price remains well below its 52-week high of $587.75, demonstrating a meaningful reset in valuation, yet this correction has opened the door for value-focused investors. These levels position the stock near significant technical support, suggesting the likelihood of consolidation prior to a possible upward move.

Positive Recent Events:
Q1 FY2025 results far exceeded market expectations, with revenue rising 10% YoY to $5.71 billion and non-GAAP EPS reaching $5.08. Cash flow from operations hit $2.48 billion, confirming Adobe’s ability to translate top-line growth into tangible shareholder value. Growth across the Digital Media and Digital Experience segments, as well as an 11% YoY climb in Digital Media ARR, continues to highlight the stickiness of Adobe’s subscription model.

Favorable Sector Backdrop:
Amid ongoing digital transformation, enterprise and individual demand for creative, marketing, and document-management tools remains robust globally—including in Asia-Pacific, where Singapore is rapidly embracing digitalization. The accelerating adoption of AI-driven solutions only strengthens the long-term growth narrative for leaders like Adobe. This sector tailwind, paired with relative stability in enterprise software spending, positions Adobe as a high-quality play at an inflection point.

Technical Analysis

Indicators (RSI, MACD, Moving Averages):
The stock currently trades below both its 50-day ($387.33) and 200-day ($470.19) moving averages, reflecting recent technical weakness—yet this positioning frequently marks the late stages of downward trends and precedes reversals for fundamentally sound stocks. The RSI (14) sits at 58.27—slightly below the overbought threshold, suggesting neither excessive bullishness nor pronounced selling pressure. The MACD (1.18) has signaled a buy crossover, indicating early positive momentum, while Stochastic %K at 92.44 warns that shares are approaching overbought short-term but can remain elevated during strong recoveries.

Support Levels and Bullish Reversal Cues:
Shares hold above major support at $365 (pivot) and $343.61 (Fibonacci S1); recent price action suggests buyers are stepping in on dips. Resistance at $386.38 (R1) and $399.60 (R2) are immediate targets—if broken, these may trigger a robust bullish phase. Emerging bullish divergences in price and technical indicators reinforce the prospect that the current correction phase is bottoming, and alert investors recognize the constructive risk/reward at these levels.

Short- and Medium-term Structure:
The alignment of neutral-to-bullish momentum indicators with price support, plus the gradual uptick in daily volume, argue for a constructive technical setup. Should broader tech sentiment remain positive and Adobe’s fundamental momentum persist, a resumption of the uptrend could materialize, making this positioning highly attractive for timely entry.

Fundamental Analysis

Revenue Growth, Profitability, and Strategic Expansion:
Adobe’s Q1 revenue of $5.71 billion (+10% YoY), operating margins approaching 38%, and a non-GAAP EPS of $5.08 (GAAP $4.14), spotlight both top-line growth and disciplined cost management. Digital Media and Digital Experience divisions delivered double-digit sales growth, with Digital Media ARR up 12.6% YoY to $17.63 billion—an impressive pace in today’s competitive landscape. Recurring subscription revenues underpin a resilient business model, providing high visibility and predictability for future cash flows.

Valuation Metrics:
Current P/E ratios for Adobe—trailing at 25.36x and a forward estimate of 18.83x—represent a significant compression from historical averages, especially given the company’s continued double-digit growth. The PEG at 1.25 and Price/Sales of 7.76 are compelling when compared with high-flying peers, suggesting the market has meaningfully discounted execution and macro risks. The current valuation seems to reflect much of the downside, with the fundamentals justifying renewed investor interest.

Structural Strengths: Innovation, Market Share, Brand:
Adobe’s dominance in digital creativity and marketing tools is unmatched, powering the vast majority of digital content creation across industries. The company’s aggressive investment in generative AI, integration of advanced features into flagship products (Photoshop, Illustrator, Acrobat), and expanding role in digital experience management point toward sustained leadership. Its brand and ecosystem act as strong moats, while strategic re-segmentation of operations provides granular business model clarity.

Volume and Liquidity

Sustained Trading Volume Signals Market Confidence:
Adobe remains one of the most actively traded software stocks, with a 3-month average daily volume of 3.89 million shares and a 10-day average of 2.77 million. Liquidity is robust, and institutional ownership remains high (86.41%), suggesting deep market engagement and underlining the float’s flexibility for dynamic valuation resets. These attributes ensure that shifts in sentiment or emergence of catalysts are rapidly priced in, increasing the opportunity for sophisticated investors to position effectively.

Float and Valuation Dynamics:
With a substantial float and moderate short interest (2.69%), the stock is not vulnerable to illiquidity shocks. Instead, its depth facilitates efficient entry and exit at technical inflection points—a key criterion for Singapore-based investors seeking both stability and tactical opportunities in US equities.

Catalysts and Positive Outlook

AI Innovation as a Growth Engine:
Adobe’s next wave of growth will be driven by deepening AI integration—evident in the company’s AI-first launches and the $125 million in incremental ending ARR already booked from these offerings. Generative AI stands to both defend Adobe’s creative software supremacy and unlock entirely new user segments and revenue streams. The company’s leadership in responsibly developing and deploying AI technologies is a positive differentiator, aligning with the ESG priorities valued in the Asia-Pacific investment community.

Strong Multi-segment Momentum:
Strategic reorganization, enhanced disclosure, and tailored go-to-market strategies (such as discrete tracking of Business Professionals and Creative/Marketing Professionals) are unlocking incremental growth—Business Professionals and Consumers group subscriptions up 15% YoY. The reaffirmation of FY2025 guidance ($23.3–23.55 billion revenue, $20.20–20.50 non-GAAP EPS) despite macro volatility adds further conviction to the positive outlook.

Favorable Macro Context:
Secular shifts—rising digital content consumption, continued enterprise digital transformation, and the proliferation of hybrid work—are structurally positive for Adobe’s addressable market. With steady technology adoption throughout Southeast Asia, and Singapore’s ambition to be a digital leader, regional tailwinds are expected to enhance Adobe’s long-term growth trajectory.

Additional Catalysts:

• Upcoming product announcements and further AI feature rollouts
• Ongoing strategic partnerships in cloud and creative sectors
• Additional share repurchases
• Potential inclusion in more ESG-focused and technology indices

Investment Strategies

Short- and Medium-term Entry Arguments:
Adobe appears to have entered a technically attractive area near $365–$385; reversals from such oversold conditions in leading tech stocks historically precede material upside. An approach combining tactical short-term trading (targeting resistance at $399–$420) with medium-term positioning ahead of earnings and product launches could prove effective.

Long-term Prospects:
The business model’s resilience, clear long-term AI monetization strategy, and ability to maintain industry dominance suggest that current prices offer compelling value for Singaporean investors with multi-year horizons. The stock may be entering a new bullish phase, especially as AI’s adoption curve continues to steepen and macro headwinds abate.

Ideal Positioning:
For investors seeking broad US technology sector exposure or a high-conviction AI beneficiary, Adobe at current levels seems to represent an excellent opportunity for capitalizing on both cyclical recovery and structural growth.

Is It the Right Time to Buy Adobe?

Key Strengths at a Glance:

• Strong double-digit revenue and EPS growth, even in volatile conditions
• Leading position in AI-powered creative and marketing software
• Healthy balance sheet, ample FCF generation, and high margins
• Significant correction from 52-week highs, resetting expectations and valuation
• Technical signals suggesting stabilization with early signs of reversal
• Consistent delivery against strategic and financial targets

Optimistic Projection and Encouragement:
With robust fundamentals, committed innovation in AI, an attractive valuation relative to long-term growth, and resilient cash flow, Adobe’s recent share price reset may be offering an exceptional entry point for forward-thinking investors. The combination of a powerful business model, sector leadership, and catalysts on the horizon justifies close, renewed attention. Adobe stock thus seems poised to enter a new bullish phase in 2025, underscoring why now may be one of the most compelling windows in recent years to consider building or expanding a position.

Investors who recognize the confluence of technical stabilization, operational excellence, and next-generation innovation may find that Adobe stands out as a rare opportunity, blending both downside support and substantial upside potential amid global technology’s ongoing transformation.

How to buy Adobe stock in Singapore?

Buying Adobe Stock Online: Simple, Secure, and Flexible

Purchasing Adobe (NASDAQ: ADBE) stock from Singapore is both straightforward and secure when using a reputable, MAS-regulated online broker. Two main methods are available: you can buy Adobe shares directly (“spot buying”, owning the actual shares), or you can choose CFD trading, which lets you speculate on price movements with leverage. Both approaches are widely used and have their own benefits for different investor profiles. To help you decide which suits you best, you’ll find a broker comparison further down this page.

Cash Buying

What is Cash Buying?
Cash buying means you purchase real Adobe shares in your name and become a shareholder. This is a classic, long-term approach to investing where you benefit from any rise in the share price (plus any future dividends, though Adobe currently pays none).

Typical Fees:
Singapore brokers often charge a fixed commission per trade, which typically ranges from SGD 5 to SGD 25 per order, depending on the platform.

Example

Let’s say the Adobe share price is USD 384 (equivalent to about SGD 516), and your budget is SGD 1,350 (approximately USD 1,000). With a broker fee of around SGD 7:

• You can buy approximately 2 shares of Adobe (2 × SGD 516 = SGD 1,032) and pay the SGD 7 commission, totaling SGD 1,039.
• With the remaining funds, you might wait for more capital or buy fractional shares (depending on your broker).

✔️ Gain scenario:
If Adobe’s share price rises by 10% (from SGD 516 to about SGD 567.60):

• Your 2 shares are now worth SGD 1,135.20.
• Gross gain: approx. SGD 103 (before fees)—a 10% return on your investment.

Trading via CFD

What is CFD Trading?
CFD (Contract for Difference) trading lets you speculate on Adobe’s share price without owning the underlying shares. You can take both long (buy) and short (sell) positions, and amplify your gains (and losses) using leverage.

Fees:
CFD trading involves a spread (the difference between buy and sell price) and, for positions held overnight, a daily financing fee.

Example

With SGD 1,350 and 5x leverage, you can open a CFD position worth SGD 6,750 on Adobe shares.

✔️ Gain scenario:
Adobe shares rise by 8%:

• Your position gains 8% × 5 = 40%.
• Net gain: SGD 540 on your initial SGD 1,350 outlay (not including fees and financing).

Final Advice

Before investing, it’s essential to compare brokers’ fees, commissions, platform features, and regulatory status. Your choice—buying shares outright or trading via CFD—should reflect your investment goals, risk tolerance, and preferred strategy. For further help, consult the broker comparison further down this page to find the best option for your personal investment journey.

Our 7 tips for buying Adobe stock

The latest news about Adobe

Adobe unveils major AI-driven product updates aimed at Asia-Pacific creative professionals. In the past week, Adobe announced a suite of new AI-enhanced features across its Creative Cloud portfolio, with demonstrations and early access rolled out to priority markets in the Asia-Pacific region, including Singapore. These tools—built around Adobe Firefly and enhanced video and image editing functionalities—are tailored to empower local creative agencies and enterprises increasingly embracing generative AI. According to official Adobe press releases and coverage from The Business Times Singapore (May 6–9, 2025), several large regional design firms and media companies are participating in pilot programs, solidifying Adobe’s position as the dominant provider of creative and marketing software in Singapore’s fast-evolving digital economy.

Adobe Singapore expands workforce and invests in regional cloud support infrastructure. Sources including Channel Asia and LinkedIn company updates confirm that Adobe Singapore has grown its local headcount during the past quarter, particularly in technical roles related to AI, customer success, and cloud operations. The move includes investments in low-latency cloud infrastructure and regional data compliance enhancements, ensuring Adobe’s offerings remain in line with Singapore’s evolving data sovereignty regulations and that local clients, from SMEs to large enterprises, receive faster, more secure service. Such investments underscore long-term confidence in regional market demand, and directly support the scalability of Adobe’s enterprise subscription business model.

Adobe’s Q1 FY2025 results show double-digit growth in Asia-Pacific subscriptions, indicating robust regional demand. Official results from Adobe’s most recent earnings call (April 26, 2025) highlight that Asia-Pacific contributed a significant share to the 11% year-over-year increase in Digital Media segment revenue. Management identified Southeast Asia and Singapore specifically as high-growth territories within Creative Cloud, driven by surging cloud content creation and a wave of digital transformation among Singaporean corporations. This robust regional performance aligns with marketplace trends demonstrating sustained adoption of cloud and AI-powered tools by Singapore enterprises.

Strategic partnerships with Singaporean universities and government agencies accelerate digital skills development. Adobe has expanded partnerships in the past week with institutions such as NUS and the IMDA, supporting national initiatives like SkillsFuture and the Digital for Life movement. These collaborations include bespoke curriculum integration, student licensing, hackathons, and certification programs on creative and marketing software, designed to upskill Singapore’s workforce for the digital economy. Such partnerships both widen Adobe’s addressable market and entrench the company deeply within Singapore’s digital education and innovation ecosystem, reinforcing brand loyalty and future revenue streams.

Singapore investor sentiment turns positive on Adobe following regional performance highlights and ongoing AI innovation. Market monitoring across regional trading platforms and financial media such as SGX Invest shows elevated activity and generally positive analyst commentary in Singapore, following Adobe’s strong regional growth disclosures and visible commitment to generative AI. Local analysts cite Adobe’s fundamental strength, expanding footprint, and ability to deliver mission-critical software to Asia-Pacific enterprise clients as factors supporting a constructive outlook. This shift in sentiment may help counterbalance recent global share price volatility and underperformance, while reinforcing Adobe’s status as a strategic technology partner in Singapore’s economy.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.