- Cloud computing to provide an edge to Adobe Inc.
- Latest layoff targeted sales team.
- Prices fell by about 2% intraday.
In the last month of 2022, Adobe Inc. (NASDAQ: ADBE) slashed nearly 100 employees, mostly from the sales team. On the contrary to layoffs, in Sept 2022, the company onboarded nearly 27,000 people. The company chopped off a comparatively smaller chunk of the workforce, relating to the layoff trend in the tech industry.
Adobe Inc. and its subsidiaries operate as a diversified software company across the globe. The company offers products and services directly interacting with tech producers and users. One of the popular products offered by Adobe is the cloud facility.
The cloud computing industry is going fancy in 2023. Cloud computing trends are popular in areas like application and infrastructure software, business processes and tech infrastructures. A craze has already begun taking shape to power the adoption of Web3.
Semiconductors can impact the company
The semiconductor-producing companies witnessed profit drop as core hardware products became commoditized. The companies are trying to move into embedded and associated application software in response to the transition.
Per recent reports, pressure on China’s chip makers is set to increase after President Joe Biden secured international support limiting the flow of advanced technologies.
Turmoil in the chip industry will create threats and opportunities for software manufacturers. If the chip war continues, the tech sector will be bound to find alternative ways to proceed. The emerging trend might face a setback due to lagging optimal infrastructure.
ADBE Stock Price Analysis
The ADBE stock prices have formed a rising regression trend, with current prices trying to break the trend. The prices have tested the support $319.00 several times. The volume shows buyers emerging to accumulate for future rallies. The 50-EMA lies below the price movement. If current prices can break out of $372.70, a bull run may be established reaching about $434.62.
The MACD records ascending buyer bars while the lines diverge for the bulls in the region above the zero-histogram mark. The RSI moves near the ceiling ranges of 60-70 displaying buyer-dominance. The analysis suggest prices to face a steady rise despite all the hardships in the tech industries.
Conclusion
The software company, Adobe Inc., may witness price rise holding on to the possible enhancements in the tech industry and rising trend of clouds. The holders must watch out for the break out near $372.70. The ADBE shares are deemed suitable for long-term investments.
Technical levels
Support levels: $319.00 and $275.20
Resistance levels: $400.00 and $442.00
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2023/01/31/adobe-stock-to-rise-climbing-backs-of-intercessor-industries/