12 Best NASDAQ Stocks To Buy in 2025

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8. Adobe Inc. (NASDAQ:ADBE)

Number of Hedge Fund Holders: 123

Adobe Inc. (NASDAQ:ADBE) is a global software company that is known for its creative, marketing, and document management solutions. Its flagship products include Photoshop, Illustrator, InDesign, Acrobat, and Premiere Pro. These are industry-standard tools utilized by millions of people worldwide.

In 2024, the company launched several AI models, including Firefly, which offers advanced tools for image, vector, design, and video generation. These features are integrated into core applications like Photoshop, Premiere Pro, and Acrobat. AI-driven creativity contributed to a record revenue of $21.51 billion in FY2024, reflecting an 11% increase year-over-year. Since its beta release in March 2023, Firefly has generated over 13 billion images. Recently, the platform enhanced its features to allow users to share custom models and generate videos from text prompts, with a new pricing model introduced for its AI capabilities.

Adobe Inc. (NASDAQ:ADBE) recently saw its stock decline following a 2025 revenue forecast of $23.3 to $23.55 billion, which fell short of analysts’ expectations of $23.77 billion. Investor concerns came from the potential delayed returns from the company’s investments in AI-powered software applications. The company did not provide a clear monetization strategy for its new AI tools. However, Constellation Research’s Ray Wang is bullish on Adobe Inc. (NASDAQ:ADBE) in 2025, citing the company’s strong position as an AI derivative. Wang believes that most companies will rely on established software providers like this one to use AI effectively.

Polen Focus Growth Strategy increased its holdings in the company, anticipating revenue growth which it expects Firefly to deliver. Here’s what it stated in its Q3 2024 investor letter:

“We added to several existing positions in the quarter including Adobe Inc. (NASDAQ:ADBE), Workday, Shopify, MSCI, and Paycom Software. We feel Adobe is poised for re-accelerating revenue and earnings growth partially due to the monetization of its Firefly GenAI product embedded in its creative software.”

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