5 Quality Stocks to Buy with Shares Down Over 30% YTD

3. Adobe Inc. (NASDAQ:ADBE)

Percentage of iShares MSCI USA Quality Factor ETF Holdings: 1.21%

Year to Date Performance as of September 22: -49.38%

Number of Hedge Fund Holders: 92

Adobe Inc. (NASDAQ:ADBE) is a leading digital media and digital marketing solutions company based in California. Its software and cloud solutions are packaged into three cloud solutions: Adobe Creative Cloud – comprising Photoshop, Lightroom, Illustrator, Premier Pro, and others; Adobe Document Cloud – comprising solutions for creating, editing, sharing, scanning, and signing digital documents; and Adobe Experience Cloud – solutions for customer journey management, data analytics, content personalization, commerce, and marketing workflows

On September 15, Adobe Inc. (NASDAQ:ADBE) announced that it had entered into an agreement to acquire Figma, a collaborative design platform, for $20 billion comprising half cash and half stock compensation. Even though the acquisition makes business sense, the price tag and timing has raised concerns for investors and analysts, which has resulted in a significant drop in its share price.

As of September 22, shares of Adobe Inc. (NASDAQ:ADBE) have fallen by almost 50% due to the weaker NASDAQ.

As of Q2 2022, a significant number of hedge funds exhibited a bullish sentiment for Adobe Inc. (NASDAQ:ADBE) shares as 92 out of 895 hedge funds tracked by Insider Monkey held its shares with a total value of $7.5 billion. Its largest shareholder was Fisher Asset Management with ownership of nearly 6.2 million shares valued at $2.3 billion.