Jim Cramer’s Game Plan This Week: 10 Stocks to Watch

2. Adobe Inc. (NASDAQ:ADBE) 

Number of Hedge Fund Holders: 123

Commenting on stocks like Adobe Inc. (NASDAQ:ADBE), Cramer said:

“As I mentioned earlier, the enterprise software stocks have been roaring, reacting very positively to pretty much everything these days. So maybe we should start thinking about buying the stock of Adobe, which has some of the very best software to help businesses with marketing and web design. I like this company very much, but it’s been stuck in enterprise software purgatory. Not anymore. Maybe it has a real run by just delivering good numbers.”

Adobe (NASDAQ:ADBE) is a well-established software company known for offering a broad range of products and services, particularly in the fields of digital media creation and document management. The company has focused on integrating AI into its document cloud offerings, with features like the AI Assistant aimed at enhancing productivity and improving user experience with digital documents.

In the graphic design space, its suite of tools remains a leader, and to stay ahead in the evolving market, the company developed its own generative AI model, Firefly. This model has gained significant traction, with over 12 billion images created using it, according to the company.

Adobe (NASDAQ:ADBE) also introduced its AI-first content creation application, Adobe Express, which is designed to assist individuals, students, teams, and enterprises with quick design tasks. The application has seen notable growth, with a 96% quarter-over-quarter increase in monthly active mobile users and an 86% year-over-year rise in the number of creations made using the app during the third quarter.

Looking ahead, the company projects total revenue for the fourth quarter to range between $5.50 billion and $5.55 billion. The company expects GAAP earnings per share of $3.58 to $3.63 and non-GAAP earnings per share of $4.63 to $4.68.