Adobe shares dropped nearly 10% after the company released a disappointing earnings forecast the Photoshop maker projected 4th quarter revenue between $5.50 billion and $5.55 billion falling short of analyst expectations of $ 5.61 billion this has raised concerns about delayed returns from its AI Investments Adobe has been investing heavily in artificial intelligence for image and video generation to Main maintain its leadership in the design software industry however it faces stiff competition from startups like stability Ai and mid Journey which are well funded and rapidly advancing in the AI space if current losses persist Adobe could lose over 25 billion dollars in market value despite this JP Morgan analysts noted Adobe remains on track to deliver Creative Cloud nrr year-on-year growth in Q4 this suggests that adobe subscription signups are still robust despite the weak forecast adobe's shares have fallen nearly 2% this year after a 77% rise in 20 the company had anticipated strong growth in the latter half of the year but the current forecast indicates ongoing Market pressures Bernstein analysts believe a clear catalyst is needed to boost investor confidence thanks for watching don't forget to like And subscribe market news short and sweet