Creative digital software outfit Adobe (ADBE:NASDAQ) is one of several names which joined the AI (artificial intelligence) hype train in 2023.

The shares are up nearly 70% year-to-date ahead of its latest quarterly earnings on 14 September which could determine if the momentum behind the shares can be maintained.

The company has a leading share of 50% in the creative software space through an offering which includes Adobe PDFs, Photoshop and image and graphic library Adobe Stock as well as products like InDesign and Premiere Pro.

Analysts and investors have been getting excited about the potential for AI to be incorporated into its products and services. A strong performance across all areas of the business helped the company top second-quarter estimates for earnings per share of $3.31 with a total of $3.35 per share.

Investor sentiment was soured a little thanks to guidance for third-quarter earnings which was a little short of what analysts had been pencilling in ahead of time.

One area investors will be watching is whether AI is turning from an opportunity to a threat to Adobe amid fears machines could replace its graphic designer customer base. Reports suggest that, internally, some staff are voicing concerns about the issue.

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8 September: Kroger

14 September: Adobe, Oracle

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