New York, Feb 23, 2026, 15:30 (EST) — Regular session
Adobe shares dropped 4.8% to $246.13 by mid-afternoon Monday, as the design-software maker found itself squarely in the midst of a fresh downturn for software stocks. Shares touched a session low of $244.82. Trading volume came in near 5.8 million shares.
Adobe’s slide carries weight: the stock is a signal for investor sentiment around large subscription software, especially as generative AI weaves deeper into workflows. When Adobe shifts sharply, it’s rarely just about their own results—it’s a wider gauge of confidence in pricing strength and the durability of spending across the sector.
Jefferies slashed its price target on Adobe, dropping it to $290 from $400, but maintained a Hold rating, according to MT Newswires. A price target reflects an analyst’s 12-month projection for a stock’s potential trading level. (MarketScreener)
U.S. stocks took a broad hit as tariff worries resurfaced, pressuring software names lower by 4% on the day. “This looks like a resumption of the AI disruption selloff,” said Ross Mayfield, investment strategy analyst at Baird. Investors are now waiting on Nvidia’s numbers Wednesday, with Salesforce earnings up later this week, both eyed for signals on AI-related spending. (Reuters)
Salesforce dropped 4.1%, with ServiceNow off 3.6% in mid-afternoon action, as other big software stocks also took a hit.
AI jitters aren’t staying in stocks. UBS credit strategy chief Matthew Mish flagged that disruption risk might start weighing more on markets into 2026 and into early 2027, especially in “lower-quality credit sectors.” (Reuters)
Adobe, known for Creative Cloud and Document Cloud—think Photoshop, Acrobat—has been layering Firefly tools across its portfolio. The company structures its operations around two core segments: Digital Media and Digital Experience. (Reuters)
The tape’s been erratic. Monday’s action seemed driven by sector selling and analysts’ notes rather than anything new from the company itself. Should tariff threats ramp up, or if software outlooks fall short in the next few weeks, the pressure on the group could intensify.
The next key event for Adobe looms with quarterly results set for March 12, Investing.com shows. (Investing)
