AB

[AB @YZholding]

The idea that the current multiple is merited because “the revenue growth is slowing down” is pure non sense $ADBE

[AB @YZholding]

While $ADBE is violently caught up in the SaaSpocolypse narrative, it remains the overwhelmingly dominant company in the arena of content creation - a vertical which should continue to grow as AI empowers more and more entrepreneurs. Whether the Adobe suite is replicable…

[AB @YZholding]

I continue to find it one of the most attractive opportunities in the market, where the greatest requirement is patience and mental fortitude to not sell along with those calling for the obsolescence of a business while it grows double digits in front of their eyes…

[AB @YZholding]

@amlivemon Or the money just found real yield…an interesting debate nonetheless

[AB @YZholding]

The $ADBE stock narrative is truly the most baffling of them all. Beaten down by a crowd of investors who are certainly smart but have turned into forced sellers almost as a result of anticipating the narrative that did play out, but one that is not fundamentally sound over time

[AB @YZholding]

@WOLF_Financial Kraft Heinz $KHC

[AB @YZholding]

@given2tweet Legend

[AB @YZholding]

@GavinSBaker @elonmusk Correct me if I’m wrong, sounds like: “Lower cost = More demand, AI economy will continue to grow”. If cheaper models are sufficient, doesn’t that mean users will just want to pay the lowest cost such that the value flowing downstream is a lot less than initially anticipated?

[AB @YZholding]

@michaeljburry I do appreciate your views on Adobe,seems to me a stock that has no “home” in terms of capital flows. Once owned by the same SaaS guys who are now bulled up on “AI” while value conscious capital sees it in the “tech/growth/too hard” pile. I think back to Druck’s recent interview

[AB @YZholding]

@AndrewM61370616 Curious where the “intense challenges” show up in the financials

[AB @YZholding]

@realroseceline Even still, the company returns cash to SH. You can say their fcf available to conduct the repurchases will decline, but you still need quite an aggressive (and even more now) assumption of decline to get to a PV of where it trades today. Assuming they return ~75% of cash

[AB @YZholding]

$BRK For all the headlines, this is a deal that makes $GOOG ~3.5% of their MC…while offering an opportunity to mark up $10 bn of paper immediately to market. If they paid too much by 2x, it takes <200bps off equity. If he’s right, Berkshire has a serial compounder in its ranks.

[AB @YZholding]

@ReneSellmann He is saying because adobe isn’t being used for a children’s book that the bear case is confirmed? That has never been the concern. At some point, price matters. Negative sentiment wouldn’t push the stock to 1x PE…

[AB @YZholding]

@Brian_Stoffel_ @AlphaBourse_ Call “New” companies those < 5 years - in 2030, “New” companies will be a fraction of spend for $ADBE and it’s “AI” competitors. If you do believe incumbent SaaS continues to dominate w incumbent companies, there has to be a multiple worth paying…is that really < 9x? (Conagra)

[AB @YZholding]

@nntaleb Stan Druckenmiller, Scott Galloway

[AB @YZholding]

@ajustman_ @crowdturtle @borrowed_ideas If the current multiple was something obviously egregious like 1x PE, would you make the same argument? Cheap valuations should not be immediately treated as justified especially if that justification is sourced from something like “(already double digit) ARR decelerating” $Adbe

[James Lucas @JamesLucasIT]

This is one of the worst downgrades of all time

Old London Bridge was a medieval stone structure that stood for over 600 years and was once considered a wonder of the world. It was 926 feet long and filled with houses and shops, making it the longest inhabited bridge in Europe.

[AB @YZholding]

@dwoloch @glakshmivarahan Not remaining, but the spin off they will buy a lot of