ADBE Rides on Acrobat AI Expansion: Can it Outpace MSFT & GOOGL?

Adobe is transforming Acrobat into an AI-powered document productivity platform with features like conversational PDF editing and content creation. While adoption metrics show strong growth—Acrobat AI Assistant paid MAUs surged over 150% and ARR tripled year-over-year—Adobe faces intensifying competition from Microsoft's Copilot and Google's Gemini in document workflows. Despite strong product momentum, ADBE stock has declined 27.1% year-to-date and carries a Zacks Rank #4 (Sell) rating.