Adobe Stock: Software Firm Unveils Tailored Gen AI Models

Adobe (ADBE) on Monday announced a new service that allows companies to create custom, unique generative AI models for their brand using their media assets. Adobe stock rose on the news.

Using Adobe AI Foundry, companies can create custom AI models trained on their entire catalogs of existing intellectual property. Adobe AI Foundry models can support all major asset types including images, video, audio, and graphics.

The custom-designed AI models promise to be deeply tuned to company assets and protected by intellectual property rights, Adobe said in a press release. Adobe said the service will help creative teams scale brand content production.

Adobe AI Foundry’s first customers include the home improvement retailer Home Depot (High Resolution) and Disney(DIS) Imagine Walt Disney.

“We’re always exploring innovative ways to enhance our customers’ experience and streamline our creative workflow,” Molly Patten, Home Depot’s chief marketing officer, said in a statement. “Adobe’s AI Foundry represents an exciting step forward in embracing cutting-edge technologies to deepen customer engagement and deliver impactful content across our digital channels.”

On the stock market today, Adobe stock rose 3% to close at 343.40.

Adobe Stock is lagging behind

“AI Foundry unites years of Adobe’s innovation and expertise — spanning our generative AI models and methods — to help companies solve today’s most complex content and media production challenges,” Hanna Al-Sager, vice president of GenAI New Business Ventures at Adobe, said in a press release. “Our team of experts and custom, enterprise-grade templates provide a secure creative foundation that enables companies to scale on-brand content and remain competitive in the attention economy.”

Adobe shares have fallen on concerns about its competitors’ generative AI models, including… alphabetGoogle and GOOGL’s OpenAI will erode its creative software business.

Year-to-date through Monday’s close, Adobe stock is down nearly 23%. It has an IBD Relative Strength Rating of 14. This means it has been outperformed by 86% of stocks in the last 12 months.

Adobe ranks fifth out of six stocks in IBD’s Computer & Desktop Software industry group, according to IBD Stock Checkup. It has an IBD Composite Rating of 56 out of 99. IBD’s Composite Rating is a combination of key fundamental and technical metrics to help investors gauge a stock’s strengths. The best growth stocks have a Composite Rating of 90 or better.

Follow Patrick Seitz on X at IBD_PSeitz for more stories on consumer technology, software, and semiconductor stocks.

You may also like:

Netflix stock falls below key level ahead of third-quarter earnings report

Take-Two records target price increases for ‘NBA 2K26’ and ‘Grand Theft Auto 6’

Discover profitable trades every day with MarketDiem. See how.

Find winning stocks with MarketSurge’s pattern recognition and custom screens

Join IBD Live for stock ideas every morning before the open