The company’s latest distance learning support via Adobe Creative Cloud is a testament to the same.
Notably, students and teachers of the company’s higher educational and K-12 institutional customers across the world are now getting the at-home access to Adobe Creative Cloud desktop apps.
The company is offering this support at no extra cost til May 31, as of now.
We believe Adobe is likely to gain a strong momentum across schools, which are physically shutting down due to the COVID-19 pandemic, by delivering enhanced online learning experience through its latest move.
Further, the company joins the community effort to counter the coronavirus scare with its distance-learning initiative. Moreover, this initiative is expected to help the stock boost investor confidence during such turbulent times.
Adobe has appreciated 19.2% in a year’s time, outperforming the industry’s rally of 9.3%.
Adobe to Gain from Digital Support
The company’s growing endeavors to support the society digitally are expected to aid its near-term performance.
Along with greater access to Creative Cloud apps, Adobe is striving to inspire educators to keep developing innovative projects and new ideas supported by its resources.
We note that all these efforts are likely to drive the adoption rate of Adobe Creative Cloud, which will fuel Creative Cloud revenues. This, in turn, will bolster revenue generation in the company’s Digital Media segment.
Apart from the latest move, the company has extended the Adobe Connect support by providing a 90-day access free of cost, in order to help educational institutions and businesses continue their operations virtually during this challenging situation. The Adobe Connect free access is valid til Jul 1, as of now.
Notably, Adobe is helping educational institutions create Adobe Connect virtual classrooms, in an attempt to continue their learning curriculum.
Further, Adobe Connect is well equipped to create virtual business environments, which will allow businesses to continue their operations by letting employees attend meetings, conferences and trainings virtually from their homes.
All these digital-support initiatives aimed at ensuring a seamless “work from home” environment are likely to drive Adobe’s top-line growth by helping it bank on the increasing demand for software by enterprises, schools, colleges and government organizations.
Adobe perks up the competition against other technology companies, such Microsoft (MSFT – Free Report) , Alphabet’s (GOOGL – Free Report) Google and Zoom Video Communications (ZM – Free Report) , which are also trying to capitalize on the growing importance of Internet-based services during this dismal scenario.
Microsoft is offering a premium version of Teams, which combines workplace chat, video meetings, file storage, and applications for free for six months, as of now.
Furthermore, Google is providing its enterprise video-conferencing features free of cost to G Suite and G Suite for Education consumers till Jul 1.
Meanwhile, Zoom, a provider of video and web conferencing services, has not faltered in the face of the coronavirus crisis, primarily owing its offerings, which are now enjoying demand as “stay at home“ has been made mandatory in several countries.
Nevertheless, Adobe’s endeavours to support the virtual-work environment are likely to keep boosting its competitive position.
Currently, Adobe carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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