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It's no coincidence that after Adobe introduced a subscription in 2013 that this was the inflection point in which the stock grew 10x over the following decade.
by mbesto 2y ago
It's no coincidence that after Adobe introduced a subscription in 2013 that this was the inflection point in which the stock grew 10x over the following decade. The previous decade it only grew 3x.
https://finance.yahoo.com/quote/ADBE/ https://finance.yahoo.com/quote/ADBE/
- eru 2y agoWell, the previous decade also includes the Global Financial Crisis. If you want to make any meaningful statement at all, I guess you'd need to look at the performance of Adobe stock compared to eg the S&P500 index. (Oh, and be sure to look at the total performance, ie with dividends re-invested. Don't look just at the share-price.)
- mbesto 2y ago> I guess you'd need to look at the performance of Adobe stock compared to eg the S&P500 index. So why not just comment with exactly this? Here is a comparison of ADBE and SPY, which ADBE correlates very strongly to SPY, and also in this analysis is AAPL which severly outperformed the SP500: 2003 -> 2013 https://www.portfoliovisualizer.com/backtest-portfolio?s=y&sl=1b6Oa4aNN4OtmnEq1VkSj2 https://www.portfoliovisualizer.com/backtest-portfolio?s=y&s... 2013 -> 2023 https://www.portfoliovisualizer.com/backtest-portfolio?s=y&sl=6OnvTZXxSKBuz5Zfi8Zfnv https://www.portfoliovisualizer.com/backtest-portfolio?s=y&s... See the difference?
- hamburglar 2y agoYeah, Apple managed to enter the far more lucrative hardware-as-a-service market. It’s a subscription you only pay every couple of years to have the latest iPhone.
- katbyte 2y agoBy that logic everything that comes out with new versions is a “subscription” Guess I’m a Toyota subscriber as in 10 years I’ll be buying a new Tacoma
- hamburglar 2y agoI mean, it’s a joke based on the fact that they have tricked their customers into obsessively buying upgrades, which makes the revenue stream very service-like, but it loses its punch when you explain it.
- katbyte 2y agoWhat is the trick? every 2-3 years Apple usually has hardware improvements motivating it. Is the trick just making better products? For me I got a 14 for upgraded GPS and satellite, no plans for a 15. My dad is on a 12 and my mom a 10 and totally content. I think my brother has an 11. Most people I know don’t obsessively buy upgrades and those I know who do are actually split between Apple and android- and do it with other things too ie it’s the personality behind it not the company “tricking” them. Some ppl even do it with cars wanting the latest
- hamburglar 2y agoNever mind. This joke is not meant for you.
- eru 2y ago> So why not just comment with exactly this? Thanks for providing the data. Sorry, I was on mobile, so had a harder time finding the numbers in a way that I can share. > See the difference? For anyone following at home, here's the important bit for the earlier period: > The risk adjusted return of the portfolio [Adobe], measured by the Sharpe Ratio, was 0.57. Whereas the Sharpe ratio of the benchmark [S&P500] was 0.57. And for the later period: > The risk adjusted return of the portfolio [Adobe], measured by the Sharpe Ratio, was 0.93. Whereas the Sharpe ratio of the benchmark [S&P500] was 0.69. Thanks!
- nothercastle 2y agoAdobe also caught the AI wave and they can steal your content for AI training.
- mysterydip 2y ago"It's not stealing because you agreed to it in our updated terms of service!"
- damsalor 2y agoRobin Hood adoption with tos agreement at gunpoint, when?