Jim Cramer labels Adobe a "snake-bitten former cloud king" that investors assume is "toast." Adobe stock declined over 30% in the first quarter. Its valuation now compares to a home builder.
Cramer cites escalating competition from generative AI and Canva as the core issue. Design schools are shifting to these cheaper alternatives. Cramer warns this signals the "end of Adobe's design dominance" and poses an existential threat.