Adobe’s New CEO Takes Over in December. Is the Open CFO Search the Bigger Risk?

Adobe Inc. (NASDAQ:ADBE) has announced Anil Chakravarthy as its new CEO, effective December 1, 2026. Chakravarthy, who joined the company in 2020 and currently leads the Customer Experience Orchestration Business and worldwide field operations, will replace longtime CEO Shantanu Narayen, who will become executive chair. The company's stock saw a brief drop after Narayen's announcement, though Adobe had reported strong Q2 results with revenue reaching $6.62 billion, up 13% year-over-year.

Analysts have reiterated a Hold rating on the stock with a $200 price target, implying a potential 25% downside from current levels. While Adobe has resolved its CEO search, the company is still waiting for clarity on the CFO search. Adobe's stock has faced some pressure following the news, with a drop of more than 5% the following day.

Investor sentiment appears to be cooling, with 81 hedge funds holding positions in the stock at the end of the second quarter, a slight decrease from the previous quarter.