Adobe’s Stock Has Slumped for Two Years. Fixing That Is Someone New’s Job Now.

Adobe has had a tough time convincing investors to support its stock. Could a new CEO win them back?

Reviving interest in the once-hot software company’s shares will soon be the responsibility of someone new: CEO Shantanu Narayen plans to step down after 18 years on the job—and as soon as a successor is found, Adobe (ADBE) said Thursday.

The news comes as the yearslong slide for Adobe’s stock continued. Shares of the Photoshop and Illustrator owner were down over 7% in extended trading following the news despite quarterly earnings that topped analysts’ estimates.

Adobe for its fiscal first quarter reported adjusted earnings per share of $6.06 on a 12% year-over-year jump in revenue to a record $6.40 billion. Both figures came in above analysts’ estimates as compiled by Visible Alpha.

The company forecast second-quarter EPS of $5.80 to $5.85 on revenue of $6.43 billion to $6.48 billion, also ahead of consensus projections.

Concern about the effects artificial intelligence could have on Adobe’s software business, along with those of other companies in the space, have weighed on the shares, contributing to a long drawdown. Shares of Adobe were down about 23% for 2026 through Thursday’s close, extending their slump over the past two years: They’ve lost roughly 60% off their 2024 highs.

“The announced CEO change adds another layer of uncertainty at a delicate moment in the story,” Citi analysts wrote Thursday.