Investors who owned stocks in the 2010s generally experienced some big gains. In fact, the SPDR S&P 500 (NYSE: SPY) total return for the decade was 250.5%. But there’s no question some big-name stocks did much better than others along the way.
Adobe’s Big Decade
One of the market leaders of the past decade was software giant Adobe Inc (NASDAQ: ADBE).
Adobe had a transformative decade in the 2010s, including expanding its print, digital and video content creation product suite via both organic growth and bolt-on acquisitions. Top acquisitions include DemDex and Nitobi Software in 2011, Magento Commerce and Marketo in 2018 and Allgorithmic in 2019.
Adobe restructured its business in the 2010s to a more subscription-centric recurring revenue model, offering different plans bundling together its creative tools and software. Adobe also expanded its mobile offerings to accommodate the proliferation of mobile content creation.
Adobe also invested heavily in its Adobe Sensei AI machine learning structure for NVIDIA Corporation (NASDAQ: NVDA) GPUs.
The lone major hiccup in the decade for Adobe came in 2012 and 2013 when Adobe endured two security breaches that exposed the payment card information of 40 million customers and over 150 million customer records.
Adobe shares started the 2010s trading at around $37. By the end of 2011, they had reached their decade low of $22.67. The rest of the decade was a huge success for Adobe investors. The stock marched steadily higher with few interruptions, hitting $100 in mid-2016 and $200 in early 2018. The stock eventually made it as high as $313.11 in the summer of 2019.
After a pullback to $259.57 in the second half of 2019, the Adobe train got back on track to close out the 2010s at all-time highs.
2020 And Beyond
Prior to the coronavirus outbreak, Adobe shares made it as high as $387.74 in early 2020.
The stock has since pulled back to around $333, but it was still one of the best investments of the past decade. In fact, $100 worth of Adobe stock in 2010 would be worth about $963 today.
Looking ahead, analysts expect Adobe to trade mostly sideways in 2020. The average price target among the 25 analysts covering the stock is $350, suggesting 4.9% upside from current levels.