Adobe (NASDAQ: ADBE) stock drew attention earlier in April on a later-confirmed rumor that the legendary ‘Big Short’ trader Michael Burry has taken a long position in the equity. In addition to the development itself helping ADBE shares rally, investors in the software firm have received another boon on Wednesday, April 22.
Specifically, Adobe announced it has approved a $25 billion stock buyback program in a move explained as a show of confidence in the firm amidst widespread fears over artificial intelligence (AI) disruption.
Specifically, the company’s chief financial officer (CFO), Dan Durn, explained:
The initial market reaction to the approval appears positive. Following a volatile five days that resulted in a 2.49% rise to ADBE shares’ latest closing price of $247.18, the equity rallied 3.14% to $254.94 in the extended session leading toward the April 22 morning bell.
Adobe stock price one-week chart. Source: GoogleHow much Michael Burry is up on his Adobe stock bet
Elsewhere, Michael Burry confirmed on April 13 that Adobe stock is part of his greater bet that, following the fears led by the release of Anthropic AI agents and plugins, software shares have bottomed and are bound for a rally.
On the day, ADBE was changing hands at $240.11, meaning that, by the April 21 close, the famous short trader was up 2.94% on his investment. Once the latest extended session is accounted for, the gains climb to 6.18%.
Simultaneously, Burry also invested in Autodesk (NASDAQ: ADSK) and Veeva (NYSE: VEEV) on April 13, while several days later, he also revealed he had taken a position in three additional firms: PayPal (NASDAQ: PYPL), Salesforce (NYSE: CRM), and MSCI (NYSE: MSCI).
Featured image via Shutterstock
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