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Tracking the pulse of global finance, one headline at a time.
The marketing landscape is undergoing a seismic shift. Traditional methods—reliant on manual content creation, guesswork for SEO, and fragmented social media strategies—are being upended by AI-driven tools. Companies like Adobe and Innodata are at the vanguard of this revolution, leveraging AI to automate content creation, optimize campaigns, and slash costs. Yet, despite their explosive growth and strategic positioning, their stocks remain undervalued relative to their long-term potential.
The AI for sales and marketing sector is projected to hit $240 billion by 2030, growing at a 32.9% CAGR. This expansion is fueled by enterprises’ urgent need to digitize and streamline operations. Take Adobe’s Q2 2025 results as Exhibit A:
– Revenue hit $5.87 billion (+10.6% YoY), driven by its Digital Media segment, which grew 11% to $4.35 billion.
– Firefly, its generative AI tool, produced 4 billion creations in Q2, with paid subscriptions nearly doubling sequentially.
– GenStudio, its AI-first marketing platform, saw 45% sequential ARR growth, while Firefly Services (custom AI models) grew 4x YoY in ARR.
Yet, Adobe’s stock trades at just 7.2x forward sales, a discount to peers like Salesforce (10.5x) and Workday (15.1x). This gap reflects investor skepticism about execution risks—such as Microsoft’s Copilot encroaching on Acrobat’s turf and Canva’s free AI tools eroding Adobe’s premium pricing power.
While Adobe leads in end-to-end platforms, smaller players like Innodata (INOD) are critical enablers of AI’s growth. The company supplies high-quality training data for generative AI models, a foundational requirement for tools like Adobe’s Firefly or Salesforce’s Einstein. 
Key metrics:
– Q2 2025 revenue surged 127% YoY, with EPS jumping 493%.
– A 518% total return over 12 months underscores investor enthusiasm for its niche role in AI infrastructure.
Innodata’s contracts with five of the “Magnificent Seven” tech giants (likely including Amazon, Microsoft, and Google) highlight its strategic importance. As enterprises invest in AI, Innodata’s growth could outpace even Adobe’s.
The sector’s undervaluation is partly due to near-term execution risks, but three trends justify a “buy” thesis:
Avoid overvalued pure-play competitors like Figma (FIGM), which lack Adobe’s enterprise-scale monetization.
The shift from human-led marketing to AI-driven automation isn’t a trend—it’s a tectonic shift. Adobe and Innodata are positioned to capture share in a $240 billion market, yet trade at discounts to their peers. For investors willing to look past near-term noise, these stocks offer a rare combination of high growth and undervaluation.
Recommendation: Buy ADBE and INOD on dips, with a horizon of 3–5 years. The AI content revolution is just beginning.
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