Adobe Systems Inc. (NASDAQ:ADBE) posted their earnings, which turned out to be stronger than expectations of the analysts. The company acquired Fotolia at $800 million, a European photo service. The bigger news is that Adobe Systems Inc. (NASDAQ:ADBE) now has 3.5 million subscribers, who are paying for the Creative Cloud service. The general Manager and Vice President of the company, David Wadhwani, expects Creative Cloud to grow up to 5.9 million by the next year. The company generates 2/3rds of its revenues from recurring fees and subscriptions.

An even bigger news is that Adobe Systems Inc. (NASDAQ:ADBE) holds a unique position in the market; it has a huge customer base with consumers and creators of digital services and goods. The company is able to meet both the supply and demand sides of the customers. The company may be able to build a sharing economy. However, there are hard facts that need to be considered. New markets have been created for the digital distribution of content. This has lead to a decline in the unit price of products, a trend that will surely continue.

Technology has advanced to enhance productivity and provide digital automation. This has reduced the value of labor for most of the companies. It is interesting to see how the companies will pan out in the future. While, on one hand, automation helps to lower costs, on the other hand, it devalues the labor of human labor. Under such a condition, economy is all about increasing the demand for those goods which are becoming more and more inexpensive.

Wadhwani was questioned about the reaction of his photographers at the acquisition of Fotolia. Fotolia is a stock-photo service that offers photos at much cheaper prices. Wadhwani pointed out that leveled pricing helps to close the rift between video editors and designers, and professional photographers who provide world-class services.

Wadhwani also said that the company is interested to help grow the opportunities for the creative people. The concept is to be more lenient towards pricing, which, Adobe Systems Inc. (NASDAQ:ADBE) can easily handle. Among all other things, the photo segment of the company was the most difficult to change to the Creative Cloud service. Most of the photographers generally use Lightroom or Photoshop. But Creative Cloud provides the whole software package, which is more than what most subscribers need. However, subscribers grew this year. The reason is that Adobe Systems Inc. (NASDAQ:ADBE) normalized the prices. The company also added improvements to Photoshop and Lightroom around the same time as Apple Inc. (NASDAQ:AAPL) began working on Aperture, a competitor of Lightroom.

Adobe Systems Inc. (NASDAQ:ADBE) wishes to strike a balance between pricing and opportunities for the creative minds out there. The company has the ability to work on both sides of the equation so that it can achieve more. This concept is worth consideration for the economy connected by the internet. Adobe Systems Inc. (NASDAQ:ADBE) can  potentially transform sectors of the economy.

So far the Chrome OS has had an overwhelming response from the Google Company (GOOGL -0.74%) members due to its cost efficient capability to run services, such as Documents, sheets, Gmail on Google’s cloud. Although the company has benefited from the Chrome OS and its cost efficiency has helped the company in gaining profits, however; complicated applications still can’t run on the Chrome OS due to its simplistic platform. One such service is the software providing full photo editing feature. To overcome this issue, Google (GOOGL -0.74%) decided to bring Adobe Creative Cloud to Chrome.

Google (GOOGL -0.74%) and Adobe decided to work together and this partnership has been confirmed today. This collaboration will allow Chromebooks to work with the Adobe Creative Cloud suite of apps. The initial trial was to use the Adobe Photoshop Streaming Edition. Chrome OS device or any other Window device can have access to the Photoshop streaming from anywhere.

Adobe Cloud services provide an online powered mode that makes the apps run with the alliance of Google Drive. There will be no need to store or save user files or data. Photoshop is quite a popular app and it is very easy to understand and use this app in Adobe Cloud. This new service will not require any software installation; the user will be able to access the world of Photoshop with just one click through their browser platform. However, users will require the Adobe Creative Cloud membership to access these features. The simple access makes it quite straight forward and simple procedure. By establishing the Adobe Creative Cloud membership, users will be able to use the Photoshop app from anywhere and anytime; based on user convenience. In addition to this, users will not have to worry about saving or losing data, as all data gets saved on the Cloud automatically.

Q3 FY14 Outlook and Beyond!

If we look at the third quarter of the fiscal, we will find out how Adobe (NASDAQ:ADBE) soared right through the revenue collection of $975 million and gained a fortune of $1.25 billion in total. This in return gave the view of how GAAP was about $0.02 or it could be $0.8 in coming years. And if we have a look at the non-GAAP estimates, we see that it can be around $0.22 or as little as $0.28. The cloud services were adopted in great numbers; there were about 3.3 million CC individuals which were paid.

Consistent growth in cloud services

The expected revenue of fiscal 2014 for cloud is expected to go up to around $1.35 billion as there are various companies which are promoting the adoption of cloud service in their budgets; therefore it is in Adobe (NASDAQ:ADBE) cloud division’s benefit. However in contrast to the profitable revenue generated from cloud services, there is an expectation for the subscription service revenues to decrease. 464,000 customers bought subscription to cloud services in 2013 and the company earned about $2.3 million from these subscriptions. Further, the company progressed in the production of Adobe (NASDA:ADBE) applications such as Adobe (NASDAQ:ADBE) Dreamweaver etc. which also come under the cloud umbrella.

Marketing to increase subscriptions

The marketing division has approximately 21% value in the company overall and a digital and virtual marketing platform has been built for the purpose of marketing of cloud services specially. Shantanu Narayen, the CEO of the company, claims how the digital marketing will be a process worth around $10 billion because the attention paid on this division by Acrobat will result in excellent solutions of marketing capabilities.

Acrobat family growth

10% of Adobe (NASDAQ:ADBE) makes up the total Acrobat family. This division has been neglected before but the revenue generated of 1.9 million proves it deserves attention. It is expected to rise like this in the years to come; moreover there is an expectation of growth from $768 million to a maximum of $1 billion by the year 2020.

All looks good for Adobe (NASDAQ:ADBE)!

The start of the week seemed like a disappointment through analysts’ views with the medical imaging provider- Analogic (NASDAQ:AATI) – down in the dumps, reporting its quarterly results. They predict a fall in both EPS and revenue by 19 percent and 10 percent respectively. However, this could have been worse.

The company has been seen to go below the targets of Wall Street in the past three quarters. This negative image may not be what the company needs at the moment. This is one explanation why Analogic is seen to be trading nearer to the company’s 52-week low compared to its 52 week high. Time to pull your socks up and take serious measures!

Once again Adobe (NASDAQ:ADBE) takes the lead with its desktop publishing. Prevailing as industry standards, Photoshop and Acrobat are still market leaders however their growth seems to be decreasing as the public tide is shifting towards less expensive cloud-based solutions. The renowned brand however is still predicted to go over and above revenue of about $1 billion this Tuesday.

The state of the economy is eye catching with FedEx (NYSE:FDX) kick starting this Wednesday. Its quarterly reports will make you wonder how well companies and individuals are doing with a reduced document delivery time and enhanced online sales. Analysts have started to predict the growth of FedEx (NYSE:FDX) with revenue up 4 percent the current quarter and 5 percent the fiscal year.
With seven successive quarterly profits Rite Aid (NYSE:RAD) really pulled through. People wouldn’t be surprised if this hadn’t been the case given five years ago, the company was on the verge of bankruptcy. Its stock dropped to 20 cents thus investors who had been keen then are reaping benefits now. The drugstore once covered in a sea of losses in 2009, now finds its chance to report another profit this Thursday. Analysts are sure of it happening as all eyes are on this Thursday’s quarterly reports.
The tech giant revealed its new iPhone 6 and 6 Plus a few days ago with all the hype regarding the new features and bigger screens with better pixels. This Friday, Apple(NASDAQ:AAPL)  is said to launch them into the market with customers that have pre-ordered on the company’s site benefiting than those who will have to wait in line for hours after 8 a.m.

Apple (NASDAQ:AAPL) aims to become a crowd pleaser with its larger displays and improved camera not to mention the 7mm thin easy-to-slide-in-your-pocket model for those on the run in day to day work. The brand’s loyal customer pool has once again undoubtedly responded to the company’s call with open arms; however it will be interesting to see how the well will the company do in attracting new customers.

Emerald Oil, Inc. (NYSEMKT:EOX) announced yesterday the pricing of its private offering of $140 million in aggregate principal amount of Convertible Senior Notes due 2019 (the “Convertible Notes”). Emerald Oil Inc. (NYSEMKT:EOX) in last trading activity ended up at $6.50 with day range of $6.34 – $6.66. Company weekly performance is -13.56% while its quarterly performance stands at -2.99%.Emerald Oil Inc. (NYSEMKT:EOX) is -29.35% away from its 52 week high.

Penn Virginia (NYSE:PVA)’s share price hit a new 52-week high on Tuesday after SunTrust raised their price target on the stock from $21.00 to $25.00, Stock Ratings Network reports. The company traded as high as $16.00 and last traded at $15.81, with a volume of 7,170,138 shares trading hands. The stock had previously closed at $13.61. Penn Virginia Corporation (NYSE:PVA) belongs to Basic Materials sector with market capitalization of 1.03 billion and has 0.70% insider ownership. In last trading activity company’s stock closed at $15.73 while opening price was $13.65.

Brookfield Office Properties Inc. (NYSE:BPO) owns, develops and manages premier office properties in the United States, Canada, Australia and the United Kingdom. On Tuesday shares of Brookfield Office Properties Inc. (USA) (NYSE:BPO) opened at $19.35 and closed at $19.01. This Year Company’s Earnings per Share (EPS) growth is 1.89 and next year’s estimated EPS growth is 14.00%. Analysts mean target price for Brookfield Office Properties Inc. (USA) (NYSE:BPO) is $19.74.