Adobe (NASDAQ:ADBE) Lowered to “Hold” Rating by Dbs Bank

Adobe (NASDAQ:ADBE) was downgraded by research analysts at Dbs Bank from a “moderate buy” rating to a “hold” rating in a research report issued to clients and investors on Tuesday,Zacks.com reports.

A number of other research analysts have also recently commented on the company. Wall Street Zen cut Adobe from a “buy” rating to a “hold” rating in a research note on Saturday, May 2nd. Sanford C. Bernstein set a $447.00 price objective on Adobe and gave the company an “outperform” rating in a report on Friday, March 13th. Argus restated a “hold” rating on shares of Adobe in a research note on Monday, March 16th. Deutsche Bank Aktiengesellschaft reiterated a “hold” rating on shares of Adobe in a research note on Friday, March 13th. Finally, BMO Capital Markets dropped their target price on Adobe from $375.00 to $285.00 and set a “market perform” rating on the stock in a research report on Friday, March 13th. One investment analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating, seventeen have issued a Hold rating and five have assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Hold” and a consensus price target of $338.15.

Adobe Trading Down 0.3%

Shares of NASDAQ ADBE opened at $254.99 on Tuesday. The business’s 50 day moving average is $246.83 and its two-hundred day moving average is $289.04. The company has a debt-to-equity ratio of 0.47, a current ratio of 0.91 and a quick ratio of 0.91. Adobe has a 1-year low of $224.13 and a 1-year high of $422.95. The stock has a market capitalization of $103.07 billion, a P/E ratio of 14.85, a PEG ratio of 1.00 and a beta of 1.42.

Adobe (NASDAQ:ADBE) last issued its quarterly earnings data on Thursday, March 12th. The software company reported $6.06 earnings per share for the quarter, topping the consensus estimate of $5.87 by $0.19. Adobe had a return on equity of 64.48% and a net margin of 29.48%.The company had revenue of $6.40 billion for the quarter, compared to analysts’ expectations of $6.28 billion. During the same period in the previous year, the firm posted $5.08 earnings per share. The firm’s revenue for the quarter was up 12.0% on a year-over-year basis. Adobe has set its FY 2026 guidance at 23.300-23.500 EPS and its Q2 2026 guidance at 5.800-5.850 EPS. As a group, research analysts expect that Adobe will post 19.14 EPS for the current year.

Adobe declared that its board has approved a share repurchase plan on Tuesday, April 21st that allows the company to repurchase $25.00 billion in outstanding shares. This repurchase authorization allows the software company to repurchase up to 24.9% of its stock through open market purchases. Stock repurchase plans are usually a sign that the company’s board believes its stock is undervalued.

Insider Buying and Selling at Adobe

In other news, CAO Jillian Forusz sold 755 shares of the company’s stock in a transaction on Thursday, April 30th. The stock was sold at an average price of $246.25, for a total transaction of $185,918.75. Following the sale, the chief accounting officer owned 3,521 shares of the company’s stock, valued at approximately $867,046.25. This represents a 17.66% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Shantanu Narayen sold 75,000 shares of the business’s stock in a transaction on Tuesday, April 28th. The stock was sold at an average price of $243.54, for a total transaction of $18,265,500.00. Following the transaction, the chief executive officer owned 359,538 shares of the company’s stock, valued at approximately $87,561,884.52. The trade was a 17.26% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 77,091 shares of company stock valued at $18,782,773 over the last quarter. 0.20% of the stock is owned by company insiders.

Hedge Funds Weigh In On Adobe

Several large investors have recently bought and sold shares of ADBE. Brighton Jones LLC boosted its stake in Adobe by 2.1% in the fourth quarter. Brighton Jones LLC now owns 8,068 shares of the software company’s stock valued at $3,588,000 after acquiring an additional 167 shares in the last quarter. Sivia Capital Partners LLC boosted its stake in shares of Adobe by 25.5% during the second quarter. Sivia Capital Partners LLC now owns 2,394 shares of the software company’s stock worth $926,000 after buying an additional 486 shares during the period. United Bank boosted its stake in shares of Adobe by 12.8% during the second quarter. United Bank now owns 3,773 shares of the software company’s stock worth $1,460,000 after buying an additional 428 shares during the period. Schnieders Capital Management LLC. boosted its stake in shares of Adobe by 7.8% during the second quarter. Schnieders Capital Management LLC. now owns 2,630 shares of the software company’s stock worth $1,017,000 after buying an additional 190 shares during the period. Finally, Gamco Investors INC. ET AL boosted its stake in shares of Adobe by 190.6% during the second quarter. Gamco Investors INC. ET AL now owns 2,764 shares of the software company’s stock worth $1,069,000 after buying an additional 1,813 shares during the period. Institutional investors and hedge funds own 81.79% of the company’s stock.

Trending Headlines about Adobe

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Adobe was mentioned in bullish coverage that says the software rally may still have room to run, with the stock viewed as a quality name in the software group alongside ServiceNow. The software rally may still have legs. Buy ServiceNow and Adobe.
• Positive Sentiment: Adobe is drawing investor attention after reports that Michael Burry added the stock to his beaten-down picks, which can signal value appeal and support sentiment around ADBE. Michael Burry just loaded up on these 5 beaten-down stocks
• Positive Sentiment: Adobe announced a product expansion that brings professional creative tools into Google Gemini, and said a Premiere Android app is coming soon, reinforcing its AI and mobile growth story. Adobe brings professional creative tools straight into Google Gemini; Premiere Android app coming soon
• Positive Sentiment: Multiple articles called Adobe a top-ranked growth stock or a potential value opportunity, suggesting sentiment remains constructive despite the share price trading below prior highs. Adobe Systems (ADBE) is a Top-Ranked Growth Stock: Should You Buy?
• Neutral Sentiment: Adobe also appeared in a lawsuit-related notice from the Shareholders Foundation, which may keep legal risk in focus but does not appear to be the main trading driver today. Investors who lost money with Adobe Inc. (NASDAQ: ADBE) shares should contact the Shareholders Foundation in connection with Lawsuit

About Adobe

Adobe Inc, founded in 1982 by John Warnock and Charles Geschke and headquartered in San Jose, California, is a global software company that develops tools and services for creative professionals, marketers and enterprises. Under the leadership of CEO Shantanu Narayen, who has led the company since 2007, Adobe has evolved from a provider of desktop publishing tools into a cloud-centric provider of digital media and digital experience solutions.

The company’s core offerings are organized around digital media and digital experience.