Adobe (NASDAQ:ADBE) Earns “Outperform” Rating from Royal Bank Of Canada

Adobe (NASDAQ:ADBE)‘s stock had its “outperform” rating reiterated by research analysts at Royal Bank Of Canada in a research report issued on Wednesday, Benzinga reports. They presently have a $315.00 target price on the software company’s stock. Royal Bank Of Canada‘s target price points to a potential upside of 33.59% from the stock’s previous close.

A number of other equities analysts have also recently commented on ADBE. Sanford C. Bernstein decreased their target price on shares of Adobe from $379.00 to $373.00 and set an “outperform” rating on the stock in a research report on Friday, September 11th. Piper Sandler upped their price target on shares of Adobe from $240.00 to $250.00 and gave the company a “neutral” rating in a research report on Friday, September 11th. The Goldman Sachs Group upped their price target on shares of Adobe from $190.00 to $200.00 and gave the company a “sell” rating in a research report on Monday, September 14th. Stifel Nicolaus raised their price objective on Adobe from $200.00 to $225.00 and gave the company a “hold” rating in a research note on Wednesday, September 9th. Finally, Evercore set a $250.00 price objective on Adobe in a report on Friday, September 11th. Nine investment analysts have rated the stock with a Buy rating, nineteen have given a Hold rating and eight have issued a Sell rating to the stock. According to MarketBeat, Adobe presently has an average rating of “Hold” and a consensus price target of $282.52.

Adobe Price Performance

NASDAQ ADBE traded down $0.90 on Wednesday, reaching $235.80. 341,795 shares of the company’s stock traded hands, compared to its average volume of 5,553,179. The stock has a market cap of $91.77 billion, a PE ratio of 13.19, a P/E/G ratio of 0.83 and a beta of 1.37. Adobe has a 12 month low of $190.12 and a 12 month high of $362.71. The stock has a 50-day simple moving average of $249.04 and a 200 day simple moving average of $249.02. The company has a debt-to-equity ratio of 0.41, a current ratio of 0.77 and a quick ratio of 0.77.

Adobe (NASDAQ:ADBE) last announced its quarterly earnings data on Thursday, September 10th. The software company reported $6.13 earnings per share for the quarter, topping analysts’ consensus estimates of $6.08 by $0.05. Adobe had a net margin of 28.05% and a return on equity of 65.65%. The firm had revenue of $6.76 billion during the quarter, compared to analyst estimates of $6.69 billion. During the same period in the previous year, the business posted $5.31 EPS. The business’s quarterly revenue was up 12.9% on a year-over-year basis. Adobe has set its Q4 2026 guidance at 6.300-6.350 EPS and its FY 2026 guidance at 24.450-24.500 EPS. As a group, research analysts predict that Adobe will post 20.01 earnings per share for the current year.

Insiders Place Their Bets

In other Adobe news, CEO Shantanu Narayen sold 50,500 shares of the stock in a transaction on Thursday, September 17th. The shares were sold at an average price of $249.57, for a total transaction of $12,603,285.00. Following the completion of the sale, the chief executive officer owned 238,724 shares of the company’s stock, valued at $59,578,348.68. This represents a 17.46% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. 0.20% of the stock is owned by insiders.

Hedge Funds Weigh In On Adobe

Several hedge funds and other institutional investors have recently modified their holdings of ADBE. Edmond DE Rothschild Holding S.A. increased its stake in shares of Adobe by 99.0% during the third quarter. Edmond DE Rothschild Holding S.A. now owns 14,071 shares of the software company’s stock valued at $3,376,000 after buying an additional 7,000 shares during the period. Minot DeBlois Advisors LLC lifted its stake in Adobe by 7.9% in the third quarter. Minot DeBlois Advisors LLC now owns 1,698 shares of the software company’s stock worth $407,000 after acquiring an additional 124 shares during the period. Private Wealth Asset Management LLC boosted its holdings in Adobe by 477.2% in the third quarter. Private Wealth Asset Management LLC now owns 11,145 shares of the software company’s stock valued at $2,667,000 after acquiring an additional 9,214 shares in the last quarter. Westpac Banking Corp boosted its holdings in Adobe by 7.2% in the third quarter. Westpac Banking Corp now owns 34,825 shares of the software company’s stock valued at $8,356,000 after acquiring an additional 2,353 shares in the last quarter. Finally, Berger Financial Group Inc boosted its holdings in Adobe by 1.0% in the third quarter. Berger Financial Group Inc now owns 16,320 shares of the software company’s stock valued at $3,916,000 after acquiring an additional 166 shares in the last quarter. 81.79% of the stock is owned by institutional investors.

Trending Headlines about Adobe

Investors following ADBE have been watching these headlines:

• Positive Sentiment: At Adobe MAX, the company expanded agentic AI across Creative Cloud and Firefly, including tools designed to automate creative workflows while giving users control. Adobe also opened apps such as Photoshop and Premiere to third-party AI assistants, potentially making its software more useful and retaining users within its ecosystem. Adobe Opens Photoshop and Premiere to Third-Party AI Agents
• Positive Sentiment: Adobe and Google expanded their partnership: Acrobat is coming to Google Workspace, while Google AI models will be integrated into Adobe products including Firefly, Photoshop and Premiere. The tie-up could increase Adobe’s reach and add capabilities to its apps, although it also brings Google’s AI further into Adobe’s product suite. Adobe and Google Deepen Partnership
• Positive Sentiment: Disney named Adobe its AI innovation partner in a multi-year alliance involving custom AI models for creative and media operations. The deal offers a prominent enterprise use case for Adobe’s AI tools. Adobe and Disney Announce Multi-Year Strategic Alliance

About Adobe

Adobe Inc. develops software and services for creating, managing and delivering digital content. Its products serve creative professionals, businesses, marketers and individual users around the world. Adobe’s Digital Media offerings include Creative Cloud applications such as Photoshop, Illustrator, Premiere Pro and InDesign, along with Acrobat tools for creating, editing and signing PDF documents. The company also provides generative AI capabilities through Adobe Firefly and related features in its creative products.