Adobe Inc. (NASDAQ:ADBE) Given Average Rating of "Hold" by Analysts

Key Points

• Consensus "Hold": Thirty-one analysts give Adobe a consensus Hold rating (5 sell, 16 hold, 9 buy, 1 strong buy) with an average 12‑month price target of $338.15, and several major brokers have recently cut targets and downgraded forecasts.
• Quarterly beat and guidance: Adobe reported EPS of $6.06 vs. $5.87 expected and revenue of $6.40B (+12% YoY), and guided FY2026 EPS to $23.30–23.50 (Q2 5.80–5.85), versus analyst consensus near 19.14 EPS for the year.
• $25 billion repurchase and AI push: The board authorized a $25.0 billion buyback (up to 24.9% of shares) and the company completed the Semrush acquisition while rolling out Firefly AI Assistant beta, signaling strategic share-return activity and product/AI momentum despite mixed sell‑side sentiment.

Adobe Inc. (NASDAQ:ADBE - Get Free Report) has received a consensus rating of "Hold" from the thirty-one ratings firms that are presently covering the company, Marketbeat Ratings reports. Five investment analysts have rated the stock with a sell recommendation, sixteen have assigned a hold recommendation, nine have given a buy recommendation and one has given a strong buy recommendation to the company. The average twelve-month price objective among brokerages that have issued ratings on the stock in the last year is $338.1538.

A number of research firms have recently weighed in on ADBE. Wells Fargo & Company cut their price target on Adobe from $420.00 to $405.00 and set an "overweight" rating for the company in a report on Monday, March 9th. Barclays lowered Adobe from an "overweight" rating to an "equal weight" rating and decreased their price objective for the company from $335.00 to $275.00 in a research note on Friday, March 13th. Weiss Ratings cut Adobe from a "hold (c-)" rating to a "sell (d+)" rating in a research report on Friday, March 6th. BMO Capital Markets cut their target price on shares of Adobe from $375.00 to $285.00 and set a "market perform" rating for the company in a research note on Friday, March 13th. Finally, Royal Bank Of Canada reduced their target price on shares of Adobe from $400.00 to $350.00 and set an "outperform" rating on the stock in a report on Friday, April 17th.

Adobe Price Performance

Adobe stock opened at $243.19 on Wednesday. The firm has a market capitalization of $98.30 billion, a PE ratio of 14.16, a P/E/G ratio of 0.93 and a beta of 1.52. Adobe has a 52 week low of $224.13 and a 52 week high of $422.95. The firm's 50-day simple moving average is $251.01 and its 200 day simple moving average is $297.94. The company has a quick ratio of 0.91, a current ratio of 0.91 and a debt-to-equity ratio of 0.47.

Adobe (NASDAQ:ADBE - Get Free Report) last posted its earnings results on Thursday, March 12th. The software company reported $6.06 earnings per share for the quarter, beating the consensus estimate of $5.87 by $0.19. Adobe had a net margin of 29.48% and a return on equity of 64.48%. The firm had revenue of $6.40 billion during the quarter, compared to the consensus estimate of $6.28 billion. During the same period last year, the firm posted $5.08 EPS. 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. On average, equities research analysts predict that Adobe will post 19.14 EPS for the current fiscal year.

Adobe declared that its board has authorized a share repurchase plan on Tuesday, April 21st that permits the company to repurchase $25.00 billion in shares. This repurchase authorization permits the software company to reacquire up to 24.9% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company's board of directors believes its stock is undervalued.

Insider Activity

In related news, CFO Daniel Durn sold 1,336 shares of the firm's stock in a transaction that occurred on Monday, April 20th. The shares were sold at an average price of $248.02, for a total transaction of $331,354.72. Following the sale, the chief financial officer owned 42,833 shares in the company, valued at approximately $10,623,440.66. This trade represents a 3.02% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders own 0.20% of the company's stock.

Institutional Investors Weigh In On Adobe

A number of hedge funds and other institutional investors have recently made changes to their positions in ADBE. Measured Wealth Private Client Group LLC acquired a new position in shares of Adobe during the 3rd quarter valued at about $26,000. Western Pacific Wealth Management LP acquired a new stake in shares of Adobe in the fourth quarter worth approximately $26,000. Caitlin John LLC purchased a new stake in Adobe in the third quarter valued at approximately $28,000. Beacon Financial Strategies CORP acquired a new position in Adobe during the fourth quarter worth approximately $28,000. Finally, TrustBank acquired a new position in Adobe during the fourth quarter worth approximately $28,000. Hedge funds and other institutional investors own 81.79% of the company's stock.

Key Headlines Impacting Adobe

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Adobe completed its acquisition of Semrush, adding enterprise-grade brand visibility, SEO and AI-driven discoverability tools that dovetail with Adobe’s CX and marketing suites — a clear strategic fit as search and agentic interfaces become central to customer journeys. Adobe Completes Semrush Acquisition
• Positive Sentiment: Product/AI momentum: Adobe pushed major AI upgrades (GenStudio enhancements) and launched the Firefly AI Assistant public beta with cross‑app automation — moves that expand monetizable AI workflows and strengthen retention for enterprise customers. Firefly AI Assistant Public Beta
• Neutral Sentiment: Partnerships and vertical wins: Adobe announced collaborations (e.g., with Alluvium in healthcare) and expanded agency integrations (NVIDIA, WPP, Omnicom) to embed agentic AI into marketing stacks — constructive for enterprise adoption but gradual to monetize. Alluvium and Adobe Partner
• Neutral Sentiment: Business‑as‑client notes: Industry moves (e.g., Trilliad’s acquisition referencing Adobe as a customer) highlight continued demand for Adobe’s enterprise offerings but are not immediate revenue drivers. Trilliad Acquires Accelerate Performance
• Negative Sentiment: Sell‑side pressure after Mizuho downgrade: Mizuho cut ADBE to Neutral and lowered its price target to $270 (from $315), citing increased competition and near‑term growth/margin pressure — the downgrade triggered near‑term selling and remains a headline risk. Mizuho Resets Adobe Stock Price Target
• Negative Sentiment: Macro/sector skepticism: Broader caution about AI disrupting legacy software (comments from major investors and mixed analyst views) and recent insider/institutional flow data are keeping sentiment fragile despite product wins. Bridgewater CIO on AI Threat

Adobe Company Profile

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.