Adobe Inc. (NASDAQ:ADBE) Receives Consensus Recommendation of "Moderate Buy" from Brokerages

Key Points

• Adobe Inc. received an average rating of "Moderate Buy" from 28 research firms, with 15 buy ratings and only 3 sell ratings.
• The company's earnings for the last quarter exceeded estimates, reporting $5.06 EPS against a consensus of $4.97, alongside a revenue of $5.87 billion.
• Adobe's shares currently have a 52-week range from $330.04 to $587.75, with a market cap of approximately $149.93 billion.

Adobe Inc. (NASDAQ:ADBE - Get Free Report) has been given an average rating of "Moderate Buy" by the twenty-eight research firms that are currently covering the company, MarketBeat.com reports. Three analysts have rated the stock with a sell rating, eight have assigned a hold rating, fifteen have issued a buy rating and two have assigned a strong buy rating to the company. The average twelve-month target price among analysts that have issued ratings on the stock in the last year is $467.5769.

A number of research firms have recently commented on ADBE. Melius downgraded Adobe from a "hold" rating to a "sell" rating and set a $310.00 price objective for the company. in a report on Monday, August 11th. Wells Fargo & Company reissued an "overweight" rating and set a $470.00 price target (up previously from $430.00) on shares of Adobe in a research report on Friday, June 13th. Robert W. Baird raised their price objective on Adobe from $410.00 to $425.00 and gave the stock a "neutral" rating in a report on Monday, June 16th. Royal Bank Of Canada reaffirmed an "outperform" rating and issued a $480.00 price objective on shares of Adobe in a research note on Thursday, June 5th. Finally, Rothschild & Co Redburn cut Adobe from a "neutral" rating to a "sell" rating and set a $280.00 target price for the company. in a report on Wednesday, July 2nd.

Hedge Funds Weigh In On Adobe

A number of hedge funds have recently made changes to their positions in ADBE. North Dallas Bank & Trust Co. acquired a new position in shares of Adobe during the 2nd quarter valued at $1,654,000. B. Riley Wealth Advisors Inc. purchased a new position in Adobe in the second quarter valued at about $1,982,000. Newbridge Financial Services Group Inc. raised its position in Adobe by 29.5% in the second quarter. Newbridge Financial Services Group Inc. now owns 1,348 shares of the software company's stock valued at $522,000 after purchasing an additional 307 shares during the period. Cape Investment Advisory Inc. lifted its stake in shares of Adobe by 14.0% during the second quarter. Cape Investment Advisory Inc. now owns 2,881 shares of the software company's stock worth $1,115,000 after purchasing an additional 353 shares in the last quarter. Finally, Advisory Services Network LLC boosted its position in shares of Adobe by 17.8% in the second quarter. Advisory Services Network LLC now owns 25,221 shares of the software company's stock worth $9,021,000 after buying an additional 3,819 shares during the period. Hedge funds and other institutional investors own 81.79% of the company's stock.

Adobe Stock Performance

Shares of ADBE stock opened at $353.43 on Friday. The firm's 50-day simple moving average is $367.17 and its 200-day simple moving average is $390.51. The company has a debt-to-equity ratio of 0.54, a current ratio of 0.99 and a quick ratio of 0.99. Adobe has a 1-year low of $330.04 and a 1-year high of $587.75. The firm has a market cap of $149.93 billion, a P/E ratio of 22.61, a PEG ratio of 1.68 and a beta of 1.51.

Adobe (NASDAQ:ADBE - Get Free Report) last released its earnings results on Thursday, June 12th. The software company reported $5.06 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $4.97 by $0.09. The firm had revenue of $5.87 billion during the quarter, compared to the consensus estimate of $5.80 billion. Adobe had a net margin of 30.39% and a return on equity of 53.68%. Adobe's revenue was up 10.6% compared to the same quarter last year. During the same period in the previous year, the firm earned $4.48 earnings per share. Adobe has set its Q3 2025 guidance at 5.150-5.200 EPS. FY 2025 guidance at 20.500-20.700 EPS. As a group, equities analysts forecast that Adobe will post 16.65 EPS for the current year.

Adobe Company Profile

Adobe Inc, together with its subsidiaries, operates as a diversified software company worldwide. It operates through three segments: Digital Media, Digital Experience, and Publishing and Advertising. The Digital Media segment offers products, services, and solutions that enable individuals, teams, and enterprises to create, publish, and promote content; and Document Cloud, a unified cloud-based document services platform.

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