Adobe (NASDAQ:ADBE) Shares Down 1.6% - What's Next?

Key Points

• Adobe's stock price fell 1.6% to $351.88, with trading volume down 71% compared to the average.
• Analysts maintain a generally positive outlook, with an average price target of $473.88, although there are mixed ratings, including two "sell" and two "strong buy" designations.
• In its most recent earnings report, Adobe reported $5.06 earnings per share, exceeding estimates and showing a 10.6% increase in revenue compared to the previous year.

Adobe Inc. (NASDAQ:ADBE - Get Free Report)'s stock price traded down 1.6% on Friday . The company traded as low as $349.36 and last traded at $351.88. 1,080,219 shares traded hands during mid-day trading, a decline of 71% from the average session volume of 3,752,141 shares. The stock had previously closed at $357.69.

Wall Street Analysts Forecast Growth

A number of analysts recently weighed in on the stock. BMO Capital Markets reaffirmed an "outperform" rating and issued a $450.00 price objective on shares of Adobe in a research note on Friday, June 13th. DA Davidson restated a "buy" rating and set a $500.00 price objective on shares of Adobe in a report on Friday, June 20th. Wells Fargo & Company restated an "overweight" rating and set a $470.00 price objective (up previously from $430.00) on shares of Adobe in a report on Friday, June 13th. Rothschild & Co Redburn downgraded shares of Adobe from a "neutral" rating to a "sell" rating and set a $280.00 price target on the stock. in a report on Wednesday, July 2nd. Finally, JMP Securities reaffirmed a "market perform" rating on shares of Adobe in a research note on Monday, June 23rd. Two equities research analysts have rated the stock with a sell rating, eight have given a hold rating, sixteen have given a buy rating and two have assigned a strong buy rating to the stock. Based on data from MarketBeat, Adobe currently has an average rating of "Moderate Buy" and an average price target of $473.88.

Adobe Trading Down 2.2%

The business has a 50 day simple moving average of $386.92 and a two-hundred day simple moving average of $399.51. The company has a current ratio of 0.99, a quick ratio of 0.99 and a debt-to-equity ratio of 0.54. The stock has a market cap of $148.39 billion, a price-to-earnings ratio of 22.40, a price-to-earnings-growth ratio of 1.73 and a beta of 1.51.

Adobe (NASDAQ:ADBE - Get Free Report) last released its quarterly earnings data 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 business had revenue of $5.87 billion during the quarter, compared to analyst estimates of $5.80 billion. Adobe had a return on equity of 53.68% and a net margin of 30.39%. The business's revenue for the quarter was up 10.6% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $4.48 EPS. As a group, equities analysts anticipate that Adobe Inc. will post 16.65 EPS for the current year.

Institutional Trading of Adobe

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Siemens Fonds Invest GmbH grew its holdings in shares of Adobe by 252.9% during the fourth quarter. Siemens Fonds Invest GmbH now owns 55,658 shares of the software company's stock valued at $25,000 after buying an additional 39,888 shares in the last quarter. 1248 Management LLC acquired a new position in shares of Adobe during the 1st quarter worth about $25,000. Barnes Dennig Private Wealth Management LLC acquired a new position in shares of Adobe during the 1st quarter worth about $26,000. SWAN Capital LLC acquired a new position in Adobe in the 4th quarter valued at approximately $28,000. Finally, Copia Wealth Management acquired a new position in Adobe in the 4th quarter valued at approximately $28,000. Institutional investors own 81.79% of the company's stock.

About Adobe

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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