Adobe (NASDAQ:ADBE) Shares Up 1.9% - Here's Why

Key Points

• Adobe's stock increased by 1.9% to $355.11 amid trading, although the volume was significantly lower than its average.
• Analysts have mixed views on Adobe, with price targets ranging from $450 to $500, while the consensus rating is "Moderate Buy" with a price target of $467.58.
• Adobe posted stronger-than-expected quarterly earnings with revenue of $5.87 billion, exceeding estimates, and a year-over-year revenue increase of 10.6%.

Shares of Adobe Inc. (NASDAQ:ADBE - Get Free Report) shot up 1.9% during trading on Friday . The company traded as high as $355.79 and last traded at $355.11. 1,103,094 shares traded hands during mid-day trading, a decline of 71% from the average session volume of 3,782,678 shares. The stock had previously closed at $348.58.

Analysts Set New Price Targets

Several brokerages recently commented on ADBE. Oppenheimer reduced their target price on shares of Adobe from $530.00 to $500.00 and set an "outperform" rating for the company in a report on Friday, June 13th. BMO Capital Markets reaffirmed an "outperform" rating and set a $450.00 price target on shares of Adobe in a research report on Friday, June 13th. Stifel Nicolaus lowered their price target on shares of Adobe from $525.00 to $480.00 and set a "buy" rating on the stock in a research report on Friday, June 13th. Mizuho decreased their target price on shares of Adobe from $575.00 to $530.00 and set an "outperform" rating on the stock in a report on Friday, June 13th. Finally, Bank of America raised their target price on shares of Adobe from $424.00 to $475.00 and gave the company a "buy" rating in a report on Friday, June 13th. Three analysts have rated the stock with a sell rating, eight have assigned a hold rating, sixteen have assigned a buy rating and two have assigned a strong buy rating to the company's stock. According to data from MarketBeat, Adobe has a consensus rating of "Moderate Buy" and a consensus target price of $467.58.

Adobe Stock Up 2.0%

The company's 50-day moving average price is $373.08 and its 200 day moving average price is $393.45. The stock has a market cap of $150.87 billion, a PE ratio of 22.76, a price-to-earnings-growth ratio of 1.66 and a beta of 1.51. The company has a debt-to-equity ratio of 0.54, a quick ratio of 0.99 and a current ratio of 0.99.

Adobe (NASDAQ:ADBE - Get Free Report) last posted its quarterly earnings results on Thursday, June 12th. The software company reported $5.06 earnings per share for the quarter, topping the consensus estimate of $4.97 by $0.09. The business had revenue of $5.87 billion during the quarter, compared to the consensus estimate of $5.80 billion. Adobe had a return on equity of 53.68% and a net margin of 30.39%. The firm's revenue for the quarter was up 10.6% compared to the same quarter last year. During the same period in the prior year, the company posted $4.48 EPS. As a group, analysts forecast that Adobe Inc. will post 16.65 EPS for the current fiscal year.

Institutional Investors Weigh In On Adobe

Several institutional investors have recently added to or reduced their stakes in ADBE. Garde Capital Inc. acquired a new position in shares of Adobe during the 1st quarter worth approximately $34,000. PFG Advisors raised its stake in Adobe by 20.8% in the 1st quarter. PFG Advisors now owns 4,964 shares of the software company's stock valued at $1,904,000 after purchasing an additional 855 shares during the last quarter. Krane Funds Advisors LLC raised its stake in Adobe by 110.4% in the 1st quarter. Krane Funds Advisors LLC now owns 1,391 shares of the software company's stock valued at $533,000 after purchasing an additional 730 shares during the last quarter. Burling Wealth Partners LLC acquired a new position in Adobe in the 4th quarter valued at $1,173,000. Finally, Financial Counselors Inc. raised its stake in Adobe by 9.2% in the 1st quarter. Financial Counselors Inc. now owns 62,851 shares of the software company's stock valued at $24,105,000 after purchasing an additional 5,298 shares during the last quarter. Institutional investors and hedge funds own 81.79% of the company's stock.

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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