Adobe (NASDAQ:ADBE) Stock Price Down 5.5% on Analyst Downgrade

Adobe Inc. (NASDAQ:ADBE - Get Free Report) fell 5.5% during mid-day trading on Friday after Mizuho lowered their price target on the stock from $575.00 to $530.00. Mizuho currently has an outperform rating on the stock. Adobe traded as low as $383.75 and last traded at $390.99. 4,590,069 shares traded hands during trading, an increase of 34% from the average session volume of 3,426,140 shares. The stock had previously closed at $413.68.

Several other brokerages have also recently issued reports on ADBE. Wall Street Zen upgraded Adobe from a "hold" rating to a "buy" rating in a research note on Thursday, May 22nd. Jefferies Financial Group reduced their price objective on Adobe from $650.00 to $590.00 and set a "buy" rating on the stock in a research note on Monday, March 31st. DA Davidson reduced their price objective on Adobe from $600.00 to $450.00 and set a "buy" rating on the stock in a research note on Monday, April 14th. Summit Redstone set a $410.00 price objective on Adobe in a research note on Wednesday, March 19th. Finally, Bank of America increased their price objective on Adobe from $424.00 to $475.00 and gave the company a "buy" rating in a research note on Friday. Nine investment analysts have rated the stock with a hold rating, seventeen have issued a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, Adobe has a consensus rating of "Moderate Buy" and an average target price of $494.67.

Insider Transactions at Adobe

In other Adobe news, CFO Daniel Durn acquired 1,300 shares of the stock in a transaction dated Thursday, March 20th. The stock was acquired at an average price of $390.58 per share, with a total value of $507,754.00. Following the completion of the transaction, the chief financial officer now directly owns 29,876 shares in the company, valued at approximately $11,668,968.08. This trade represents a 4.55% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is available at the SEC website. Insiders own 0.16% of the company's stock.

Institutional Investors Weigh In On Adobe

A number of institutional investors have recently added to or reduced their stakes in ADBE. Brighton Jones LLC grew its position in Adobe by 2.1% during the fourth quarter. Brighton Jones LLC now owns 8,068 shares of the software company's stock valued at $3,588,000 after acquiring an additional 167 shares during the period. Union Bancaire Privee UBP SA acquired a new position in shares of Adobe during the fourth quarter worth about $76,712,000. Root Financial Partners LLC lifted its stake in shares of Adobe by 40.9% during the fourth quarter. Root Financial Partners LLC now owns 603 shares of the software company's stock worth $268,000 after purchasing an additional 175 shares in the last quarter. Valeo Financial Advisors LLC lifted its stake in shares of Adobe by 7.1% during the fourth quarter. Valeo Financial Advisors LLC now owns 7,919 shares of the software company's stock worth $3,521,000 after purchasing an additional 523 shares in the last quarter. Finally, Bank Pictet & Cie Europe AG lifted its stake in shares of Adobe by 2.7% during the fourth quarter. Bank Pictet & Cie Europe AG now owns 28,969 shares of the software company's stock worth $12,882,000 after purchasing an additional 756 shares in the last quarter. Hedge funds and other institutional investors own 81.79% of the company's stock.

Adobe Stock Performance

The stock has a 50 day simple moving average of $386.76 and a 200 day simple moving average of $421.08. The company has a market cap of $166.93 billion, a price-to-earnings ratio of 31.59, a PEG ratio of 2.15 and a beta of 1.55. The company has a quick ratio of 1.07, a current ratio of 1.07 and a debt-to-equity ratio of 0.29.

Adobe (NASDAQ:ADBE - Get Free Report) last released its quarterly earnings results on Wednesday, March 12th. The software company reported $5.08 EPS for the quarter, topping the consensus estimate of $4.97 by $0.11. Adobe had a return on equity of 45.87% and a net margin of 25.85%. The business had revenue of $5.71 billion for the quarter, compared to analysts' expectations of $5.66 billion. During the same quarter in the previous year, the firm posted $4.48 earnings per share. As a group, analysts predict that Adobe Inc. 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.