DA Davidson Has Negative Outlook for Adobe FY2025 Earnings

Adobe Inc. (NASDAQ:ADBE - Free Report) - DA Davidson decreased their FY2025 earnings per share (EPS) estimates for Adobe in a report released on Tuesday, April 15th. DA Davidson analyst G. Luria now anticipates that the software company will earn $16.52 per share for the year, down from their previous forecast of $16.65. DA Davidson currently has a "Buy" rating and a $450.00 price objective on the stock. The consensus estimate for Adobe's current full-year earnings is $16.65 per share.

Several other brokerages have also recently weighed in on ADBE. BNP Paribas raised shares of Adobe from an "underperform" rating to a "neutral" rating and set a $425.00 price target for the company in a research note on Wednesday, January 15th. Deutsche Bank Aktiengesellschaft reaffirmed a "hold" rating and set a $475.00 target price (down previously from $600.00) on shares of Adobe in a report on Wednesday, January 8th. Oppenheimer decreased their price target on shares of Adobe from $560.00 to $530.00 and set an "outperform" rating on the stock in a research note on Thursday, March 13th. BMO Capital Markets reduced their target price on Adobe from $495.00 to $450.00 and set an "outperform" rating on the stock in a report on Wednesday, April 16th. Finally, Wells Fargo & Company cut their target price on Adobe from $600.00 to $430.00 and set an "overweight" rating for the company in a research note on Tuesday. Eleven 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 company. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $506.73.

Adobe Stock Up 2.4 %

Shares of ADBE stock traded up $8.28 on Thursday, hitting $351.50. 1,479,530 shares of the stock were exchanged, compared to its average volume of 3,412,343. The business has a 50-day moving average of $401.15 and a 200 day moving average of $448.52. Adobe has a fifty-two week low of $332.01 and a fifty-two week high of $587.75. The firm has a market capitalization of $149.81 billion, a P/E ratio of 28.33, a price-to-earnings-growth ratio of 2.15 and a beta of 1.49. The company has a current ratio of 1.07, a quick ratio of 1.07 and a debt-to-equity ratio of 0.29.

Adobe (NASDAQ:ADBE - Get Free Report) last issued its quarterly earnings data on Wednesday, March 12th. The software company reported $5.08 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.97 by $0.11. The company had revenue of $5.71 billion during the quarter, compared to the consensus estimate of $5.66 billion. Adobe had a net margin of 25.85% and a return on equity of 45.87%. During the same quarter in the prior year, the firm earned $4.48 earnings per share.

Institutional Investors Weigh In On Adobe

Several hedge funds and other institutional investors have recently modified their holdings of the stock. M&T Bank Corp raised its holdings in shares of Adobe by 3.9% in the 3rd quarter. M&T Bank Corp now owns 156,198 shares of the software company's stock valued at $80,876,000 after acquiring an additional 5,905 shares in the last quarter. Virtu Financial LLC bought a new position in shares of Adobe in the 3rd quarter worth $4,167,000. Morse Asset Management Inc lifted its holdings in shares of Adobe by 32.6% during the 3rd quarter. Morse Asset Management Inc now owns 8,494 shares of the software company's stock worth $4,398,000 after acquiring an additional 2,088 shares during the last quarter. Te Ahumairangi Investment Management Ltd increased its stake in Adobe by 12.9% in the third quarter. Te Ahumairangi Investment Management Ltd now owns 4,455 shares of the software company's stock valued at $2,294,000 after acquiring an additional 510 shares during the last quarter. Finally, Anchor Investment Management LLC raised its position in Adobe by 1.6% during the third quarter. Anchor Investment Management LLC now owns 16,261 shares of the software company's stock valued at $8,420,000 after purchasing an additional 255 shares in the last quarter. 81.79% of the stock is currently owned by institutional investors.

Insiders Place Their Bets

In other Adobe news, CAO Jillian Forusz sold 334 shares of the stock in a transaction dated Tuesday, January 28th. The shares were sold at an average price of $435.83, for a total transaction of $145,567.22. Following the completion of the transaction, the chief accounting officer now owns 2,685 shares in the company, valued at $1,170,203.55. This trade represents a 11.06 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, EVP Scott Belsky sold 3,819 shares of the firm's stock in a transaction on Monday, January 27th. The stock was sold at an average price of $430.24, for a total value of $1,643,086.56. Following the completion of the transaction, the executive vice president now directly owns 18,334 shares of the company's stock, valued at $7,888,020.16. The trade was a 17.24 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 5,075 shares of company stock worth $2,191,826. Insiders own 0.16% 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.