Adobe Inc. $ADBE Shares Sold by Baird Financial Group Inc.

Key Points

• Baird Financial Group cut its Adobe stake by 62.7% in the second quarter, selling 29,240 shares and retaining 17,413 shares valued at approximately $3.57 million.
• Institutional investors and hedge funds own 81.79% of Adobe, while insider ownership stands at just 0.20%. Recent insider activity was mixed, with an executive selling shares and director David Ricks purchasing 10,000 shares.
• Adobe exceeded quarterly earnings and revenue expectations, but analyst sentiment remains cautious: the stock has a consensus “Hold” rating and an average price target of $282.68, compared with a recent price of $257.76.

Baird Financial Group Inc. reduced its stake in shares of Adobe Inc. (NASDAQ:ADBE - Free Report) by 62.7% during the 2nd quarter, according to the company in its most recent 13F filing with the SEC. The firm owned 17,413 shares of the software company's stock after selling 29,240 shares during the quarter. Baird Financial Group Inc.'s holdings in Adobe were worth $3,570,000 as of its most recent filing with the SEC.

Other hedge funds and other institutional investors have also recently bought and sold shares of the company. BlackRock Inc. purchased a new stake in Adobe during the 2nd quarter worth $8,437,821,000. Norges Bank acquired a new stake in shares of Adobe during the fourth quarter valued at about $2,275,165,000. Primecap Management Co. CA purchased a new stake in shares of Adobe during the second quarter worth about $1,071,668,000. Bank of New York Mellon Corp purchased a new stake in shares of Adobe during the second quarter worth about $954,468,000. Finally, Deutsche Bank AG acquired a new position in shares of Adobe in the second quarter worth about $750,203,000. 81.79% of the stock is owned by institutional investors and hedge funds.

Insiders Place Their Bets

In other news, CAO Jillian Forusz sold 416 shares of the firm's stock in a transaction dated Wednesday, July 29th. The shares were sold at an average price of $264.33, for a total value of $109,961.28. Following the transaction, the chief accounting officer directly owned 3,824 shares in the company, valued at approximately $1,010,797.92. This trade represents a 9.81% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director David Ricks purchased 10,000 shares of the firm's stock in a transaction dated Thursday, June 25th. The stock was acquired at an average cost of $194.51 per share, with a total value of $1,945,100.00. Following the completion of the acquisition, the director directly owned 17,655 shares in the company, valued at approximately $3,434,074.05. This trade represents a 130.63% increase in their position. The disclosure for this purchase is available in the SEC filing. 0.20% of the stock is currently owned by corporate insiders.

Analyst Upgrades and Downgrades

ADBE has been the subject of a number of analyst reports. Piper Sandler increased their price target on Adobe from $240.00 to $250.00 and gave the company a "neutral" rating in a report on Friday. Dbs Bank downgraded Adobe from a "moderate buy" rating to a "hold" rating in a report on Tuesday, May 19th. Freedom Capital lowered Adobe from a "strong-buy" rating to a "hold" rating in a research report on Friday, June 12th. Mizuho set a $260.00 target price on Adobe in a research note on Tuesday, September 8th. Finally, HSBC raised shares of Adobe from a "hold" rating to a "buy" rating and raised their price target for the stock from $282.00 to $308.00 in a research report on Thursday, July 2nd. Seven equities research analysts have rated the stock with a Buy rating, twenty-one have given a Hold rating and five have given a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and a consensus price target of $282.68.

Adobe Price Performance

Shares of NASDAQ ADBE opened at $257.76 on Wednesday. The company has a current ratio of 0.77, a quick ratio of 0.75 and a debt-to-equity ratio of 0.41. The company has a market capitalization of $102.46 billion, a price-to-earnings ratio of 14.38, a price-to-earnings-growth ratio of 0.92 and a beta of 1.42. Adobe Inc. has a twelve month low of $190.12 and a twelve month high of $370.86. The business has a 50 day simple moving average of $255.22 and a 200-day simple moving average of $245.70.

Adobe (NASDAQ:ADBE - Get Free Report) last announced its quarterly earnings data on Thursday, September 10th. The software company reported $6.13 earnings per share (EPS) for the quarter, topping the consensus estimate of $6.08 by $0.05. The firm had revenue of $6.76 billion for the quarter, compared to analysts' expectations of $6.69 billion. Adobe had a return on equity of 65.65% and a net margin of 28.05%.The firm's revenue for the quarter was up 12.9% on a year-over-year basis. During the same period last year, the business posted $5.31 earnings per share. Adobe has set its Q4 2026 guidance at 6.300-6.350 EPS and its FY 2026 guidance at 24.450-24.500 EPS. As a group, equities research analysts expect that Adobe Inc. will post 20.03 earnings per share for the current year.

Trending Headlines about Adobe

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Adobe’s fiscal Q3 2026 revenue increased 13% year over year to $6.76 billion, exceeding expectations, while adjusted EPS of $6.13 also beat consensus. Management raised its fiscal 2026 revenue and earnings targets, reinforcing the company’s cash-generation and profitability profile. Should You Buy Adobe Stock At $260?
• Positive Sentiment: AI-first annualized recurring revenue reportedly surged more than 150%, and Adobe’s new AI-powered Student Spaces features could broaden product adoption. These developments helped Adobe shares rise alongside enterprise software stocks as investors rotated away from AI hardware and semiconductor names. Adobe Stock Jumps 4.2% as Investors Reassess the AI Software Trade
• Positive Sentiment: Some commentators view Adobe as significantly undervalued after its recent decline, citing free-cash-flow margins above 40% and the possibility of a short squeeze if sentiment improves. DA Davidson also raised its price target to $290 and maintained a buy rating. Jim Cramer Says Adobe Could Be a Short-Squeeze Candidate
• Neutral Sentiment: Investor debate centers on whether Adobe’s large user base and AI product expansion will translate into stronger monetization. The company has about $27.5 billion in annualized recurring revenue, but analysts are waiting for clearer evidence that AI adoption accelerates growth.
• Negative Sentiment: Adobe maintained its fiscal 2026 ending ARR growth target at 10.2%, while new ARR and forward guidance remained a concern. Analysts also cited competition, the freemium strategy and uncertainty surrounding the CEO transition as reasons for caution. Analysts Are Punting Their Calls Into the Next Quarter After Adobe’s Mixed Earnings
• Negative Sentiment: KeyCorp reiterated an “Underweight” rating and a $195 price target, well below recent trading levels, reflecting concern that earnings growth may not offset slower recurring-revenue expansion. Recent insider activity has also consisted entirely of sales, including sales by CEO Shantanu Narayen. Adobe analyst estimates and market data

About Adobe

Adobe Inc NASDAQ: ADBE develops software and services used for digital content creation, document management and digital experiences. The company serves creative professionals, marketers, enterprises, educators and consumers worldwide through subscription-based and cloud-enabled products.

Adobe's Creative Cloud portfolio includes applications such as Photoshop, Illustrator, InDesign, Premiere Pro and After Effects, along with related tools for photography, graphic design, video production and web development.

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