D.A. Davidson & CO. Lowers Position in Adobe Inc. $ADBE

Key Points

• D.A. Davidson & CO. reduced its stake in Adobe by 8.1%, selling 6,585 shares and leaving 75,047 shares valued at about $26.27 million at quarter-end.
• Adobe announced a $25 billion share buyback, authorizing repurchases of up to 24.9% of outstanding shares (through April 2030), signaling management confidence and a major capital-return plan.
• Adobe beat quarterly expectations, reporting $6.06 EPS (vs. $5.87 expected) and $6.40 billion revenue (vs. $6.28 billion expected), and set FY2026 guidance at $23.30–$23.50 EPS.

D.A. Davidson & CO. lowered its holdings in Adobe Inc. (NASDAQ:ADBE - Free Report) by 8.1% during the 4th quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The institutional investor owned 75,047 shares of the software company's stock after selling 6,585 shares during the period. D.A. Davidson & CO.'s holdings in Adobe were worth $26,266,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds have also recently modified their holdings of the business. Riverbend Wealth Management LLC raised its holdings in shares of Adobe by 1.8% in the 3rd quarter. Riverbend Wealth Management LLC now owns 1,668 shares of the software company's stock valued at $588,000 after acquiring an additional 29 shares in the last quarter. Beacon Financial Advisory LLC raised its holdings in shares of Adobe by 5.5% in the 3rd quarter. Beacon Financial Advisory LLC now owns 577 shares of the software company's stock valued at $204,000 after acquiring an additional 30 shares in the last quarter. MCF Advisors LLC raised its holdings in shares of Adobe by 20.8% in the 3rd quarter. MCF Advisors LLC now owns 174 shares of the software company's stock valued at $61,000 after acquiring an additional 30 shares in the last quarter. Brookwood Investment Group LLC raised its holdings in shares of Adobe by 4.4% in the 3rd quarter. Brookwood Investment Group LLC now owns 734 shares of the software company's stock valued at $259,000 after acquiring an additional 31 shares in the last quarter. Finally, New Republic Capital LLC raised its holdings in shares of Adobe by 5.6% in the 3rd quarter. New Republic Capital LLC now owns 582 shares of the software company's stock valued at $205,000 after acquiring an additional 31 shares in the last quarter. Hedge funds and other institutional investors own 81.79% of the company's stock.

Adobe Stock Performance

Shares of NASDAQ ADBE opened at $245.44 on Monday. The stock has a market cap of $99.21 billion, a price-to-earnings ratio of 14.29, a P/E/G ratio of 0.96 and a beta of 1.52. The company has a current ratio of 0.91, a quick ratio of 0.91 and a debt-to-equity ratio of 0.47. Adobe Inc. has a 1-year low of $224.13 and a 1-year high of $422.95. The stock's 50-day moving average is $251.85 and its 200 day moving average is $299.37.

Adobe (NASDAQ:ADBE - Get Free Report) last announced its quarterly earnings data on Thursday, March 12th. The software company reported $6.06 earnings per share for the quarter, beating analysts' consensus estimates of $5.87 by $0.19. The company had revenue of $6.40 billion for the quarter, compared to analysts' expectations of $6.28 billion. Adobe had a return on equity of 64.48% and a net margin of 29.48%.Adobe's revenue for the quarter was up 12.0% compared to the same quarter last year. During the same period last year, the firm posted $5.08 EPS. Adobe has set its FY 2026 guidance at 23.300-23.500 EPS and its Q2 2026 guidance at 5.800-5.850 EPS. On average, sell-side analysts anticipate that Adobe Inc. will post 19.14 EPS for the current fiscal year.

Adobe declared that its Board of Directors has approved a share buyback program on Tuesday, April 21st that authorizes the company to repurchase $25.00 billion in outstanding shares. This repurchase authorization authorizes the software company to purchase up to 24.9% of its shares through open market purchases. Shares repurchase programs are often a sign that the company's board of directors believes its shares are undervalued.

Key Stories Impacting Adobe

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Board authorizes a $25 billion share buyback (through April 2030), signaling management confidence and explicit capital return plans that typically support the stock. Adobe Announces New $25 Billion Stock Repurchase Program
• Positive Sentiment: Adobe showcased agentic AI offerings across CX Enterprise, GenStudio, Firefly and Experience Manager at its Summit and highlighted partnerships (NVIDIA, Amazon, Microsoft, Anthropic, OpenAI) that bolster enterprise go‑to‑market credibility. Adobe bets on AI agents
• Positive Sentiment: Analysts and commentators reacted favorably to the Summit and partnerships; JPMorgan reiterated an Overweight view and flagged upside from Adobe’s AI positioning, helping lift sentiment. Adobe Unleashed: Why Nvidia's CEO Says This AI Giant Is the Future of Marketing
• Neutral Sentiment: Adobe plans outcome‑based pricing for new AI products — could improve monetization if outcomes are proven, but adoption, measurement and revenue timing remain uncertain. Adobe Plans Outcome-Based Pricing
• Negative Sentiment: Some sell‑side firms have cut price targets or ratings (Morgan Stanley trimmed its target recently), keeping valuation and competitive concerns on the table. Adobe Is One Of The Stocks That Will Collapse Because Of AI
• Negative Sentiment: Short interest rose in mid‑April to roughly 14.7M shares (~3.7% of shares outstanding) — an increase in bearish positioning that can amplify downward moves if sentiment turns.
• Negative Sentiment: Insider activity: CFO Daniel Durn sold ~1,336 shares this week (disclosed via SEC filing), a small but visible insider sale. SEC Form 4 — Daniel Durn
• Negative Sentiment: Broader enterprise software weakness (after ServiceNow/IBM results) pressured the sector and contributed to an earlier pullback, highlighting macro/earnings‑linked downside risk. ServiceNow and IBM earnings reignite AI fears

Wall Street Analyst Weigh In

ADBE has been the topic of several recent analyst reports. HSBC set a $302.00 price target on Adobe in a report on Friday, February 13th. Jefferies Financial Group lowered their price target on Adobe from $400.00 to $290.00 and set a "hold" rating on the stock in a report on Monday, February 23rd. Morgan Stanley decreased their price objective on Adobe from $425.00 to $365.00 and set an "equal weight" rating on the stock in a report on Friday, March 13th. BMO Capital Markets decreased their price objective on Adobe from $375.00 to $285.00 and set a "market perform" rating on the stock in a report on Friday, March 13th. Finally, Robert W. Baird set a $350.00 price objective on Adobe in a report on Wednesday, January 14th. One research analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating, fifteen have given a Hold rating and five have given a Sell rating to the company. Based on data from MarketBeat, the company currently has an average rating of "Hold" and a consensus price target of $339.88.

Insider Buying and Selling

In other Adobe news, CFO Daniel Durn sold 1,646 shares of Adobe stock in a transaction that occurred on Tuesday, January 27th. The stock was sold at an average price of $294.85, for a total value of $485,323.10. Following the transaction, the chief financial officer directly owned 41,995 shares of the company's stock, valued at $12,382,225.75. The trade was a 3.77% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 0.20% of the stock is owned by company insiders.

Adobe Profile

Adobe Inc, founded in 1982 by John Warnock and Charles Geschke and headquartered in San Jose, California, is a global software company that develops tools and services for creative professionals, marketers and enterprises. Under the leadership of CEO Shantanu Narayen, who has led the company since 2007, Adobe has evolved from a provider of desktop publishing tools into a cloud-centric provider of digital media and digital experience solutions.

The company's core offerings are organized around digital media and digital experience.

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