Ghe LLC Sells 6,519 Shares of Adobe Inc. $ADBE

Key Points

• Ghe LLC reduced its Adobe stake by 28% in the first quarter, selling 6,519 shares and leaving it with 16,782 shares valued at about $4.08 million.
• Adobe posted strong quarterly results, with EPS of $5.96 and revenue of $6.62 billion, both ahead of analyst expectations, while also raising guidance for FY 2026 and Q3 2026.
• Investor sentiment is mixed: Adobe announced a $25 billion share buyback, but several insiders sold stock and Wall Street’s consensus rating remains “Hold” with a $275 target price.

Ghe LLC decreased its position in shares of Adobe Inc. (NASDAQ:ADBE - Free Report) by 28.0% in the 1st quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 16,782 shares of the software company's stock after selling 6,519 shares during the quarter. Adobe accounts for approximately 0.9% of Ghe LLC's investment portfolio, making the stock its 15th largest position. Ghe LLC's holdings in Adobe were worth $4,079,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors also recently made changes to their positions in the company. Norges Bank bought a new position in Adobe in the fourth quarter valued at approximately $2,275,165,000. AQR Capital Management LLC boosted its holdings in shares of Adobe by 55.2% in the 3rd quarter. AQR Capital Management LLC now owns 2,587,399 shares of the software company's stock valued at $912,705,000 after purchasing an additional 920,353 shares in the last quarter. Amundi raised its holdings in shares of Adobe by 17.9% during the 3rd quarter. Amundi now owns 4,888,283 shares of the software company's stock worth $1,711,583,000 after buying an additional 742,646 shares in the last quarter. AMF Tjanstepension AB acquired a new position in shares of Adobe during the 1st quarter worth $167,494,000. Finally, J. Stern & Co. LLP lifted its position in shares of Adobe by 26,128.1% during the 4th quarter. J. Stern & Co. LLP now owns 652,031 shares of the software company's stock worth $228,204,000 after buying an additional 649,545 shares during the last quarter. 81.79% of the stock is currently owned by institutional investors and hedge funds.

Adobe Price Performance

Shares of NASDAQ ADBE opened at $223.64 on Monday. Adobe Inc. has a twelve month low of $190.12 and a twelve month high of $376.16. The firm has a fifty day simple moving average of $230.84 and a 200 day simple moving average of $259.85. The company has a market capitalization of $88.90 billion, a PE ratio of 12.79, a P/E/G ratio of 0.75 and a beta of 1.43. The company has a quick ratio of 0.75, a current ratio of 0.75 and a debt-to-equity ratio of 0.42.

Adobe (NASDAQ:ADBE - Get Free Report) last issued its quarterly earnings results on Thursday, June 11th. The software company reported $5.96 earnings per share for the quarter, topping analysts' consensus estimates of $5.82 by $0.14. Adobe had a return on equity of 65.11% and a net margin of 28.69%.The firm had revenue of $6.62 billion during the quarter, compared to the consensus estimate of $6.45 billion. During the same period last year, the business posted $5.06 EPS. The business's revenue was up 12.7% compared to the same quarter last year. Adobe has set its FY 2026 guidance at 24.350-24.450 EPS and its Q3 2026 guidance at 6.050-6.100 EPS. On average, sell-side analysts forecast that Adobe Inc. will post 19.8 EPS for the current year.

Adobe declared that its Board of Directors has initiated a share repurchase plan on Tuesday, April 21st that allows the company to buyback $25.00 billion in shares. This buyback authorization allows the software company to repurchase up to 24.9% of its stock through open market purchases. Stock buyback plans are usually a sign that the company's board of directors believes its shares are undervalued.

Insiders Place Their Bets

In other Adobe news, CFO Daniel Durn sold 1,336 shares of the firm's stock in a transaction on Monday, April 20th. The shares were sold at an average price of $248.02, for a total value of $331,354.72. Following the completion of the sale, the chief financial officer directly owned 42,833 shares in the company, valued at approximately $10,623,440.66. This trade represents a 3.02% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CEO Shantanu Narayen sold 75,000 shares of the company's stock in a transaction dated Tuesday, April 28th. The shares were sold at an average price of $243.54, for a total transaction of $18,265,500.00. Following the transaction, the chief executive officer owned 359,538 shares in the company, valued at $87,561,884.52. This represents a 17.26% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 77,091 shares of company stock valued at $18,782,773 over the last 90 days. 0.20% of the stock is currently owned by corporate insiders.

Wall Street Analyst Weigh In

ADBE has been the subject of a number of research reports. Dbs Bank cut shares of Adobe from a "moderate buy" rating to a "hold" rating in a report on Tuesday, May 19th. BTIG Research began coverage on shares of Adobe in a research note on Monday, April 13th. They set a "neutral" rating on the stock. Jefferies Financial Group dropped their price target on Adobe from $290.00 to $230.00 and set a "hold" rating for the company in a research note on Friday, June 12th. Sanford C. Bernstein reduced their price objective on Adobe from $447.00 to $379.00 and set an "outperform" rating on the stock in a research report on Friday, June 12th. Finally, Citizens Jmp reaffirmed a "market perform" rating on shares of Adobe in a research note on Friday, June 12th. Six investment analysts have rated the stock with a Buy rating, twenty-two have given a Hold rating and five have given a Sell rating to the company. Based on data from MarketBeat.com, Adobe presently has an average rating of "Hold" and a consensus target price of $275.00.

Key Headlines Impacting Adobe

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Adobe’s planned acquisition of Topaz Labs could strengthen its generative AI and video/image editing tools, supporting long-term product differentiation and monetization. Adobe (ADBE) to Acquire Topaz Labs
• Positive Sentiment: Another recent analysis highlighted Adobe’s acquisition of Rephrase.AI as a way to bolster generative AI video capabilities for e-commerce, which could broaden Adobe’s addressable market and improve growth prospects. Adobe's Strategic Acquisition of Rephrase.AI to Bolster Generative AI Video Capabilities for E-commerce
• Neutral Sentiment: Market commentary from Seeking Alpha and other outlets suggested the stock may be oversold or viewed as a comeback candidate, but these were opinion pieces rather than new fundamentals. Adobe: Market Overreaction Creates A Highly Asymmetric Risk-Reward Opportunity
• Neutral Sentiment: Short-interest data showed no meaningful shares outstanding to short, so it does not appear to be adding real trading pressure or changing the investment case.
• Negative Sentiment: Bank of America reportedly downgraded Adobe to Underperform, arguing that AI tools could pressure Adobe’s growth rather than accelerate it, reinforcing investor concerns about competitive disruption. Bank of America Says AI Will Drag Down Adobe Stock
• Negative Sentiment: Additional headlines about users canceling Adobe Acrobat for cheaper alternatives may add to the narrative that pricing pressure and product substitution remain risks for the company.

Adobe Company 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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