K.J. Harrison & Partners Inc Takes $823,000 Position in Adobe Inc. $ADBE

Key Points

• K.J. Harrison & Partners purchased 4,012 Adobe shares worth approximately $823,000 in the second quarter. Institutional investors collectively own 81.79% of Adobe’s outstanding stock.
• Analyst sentiment is cautious: multiple firms lowered their price targets and maintained neutral or hold ratings. MarketBeat reports a consensus rating of “Hold” and an average target price of $269.81.
• Adobe exceeded quarterly earnings and revenue expectations, with revenue rising 12.7% year over year, and authorized a $25 billion share-repurchase program covering up to 24.9% of outstanding shares.

K.J. Harrison & Partners Inc purchased a new stake in Adobe Inc. (NASDAQ:ADBE - Free Report) during the second quarter, according to the company in its most recent Form 13F filing with the SEC. The firm purchased 4,012 shares of the software company's stock, valued at approximately $823,000.

Several other institutional investors and hedge funds also recently added to or reduced their stakes in the stock. BlackRock Inc. purchased a new position in shares of Adobe in the second quarter valued at approximately $8,437,821,000. State Street Corp increased its position in shares of Adobe by 1.7% during the third quarter. State Street Corp now owns 20,632,009 shares of the software company's stock worth $7,277,941,000 after purchasing an additional 352,448 shares in the last quarter. Geode Capital Management LLC raised its stake in Adobe by 3.7% in the 4th quarter. Geode Capital Management LLC now owns 11,531,678 shares of the software company's stock valued at $4,027,170,000 after purchasing an additional 414,049 shares during the last quarter. Arrowstreet Capital Limited Partnership raised its stake in Adobe by 9.1% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 6,792,275 shares of the software company's stock valued at $1,651,066,000 after purchasing an additional 563,772 shares during the last quarter. Finally, Norges Bank purchased a new position in Adobe in the 4th quarter valued at $2,275,165,000. Hedge funds and other institutional investors own 81.79% of the company's stock.

Analyst Ratings Changes

A number of equities research analysts have recently issued reports on the stock. Robert W. Baird dropped their target price on shares of Adobe from $270.00 to $230.00 and set a "neutral" rating for the company in a report on Friday, June 12th. Phillip Securities downgraded shares of Adobe from a "strong-buy" rating to a "hold" rating in a research note on Monday, June 29th. Piper Sandler lowered their price target on shares of Adobe from $280.00 to $240.00 and set a "neutral" rating on the stock in a research report on Friday, June 12th. Mizuho dropped their price objective on shares of Adobe from $270.00 to $245.00 and set a "neutral" rating for the company in a research note on Friday, June 12th. Finally, TD Cowen cut their price objective on shares of Adobe from $310.00 to $285.00 and set a "hold" rating for the company in a report on Monday, June 8th. Seven analysts have rated the stock with a Buy rating, twenty-one have assigned a Hold rating and five have assigned a Sell rating to the stock. According to MarketBeat, the company has an average rating of "Hold" and a consensus target price of $269.81.

Adobe Trading Down 3.8%

Shares of ADBE opened at $254.04 on Tuesday. The company has a current ratio of 0.75, a quick ratio of 0.75 and a debt-to-equity ratio of 0.42. Adobe Inc. has a 12-month low of $190.12 and a 12-month high of $370.86. The firm has a 50-day moving average price of $228.82 and a 200 day moving average price of $245.32. The firm has a market capitalization of $100.98 billion, a P/E ratio of 14.53, a P/E/G ratio of 0.89 and a beta of 1.40.

Adobe (NASDAQ:ADBE - Get Free Report) last issued its earnings results on Thursday, June 11th. The software company reported $5.96 EPS for the quarter, topping analysts' consensus estimates of $5.82 by $0.14. The company had revenue of $6.62 billion for the quarter, compared to the consensus estimate of $6.45 billion. Adobe had a net margin of 28.69% and a return on equity of 65.11%. Adobe's quarterly revenue was up 12.7% compared to the same quarter last year. During the same period in the previous year, the firm earned $5.06 earnings per share. Adobe has set its FY 2026 guidance at 24.350-24.450 EPS and its Q3 2026 guidance at 6.050-6.100 EPS. Sell-side analysts forecast that Adobe Inc. will post 19.81 EPS for the current year.

Adobe declared that its Board of Directors has approved a stock buyback plan on Tuesday, April 21st that allows the company to repurchase $25.00 billion in outstanding shares. This repurchase authorization allows the software company to buy up to 24.9% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company's leadership believes its stock is undervalued.

Insider Buying and Selling

In other news, Director David A. Ricks purchased 10,000 shares of Adobe stock in a transaction dated Thursday, June 25th. The shares were purchased at an average price of $194.51 per share, with a total value of $1,945,100.00. Following the transaction, the director owned 17,655 shares in the company, valued at $3,434,074.05. This represents a 130.63% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CAO Jillian Forusz sold 416 shares of the company's stock in a transaction that occurred on Wednesday, July 29th. The shares were sold at an average price of $264.33, for a total value of $109,961.28. Following the completion of the transaction, the chief accounting officer owned 3,824 shares in the company, valued at $1,010,797.92. This represents a 9.81% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. 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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