Lmcg Investments LLC Reduces Stock Holdings in Adobe Inc. $ADBE

Key Points

• Lmcg Investments LLC sharply cut its Adobe stake by 86.9% in the first quarter, leaving it with 956 shares worth about $232,000.
• Adobe’s insider activity was mixed: CEO Shantanu Narayen sold 75,000 shares, while Director David A. Ricks bought 10,000 shares. Insiders have sold 77,091 shares net over the last 90 days.
• Analysts remain cautious overall, with Adobe carrying a Hold consensus rating and a $275 average price target, even as the company beat quarterly earnings and revenue estimates and continues a $25 billion buyback program.

Lmcg Investments LLC lowered its stake in Adobe Inc. (NASDAQ:ADBE - Free Report) by 86.9% during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 956 shares of the software company's stock after selling 6,367 shares during the period. Lmcg Investments LLC's holdings in Adobe were worth $232,000 at the end of the most recent reporting period.

Several other institutional investors have also added to or reduced their stakes in ADBE. Measured Wealth Private Client Group LLC purchased a new position in shares of Adobe during the third quarter valued at about $26,000. Western Pacific Wealth Management LP purchased a new stake in Adobe in the fourth quarter worth about $26,000. Beacon Financial Strategies CORP purchased a new stake in Adobe in the fourth quarter worth about $28,000. TrustBank bought a new stake in Adobe during the 4th quarter valued at approximately $28,000. Finally, KERR FINANCIAL PLANNING Corp bought a new stake in Adobe during the 3rd quarter valued at approximately $27,000. 81.79% of the stock is currently owned by institutional investors.

Insider Activity

In related news, CEO Shantanu Narayen sold 75,000 shares of the firm's stock in a transaction that occurred on 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 completion of the sale, the chief executive officer owned 359,538 shares of the company's stock, valued at $87,561,884.52. This trade represents a 17.26% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, Director David A. Ricks acquired 10,000 shares of the firm's stock in a transaction that occurred on Thursday, June 25th. The stock was purchased at an average price of $194.51 per share, with a total value of $1,945,100.00. Following the completion of the acquisition, the director owned 17,655 shares in the company, valued at $3,434,074.05. The trade was a 130.63% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. In the last ninety days, insiders have sold 77,091 shares of company stock worth $18,782,773. Corporate insiders own 0.20% of the company's stock.

Key Stories Impacting Adobe

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Adobe announced a definitive agreement to acquire Topaz Labs, an AI company known for video and image enhancement models, which could strengthen Adobe’s own AI capabilities and improve its competitive position. Adobe (ADBE) to Acquire Topaz Labs
• Positive Sentiment: Adobe expanded GenStudio for commerce media by integrating LiveRamp purchase data, a move that could improve ad targeting, workflow efficiency, and monetization across its digital media tools. Adobe (ADBE) Brings LiveRamp Purchase Data Into GenStudio For Commerce Media
• Positive Sentiment: HSBC upgraded Adobe to Buy and raised its price target, arguing the stock’s recent selloff may have created an attractive entry point despite year-to-date weakness. Is Adobe Inc. (ADBE) the Best Beaten Down Technology Stock to Buy Now?
• Neutral Sentiment: Some commentary suggests Adobe’s strategy is focused on future growth, but this is more of a long-term thesis than a near-term catalyst for the stock. Adobe Stock Is Down, But Its Strategy Is All-In On The Future
• Negative Sentiment: Bank of America downgraded Adobe to Underperform, saying AI tools are hurting growth rather than accelerating it and warning that competitive pressure could keep weighing on the shares. Bank of America Says AI Will Drag Down Adobe Stock
• Negative Sentiment: Another article highlighted that some users are canceling Adobe Acrobat in favor of cheaper or free alternatives, reinforcing concerns about pricing pressure and subscription churn. I canceled my Adobe Acrobat plan after one weekend with this free tool
• Negative Sentiment: Phillip Securities also cut Adobe to Neutral, reflecting broader analyst caution around AI competition and slowing sentiment toward the stock. Phillip Securities Downgrades Adobe (ADBE) to Neutral, Here’s What You Should Know

Wall Street Analysts Forecast Growth

Several research analysts have recently issued reports on ADBE shares. Wolfe Research lowered Adobe from an "outperform" rating to a "peer perform" rating in a research report on Friday, June 12th. Morgan Stanley dropped their price target on Adobe from $425.00 to $365.00 and set an "equal weight" rating on the stock in a research report on Friday, March 13th. Weiss Ratings reaffirmed a "sell (d+)" rating on shares of Adobe in a research note on Wednesday, June 3rd. Royal Bank Of Canada decreased their price objective on Adobe from $350.00 to $285.00 and set an "outperform" rating for the company in a report on Monday, June 8th. Finally, Stifel Nicolaus reissued a "hold" rating and set a $200.00 price objective (down from $350.00) on shares of Adobe in a research report on Friday, June 12th. Six equities research 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. According to data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and a consensus target price of $275.00.

Adobe Price Performance

Shares of NASDAQ:ADBE opened at $222.65 on Friday. The business has a fifty day moving average price of $231.24 and a 200-day moving average price of $260.79. The company has a debt-to-equity ratio of 0.42, a current ratio of 0.75 and a quick ratio of 0.75. The company has a market capitalization of $88.50 billion, a PE ratio of 12.74, a PEG ratio of 0.74 and a beta of 1.43. Adobe Inc. has a 1-year low of $190.12 and a 1-year high of $376.16.

Adobe (NASDAQ:ADBE - Get Free Report) last announced its quarterly earnings data on Thursday, June 11th. The software company reported $5.96 EPS for the quarter, beating the consensus estimate 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 revenue for the quarter was up 12.7% on a year-over-year basis. During the same period in the prior year, the firm posted $5.06 EPS. Adobe has set its FY 2026 guidance at 24.350-24.450 EPS and its Q3 2026 guidance at 6.050-6.100 EPS. As a group, equities analysts expect that Adobe Inc. will post 19.8 EPS for the current fiscal year.

Adobe announced that its board has approved a stock repurchase program on Tuesday, April 21st that allows the company to repurchase $25.00 billion in shares. This repurchase authorization allows the software company to purchase up to 24.9% of its stock through open market purchases. Stock repurchase programs are often a sign that the company's board believes its shares are undervalued.

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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