Magellan Asset Management Ltd Acquires 7,936 Shares of Adobe Inc. (NASDAQ:ADBE)

Key Points

• Magellan Asset Management Ltd significantly increased its holdings in Adobe Inc. by purchasing an additional 7,936 shares, resulting in a 5,511.1% growth in its position during the first quarter.
• Adobe reported earnings of $5.06 per share for the recent quarter, surpassing analyst expectations and reflecting a 10.6% revenue increase year-over-year.
• Analysts maintain a consensus ratings of "Moderate Buy" for Adobe, with a target price indicating substantial growth potential, currently averaging around $473.88.

Magellan Asset Management Ltd lifted its stake in shares of Adobe Inc. (NASDAQ:ADBE - Free Report) by 5,511.1% during the 1st quarter, according to its most recent Form 13F filing with the SEC. The fund owned 8,080 shares of the software company's stock after purchasing an additional 7,936 shares during the period. Magellan Asset Management Ltd's holdings in Adobe were worth $3,099,000 as of its most recent filing with the SEC.

Several other large investors have also recently added to or reduced their stakes in the company. Cadence Bank boosted its stake in Adobe by 0.5% in the 4th quarter. Cadence Bank now owns 4,883 shares of the software company's stock worth $2,171,000 after purchasing an additional 22 shares during the period. Eagle Strategies LLC boosted its stake in Adobe by 1.5% in the 4th quarter. Eagle Strategies LLC now owns 1,465 shares of the software company's stock worth $651,000 after purchasing an additional 22 shares during the period. RB Capital Management LLC boosted its stake in Adobe by 0.4% in the 4th quarter. RB Capital Management LLC now owns 4,944 shares of the software company's stock worth $2,198,000 after purchasing an additional 22 shares during the period. Orin Green Financial LLC boosted its stake in Adobe by 3.8% in the 4th quarter. Orin Green Financial LLC now owns 621 shares of the software company's stock worth $276,000 after purchasing an additional 23 shares during the period. Finally, Diligent Investors LLC boosted its stake in Adobe by 1.2% in the 4th quarter. Diligent Investors LLC now owns 2,160 shares of the software company's stock worth $961,000 after purchasing an additional 26 shares during the period. 81.79% of the stock is currently owned by institutional investors.

Adobe Stock Performance

Shares of NASDAQ:ADBE traded down $7.40 on Monday, hitting $333.65. 4,360,234 shares of the company were exchanged, compared to its average volume of 3,799,113. The company's 50 day moving average price is $378.55 and its two-hundred day moving average price is $395.47. Adobe Inc. has a one year low of $332.01 and a one year high of $587.75. The company has a debt-to-equity ratio of 0.54, a quick ratio of 0.99 and a current ratio of 0.99. The firm has a market capitalization of $141.53 billion, a price-to-earnings ratio of 21.35, a PEG ratio of 1.62 and a beta of 1.51.

Adobe (NASDAQ:ADBE - Get Free Report) last posted its quarterly earnings data on Thursday, June 12th. The software company reported $5.06 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.97 by $0.09. Adobe had a net margin of 30.39% and a return on equity of 53.68%. The company had revenue of $5.87 billion for the quarter, compared to the consensus estimate of $5.80 billion. During the same quarter in the previous year, the firm posted $4.48 EPS. The business's revenue was up 10.6% compared to the same quarter last year. Research analysts expect that Adobe Inc. will post 16.65 earnings per share for the current year.

Wall Street Analyst Weigh In

A number of equities research analysts have issued reports on ADBE shares. Mizuho decreased their target price on shares of Adobe from $575.00 to $530.00 and set an "outperform" rating for the company in a research note on Friday, June 13th. Citigroup dropped their target price on Adobe from $465.00 to $450.00 and set a "neutral" rating on the stock in a research report on Monday, June 16th. Royal Bank Of Canada reiterated an "outperform" rating and set a $480.00 price target on shares of Adobe in a report on Thursday, June 5th. Redburn Atlantic downgraded Adobe from a "hold" rating to a "strong sell" rating and dropped their price objective for the stock from $420.00 to $280.00 in a report on Wednesday, July 2nd. Finally, Melius lowered shares of Adobe from a "hold" rating to a "sell" rating and set a $310.00 price objective on the stock. in a research report on Monday. Three research analysts have rated the stock with a sell rating, eight have issued a hold rating, sixteen have issued a buy rating and two have given a strong buy rating to the company's stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $467.58.

Adobe Profile

Adobe Inc, together with its subsidiaries, operates as a diversified software company worldwide. It operates through three segments: Digital Media, Digital Experience, and Publishing and Advertising. The Digital Media segment offers products, services, and solutions that enable individuals, teams, and enterprises to create, publish, and promote content; and Document Cloud, a unified cloud-based document services platform.