MYDA Advisors LLC Acquires 10,000 Shares of Adobe Inc. $ADBE

Key Points

• MYDA Advisors LLC increased its Adobe stake by 357.1% in the fourth quarter, buying 10,000 additional shares and bringing its total holdings to 12,800 shares valued at about $4.48 million.
• Adobe reported strong quarterly results, with EPS of $5.96 and revenue of $6.62 billion, both above expectations, while also raising full-year guidance on continued AI-driven demand and subscription growth.
• The company is facing mixed signals from the market: it authorized a $25 billion share buyback and saw heavy institutional ownership, but analysts have been cutting price targets and insiders, including the CEO and CFO, recently sold shares.

MYDA Advisors LLC boosted its holdings in shares of Adobe Inc. (NASDAQ:ADBE - Free Report) by 357.1% during the fourth quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 12,800 shares of the software company's stock after acquiring an additional 10,000 shares during the quarter. Adobe accounts for about 0.9% of MYDA Advisors LLC's portfolio, making the stock its 27th largest position. MYDA Advisors LLC's holdings in Adobe were worth $4,480,000 at the end of the most recent quarter.

A number of other institutional investors have also recently added to or reduced their stakes in the business. Vanguard Group Inc. lifted its position in shares of Adobe by 0.8% in the 3rd quarter. Vanguard Group Inc. now owns 41,369,395 shares of the software company's stock worth $14,593,054,000 after purchasing an additional 344,816 shares during the period. State Street Corp lifted its position in shares of Adobe by 1.7% in the 3rd 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 during the period. Geode Capital Management LLC lifted its position in shares of Adobe by 3.7% in the 4th quarter. Geode Capital Management LLC now owns 11,531,678 shares of the software company's stock worth $4,027,170,000 after purchasing an additional 414,049 shares during the period. Norges Bank acquired a new position in shares of Adobe in the 4th quarter worth approximately $2,275,165,000. Finally, Arrowstreet Capital Limited Partnership lifted its position in shares of Adobe by 10.9% in the 4th quarter. Arrowstreet Capital Limited Partnership now owns 6,228,503 shares of the software company's stock worth $2,179,914,000 after purchasing an additional 611,358 shares during the period. 81.79% of the stock is owned by institutional investors.

Adobe Price Performance

Adobe stock opened at $204.02 on Monday. The company has a quick ratio of 0.91, a current ratio of 0.75 and a debt-to-equity ratio of 0.42. Adobe Inc. has a 12-month low of $196.90 and a 12-month high of $405.00. The firm's fifty day moving average is $244.54 and its 200 day moving average is $278.32. The company has a market capitalization of $82.46 billion, a PE ratio of 11.67, a PEG ratio of 0.80 and a beta of 1.42.

Adobe (NASDAQ:ADBE - Get Free Report) last released its earnings results on Thursday, June 11th. The software company reported $5.96 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $5.82 by $0.14. Adobe had a net margin of 28.69% and a return on equity of 65.11%. The company had revenue of $6.62 billion for the quarter, compared to the consensus estimate of $6.45 billion. During the same quarter in the previous year, the company earned $5.06 EPS. Adobe's quarterly 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. As a group, sell-side analysts predict that Adobe Inc. will post 19.14 EPS for the current fiscal year.

Adobe declared that its board has authorized a stock buyback program on Tuesday, April 21st that allows the company to buyback $25.00 billion in outstanding shares. This buyback authorization allows the software company to reacquire up to 24.9% of its stock through open market purchases. Stock buyback programs are usually an indication that the company's management believes its stock is undervalued.

More Adobe News

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Adobe reported record Q2 revenue of $6.62 billion and EPS of $5.96, both above expectations, while also raising full-year revenue and earnings guidance. The company said AI-driven demand and stronger subscription spending supported results. Adobe Reports Record Q2 Results
• Positive Sentiment: Management highlighted accelerating adoption of Adobe’s AI tools, with AI-first annual recurring revenue topping $500 million, which supports the long-term growth case. Adobe Q2 Earnings Beat Estimates, Revenues Up Y/Y, Shares Fall
• Neutral Sentiment: Despite the beat, Adobe signaled a strategic shift toward freemium AI products and prioritizing user growth over immediate monetization, which adds uncertainty around near-term ARR growth. ADBE Q2 Earnings Call Centers on Freemium AI Push, Raised Outlook
• Negative Sentiment: Investors were rattled by the sudden departure of CFO Dan Durn, which adds to leadership uncertainty while Adobe is also in the middle of a CEO succession process. Adobe raises annual revenue forecast, CFO to exit
• Negative Sentiment: Wall Street reacted with multiple price-target cuts and downgrades, reflecting concerns that Adobe’s core growth may be decelerating and that AI monetization is still not proven. Leadership Exits, Decelerating Core Growth Cloud Adobe's Earnings Beat

Insider Activity at Adobe

In other Adobe news, CEO Shantanu Narayen sold 75,000 shares of the company's stock in a transaction 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 transaction, the chief executive officer owned 359,538 shares in the company, valued at approximately $87,561,884.52. This represents a 17.26% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, CFO Daniel Durn sold 1,336 shares of the company's stock in a transaction on Monday, April 20th. The stock was sold at an average price of $248.02, for a total transaction of $331,354.72. Following the transaction, the chief financial officer owned 42,833 shares in the company, valued at approximately $10,623,440.66. The trade was a 3.02% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 77,091 shares of company stock worth $18,782,773 in the last quarter. Company insiders own 0.20% of the company's stock.

Wall Street Analyst Weigh In

A number of brokerages have recently issued reports on ADBE. Wells Fargo & Company dropped their price target on shares of Adobe from $330.00 to $250.00 and set an "overweight" rating on the stock in a research report on Friday. UBS Group set a $365.00 price target on shares of Adobe in a research report on Friday. Barclays dropped their price target on shares of Adobe from $275.00 to $250.00 and set an "equal weight" rating on the stock in a research report on Friday. Deutsche Bank Aktiengesellschaft restated a "hold" rating on shares of Adobe in a research report on Friday, March 13th. Finally, Morgan Stanley dropped their price target on shares of Adobe from $425.00 to $365.00 and set an "equal weight" rating on the stock in a research report on Friday, March 13th. One equities research analyst has rated the stock with a Strong Buy rating, five have assigned a Buy rating, twenty have assigned a Hold rating and five have given a Sell rating to the stock. Based on data from MarketBeat, Adobe currently has an average rating of "Hold" and a consensus price target of $278.16.

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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