PBU The Pension Fund of Early Childhood & Youth Educators Invests $12.44 Million in Adobe Inc. $ADBE

Key Points

• PBU The Pension Fund of Early Childhood & Youth Educators opened a new position in Adobe during Q4, buying 35,539 shares valued at about $12.44 million.
• Adobe’s latest earnings topped expectations, with $6.06 EPS versus $5.87 expected and $6.40 billion in revenue, up 12% from a year earlier. The company also issued FY2026 guidance and remains profitable with strong margins and return on equity.
• Adobe’s board authorized a massive $25 billion share buyback, allowing repurchases of up to 24.9% of outstanding shares. At the same time, several top executives sold stock recently, while analysts remain mixed with a consensus rating of Hold.

PBU The Pension Fund of Early Childhood & Youth Educators purchased a new position in shares of Adobe Inc. (NASDAQ:ADBE - Free Report) during the fourth quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund purchased 35,539 shares of the software company's stock, valued at approximately $12,438,000.

A number of other hedge funds also recently modified their holdings of ADBE. Brighton Jones LLC lifted its holdings in shares of Adobe by 2.1% during the fourth quarter. Brighton Jones LLC now owns 8,068 shares of the software company's stock worth $3,588,000 after purchasing an additional 167 shares during the period. Sivia Capital Partners LLC lifted its holdings in Adobe by 25.5% in the second quarter. Sivia Capital Partners LLC now owns 2,394 shares of the software company's stock valued at $926,000 after buying an additional 486 shares during the period. United Bank lifted its holdings in Adobe by 12.8% in the second quarter. United Bank now owns 3,773 shares of the software company's stock valued at $1,460,000 after buying an additional 428 shares during the period. Schnieders Capital Management LLC. lifted its holdings in Adobe by 7.8% in the second quarter. Schnieders Capital Management LLC. now owns 2,630 shares of the software company's stock valued at $1,017,000 after buying an additional 190 shares during the period. Finally, Gamco Investors INC. ET AL lifted its holdings in Adobe by 190.6% in the second quarter. Gamco Investors INC. ET AL now owns 2,764 shares of the software company's stock valued at $1,069,000 after buying an additional 1,813 shares during the period. Institutional investors and hedge funds own 81.79% of the company's stock.

Adobe Trading Down 2.7%

ADBE opened at $251.44 on Friday. Adobe Inc. has a 1-year low of $224.13 and a 1-year high of $419.82. The company has a current ratio of 0.91, a quick ratio of 0.91 and a debt-to-equity ratio of 0.47. The company has a market cap of $101.63 billion, a P/E ratio of 14.64, a price-to-earnings-growth ratio of 1.01 and a beta of 1.42. The company has a fifty day moving average price of $245.80 and a two-hundred day moving average price of $281.86.

Adobe (NASDAQ:ADBE - Get Free Report) last posted its quarterly earnings results on Thursday, March 12th. The software company reported $6.06 earnings per share for the quarter, beating the consensus estimate of $5.87 by $0.19. Adobe had a net margin of 29.48% and a return on equity of 64.48%. The firm had revenue of $6.40 billion during the quarter, compared to the consensus estimate of $6.28 billion. During the same period in the previous year, the firm posted $5.08 earnings per share. The business's revenue was up 12.0% compared to the same quarter last year. Adobe has set its FY 2026 guidance at 23.300-23.500 EPS and its Q2 2026 guidance at 5.800-5.850 EPS. Analysts predict that Adobe Inc. will post 19.14 EPS for the current fiscal year.

Adobe announced that its board has authorized a share buyback program 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 stock through open market purchases. Stock repurchase programs are generally a sign that the company's board of directors believes its stock is undervalued.

Insider Buying and Selling at Adobe

In other Adobe news, CAO Jillian Forusz sold 755 shares of Adobe stock in a transaction on Thursday, April 30th. The shares were sold at an average price of $246.25, for a total value of $185,918.75. Following the completion of the sale, the chief accounting officer directly owned 3,521 shares of the company's stock, valued at approximately $867,046.25. The trade was a 17.66% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Shantanu Narayen sold 75,000 shares of Adobe 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 completion of the sale, the chief executive officer directly owned 359,538 shares of the company's stock, valued at approximately $87,561,884.52. This trade represents a 17.26% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 77,091 shares of company stock valued at $18,782,773. Corporate insiders own 0.20% of the company's stock.

Analyst Upgrades and Downgrades

Several research firms recently issued reports on ADBE. Morgan Stanley dropped their target price on shares of Adobe from $425.00 to $365.00 and set an "equal weight" rating on the stock in a report on Friday, March 13th. HSBC set a $302.00 target price on shares of Adobe in a report on Friday, February 13th. Jefferies Financial Group dropped their target price on shares of Adobe from $400.00 to $290.00 and set a "hold" rating on the stock in a report on Monday, February 23rd. Stifel Nicolaus dropped their target price on shares of Adobe from $450.00 to $400.00 and set a "buy" rating on the stock in a report on Friday, March 13th. Finally, Sanford C. Bernstein set a $447.00 target price on shares of Adobe and gave the company an "outperform" rating in a report on Friday, March 13th. One research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating, seventeen have assigned a Hold rating and five have assigned a Sell rating to the company's stock. Based on data from MarketBeat, Adobe has an average rating of "Hold" and a consensus target price of $337.62.

Adobe News Roundup

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Royal Bank of Canada reaffirmed its Outperform rating on Adobe and kept a $350 price target, implying meaningful upside from current levels. This suggests some analysts still see attractive valuation and earnings potential ahead. Benzinga
• Positive Sentiment: Multiple previews ahead of Adobe’s June 11 fiscal Q2 earnings report say Wall Street expects earnings growth and a potential beat, which could support the stock if results and guidance come in stronger than expected. Yahoo Finance
• Neutral Sentiment: Coverage this week highlighted that Adobe is getting closer to choosing its next CEO, with internal and external candidates under review. Leadership transition talk adds uncertainty, but it could also be viewed as a strategic reset in the AI era. Yahoo Finance
• Negative Sentiment: Investor anxiety continues to build around Adobe’s competitive moat, with one recent article arguing that AI could threaten the “Adobe era” and help explain why the stock has fallen sharply from its 2025 highs. The Motley Fool
• Negative Sentiment: Recent market commentary also noted Adobe has been falling more than the broader market, reflecting ongoing skepticism ahead of earnings and broader concerns about growth durability. Zacks

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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