What is Zacks Research's Forecast for Adobe FY2025 Earnings?

Key Points

• Zacks Research has raised its FY2025 earnings per share (EPS) estimate for Adobe to $17.02, up from $16.81, surpassing the consensus estimate of $16.65.
• Bank of America has increased its target price for Adobe shares from $424 to $475 and maintains a "buy" rating, while other analysts have varying ratings and price targets.
• Adobe reported Q3 earnings of $5.31 per share, exceeding expectations, with a year-over-year revenue increase of 10.7% totaling $5.99 billion.

Adobe Inc. (NASDAQ:ADBE - Free Report) - Investment analysts at Zacks Research raised their FY2025 earnings per share (EPS) estimates for shares of Adobe in a report issued on Wednesday, September 24th. Zacks Research analyst Team now expects that the software company will post earnings of $17.02 per share for the year, up from their prior forecast of $16.81. The consensus estimate for Adobe's current full-year earnings is $16.65 per share. Zacks Research also issued estimates for Adobe's Q4 2025 earnings at $4.36 EPS, Q1 2026 earnings at $4.60 EPS, Q2 2026 earnings at $4.57 EPS, Q3 2026 earnings at $4.73 EPS, Q4 2026 earnings at $5.05 EPS, FY2026 earnings at $18.95 EPS, Q1 2027 earnings at $4.69 EPS, Q2 2027 earnings at $5.51 EPS, Q3 2027 earnings at $5.87 EPS and FY2027 earnings at $20.50 EPS.

Several other research analysts have also issued reports on ADBE. Bank of America increased their target price on shares of Adobe from $424.00 to $475.00 and gave the stock a "buy" rating in a research note on Friday, June 13th. Redburn Atlantic downgraded Adobe from a "hold" rating to a "strong sell" rating and reduced their target price for the company from $420.00 to $280.00 in a research note on Wednesday, July 2nd. Phillip Securities raised Adobe from a "moderate sell" rating to a "strong-buy" rating in a research report on Monday, June 16th. Robert W. Baird increased their price target on Adobe from $410.00 to $425.00 and gave the stock a "neutral" rating in a report on Monday, June 16th. Finally, Oppenheimer decreased their price objective on Adobe from $500.00 to $460.00 and set an "outperform" rating for the company in a report on Tuesday, September 9th. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, ten have issued a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat, Adobe currently has an average rating of "Hold" and an average target price of $433.41.

Adobe Stock Performance

Shares of ADBE stock opened at $360.37 on Monday. The firm has a 50 day moving average of $355.25 and a 200-day moving average of $373.60. The company has a market cap of $150.85 billion, a price-to-earnings ratio of 22.45, a price-to-earnings-growth ratio of 1.62 and a beta of 1.48. The company has a quick ratio of 1.02, a current ratio of 1.02 and a debt-to-equity ratio of 0.53. Adobe has a 52 week low of $330.04 and a 52 week high of $557.90.

Adobe (NASDAQ:ADBE - Get Free Report) last released its earnings results on Thursday, September 11th. The software company reported $5.31 EPS for the quarter, topping the consensus estimate of $5.18 by $0.13. Adobe had a return on equity of 57.54% and a net margin of 30.01%.The business had revenue of $5.99 billion during the quarter, compared to analysts' expectations of $5.91 billion. During the same quarter last year, the firm posted $4.65 earnings per share. The firm's revenue was up 10.7% on a year-over-year basis. Adobe has set its FY 2025 guidance at 20.800-20.850 EPS. Q4 2025 guidance at 5.350-5.400 EPS.

Institutional Investors Weigh In On Adobe

A number of institutional investors and hedge funds have recently bought and sold shares of ADBE. Schmidt P J Investment Management Inc. increased its position in shares of Adobe by 2.9% in the first quarter. Schmidt P J Investment Management Inc. now owns 896 shares of the software company's stock worth $344,000 after acquiring an additional 25 shares in the last quarter. GS Investments Inc. boosted its position in Adobe by 0.3% during the 1st quarter. GS Investments Inc. now owns 7,563 shares of the software company's stock worth $2,901,000 after purchasing an additional 26 shares during the period. Ted Buchan & Co increased its holdings in Adobe by 1.9% in the 1st quarter. Ted Buchan & Co now owns 1,368 shares of the software company's stock valued at $525,000 after purchasing an additional 26 shares in the last quarter. Lifeworks Advisors LLC raised its position in Adobe by 3.6% in the first quarter. Lifeworks Advisors LLC now owns 786 shares of the software company's stock valued at $301,000 after purchasing an additional 27 shares during the period. Finally, VanderPol Investments L.L.C. lifted its stake in shares of Adobe by 5.2% during the first quarter. VanderPol Investments L.L.C. now owns 546 shares of the software company's stock worth $209,000 after purchasing an additional 27 shares in the last quarter. 81.79% of the stock is owned by hedge funds and other institutional investors.

About Adobe

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.

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