Adobe (NASDAQ:ADBE) Rating Lowered to Hold at Wall Street Zen

Adobe (NASDAQ:ADBE) was downgraded by Wall Street Zen from a “buy” rating to a “hold” rating in a note issued to investors on Sunday.

ADBE has been the subject of several other research reports. Barclays reaffirmed an “overweight” rating and issued a $415.00 target price on shares of Adobe in a report on Friday, December 5th. Morgan Stanley lowered their price objective on Adobe from $450.00 to $425.00 and set an “equal weight” rating on the stock in a research report on Thursday. DA Davidson reaffirmed a “buy” rating and issued a $500.00 price objective on shares of Adobe in a research note on Thursday. Stifel Nicolaus decreased their target price on Adobe from $480.00 to $450.00 and set a “buy” rating on the stock in a research note on Tuesday. Finally, Citigroup lowered their price target on Adobe from $400.00 to $366.00 and set a “neutral” rating on the stock in a report on Thursday, December 4th. One investment analyst has rated the stock with a Strong Buy rating, fourteen have assigned a Buy rating, eleven have given a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of “Hold” and an average target price of $413.19.

Adobe Trading Up 1.7%

Shares of NASDAQ:ADBE opened at $356.43 on Friday. The stock has a 50 day moving average of $336.07 and a 200 day moving average of $357.48. The company has a market cap of $149.20 billion, a PE ratio of 21.33, a price-to-earnings-growth ratio of 1.31 and a beta of 1.54. Adobe has a 12-month low of $311.58 and a 12-month high of $474.91. The company has a current ratio of 1.00, a quick ratio of 1.02 and a debt-to-equity ratio of 0.53.

Adobe (NASDAQ:ADBE) last released its earnings results on Wednesday, December 10th. The software company reported $5.50 EPS for the quarter, topping analysts’ consensus estimates of $5.40 by $0.10. The company had revenue of $6.19 billion for the quarter, compared to analysts’ expectations of $6.11 billion. Adobe had a net margin of 30.00% and a return on equity of 61.28%. The firm’s revenue was up 10.5% compared to the same quarter last year. During the same quarter last year, the business earned $4.81 EPS. Adobe has set its Q1 2026 guidance at 5.850-5.900 EPS and its FY 2026 guidance at 23.300-23.500 EPS. As a group, equities research analysts expect that Adobe will post 16.65 EPS for the current year.

Insider Transactions at Adobe

In other Adobe news, CAO Jillian Forusz sold 149 shares of the company’s stock in a transaction dated Friday, October 31st. The stock was sold at an average price of $337.88, for a total value of $50,344.12. Following the completion of the sale, the chief accounting officer owned 3,426 shares in the company, valued at $1,157,576.88. This represents a 4.17% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. Corporate insiders own 0.16% of the company’s stock.

Hedge Funds Weigh In On Adobe

A number of hedge funds have recently made changes to their positions in ADBE. Lathrop Investment Management Co. increased its holdings in Adobe by 2.8% in the 2nd quarter. Lathrop Investment Management Co. now owns 26,544 shares of the software company’s stock worth $10,269,000 after buying an additional 718 shares during the period. Mcdaniel Terry & Co. raised its position in Adobe by 2.8% during the second quarter. Mcdaniel Terry & Co. now owns 39,507 shares of the software company’s stock worth $15,284,000 after acquiring an additional 1,093 shares during the period. Jackson Thornton Wealth Management LLC acquired a new stake in Adobe in the 2nd quarter worth about $328,000. Bourgeon Capital Management LLC increased its position in shares of Adobe by 41.0% during the second quarter. Bourgeon Capital Management LLC now owns 24,680 shares of the software company’s stock worth $9,548,000 after purchasing an additional 7,176 shares in the last quarter. Finally, World Investment Advisors lifted its stake in shares of Adobe by 8.0% in the second quarter. World Investment Advisors now owns 24,197 shares of the software company’s stock worth $9,361,000 after buying an additional 1,794 shares in the last quarter. Institutional investors own 81.79% of the company’s stock.

Adobe Company 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.