First Merchants Corp Cuts Holdings in Adobe Inc. $ADBE

First Merchants Corp lessened its position in shares of Adobe Inc. (NASDAQ:ADBE) by 27.6% in the third quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 10,054 shares of the software company’s stock after selling 3,836 shares during the period. First Merchants Corp’s holdings in Adobe were worth $3,547,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds also recently added to or reduced their stakes in ADBE. Norges Bank acquired a new position in shares of Adobe in the 2nd quarter valued at about $2,029,950,000. Assenagon Asset Management S.A. raised its holdings in Adobe by 308.1% in the second quarter. Assenagon Asset Management S.A. now owns 3,109,436 shares of the software company’s stock valued at $1,202,979,000 after buying an additional 2,347,562 shares during the period. Kingstone Capital Partners Texas LLC acquired a new position in Adobe during the second quarter valued at approximately $318,224,000. Franklin Resources Inc. grew its stake in Adobe by 68.9% during the second quarter. Franklin Resources Inc. now owns 1,939,018 shares of the software company’s stock worth $750,168,000 after buying an additional 791,077 shares during the period. Finally, Acadian Asset Management LLC grew its stake in Adobe by 218.5% during the second quarter. Acadian Asset Management LLC now owns 1,073,899 shares of the software company’s stock worth $415,434,000 after buying an additional 736,682 shares during the period. 81.79% of the stock is currently owned by institutional investors and hedge funds.

Adobe Stock Performance

ADBE stock opened at $335.99 on Wednesday. The stock’s 50 day simple moving average is $337.28 and its 200 day simple moving average is $350.64. Adobe Inc. has a 12-month low of $311.58 and a 12-month high of $465.70. The firm has a market cap of $140.65 billion, a P/E ratio of 20.11, a P/E/G ratio of 1.31 and a beta of 1.53. 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 announced its quarterly earnings data on Wednesday, December 10th. The software company reported $5.50 earnings per share for the quarter, beating analysts’ consensus estimates of $5.40 by $0.10. The business had revenue of $6.19 billion during the quarter, compared to the consensus estimate of $6.11 billion. Adobe had a net margin of 30.00% and a return on equity of 61.28%. The company’s revenue for the quarter was up 10.5% compared to the same quarter last year. During the same quarter in the prior year, the firm 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 predict that Adobe Inc. will post 16.65 EPS for the current year.

Insider Buying and Selling at Adobe

In other Adobe news, CAO Jillian Forusz sold 149 shares of the firm’s stock in a transaction that occurred on Friday, October 31st. The shares were sold at an average price of $337.88, for a total value of $50,344.12. Following the sale, the chief accounting officer owned 3,426 shares in the company, valued at approximately $1,157,576.88. This trade represents a 4.17% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. 0.16% of the stock is currently owned by company insiders.

Key Headlines Impacting Adobe

Here are the key news stories impacting Adobe this week:

• Neutral Sentiment: Analysts published forward-looking estimates and previews ahead of Adobe’s upcoming quarter, offering mixed expectations but no clear catalyst to reverse the pullback. Research Analysts Offer Predictions for Adobe Q1 Earnings
• Neutral Sentiment: A sector-level, comparative piece reviews Adobe versus peers and highlights competitive pressures and valuation differences — useful context for investors assessing relative strength but not a direct trigger. In-Depth Analysis: Adobe Versus Competitors In Software Industry
• Negative Sentiment: Jefferies downgraded Adobe from Buy to Hold, saying Adobe’s AI “inflection” appears more limited versus peers — the downgrade is the primary near-term driver of selling pressure. Jefferies downgrades Adobe, upgrades IBM as AI reshapes 2026 software outlook
• Negative Sentiment: Coverage and op-eds are amplifying the downgrade impact — several pieces link the Jefferies call to a multi-day selloff and falling market cap, increasing negative sentiment among investors. Why Is Adobe Stock Getting Downgraded?
• Negative Sentiment: Opinion/short pieces argue Adobe looks risky relative to alternatives and suggest rotation into other names; these narratives can accelerate outflows from momentum-focused holders. 3 Reasons ADBE is Risky and 1 Stock to Buy Instead
• Negative Sentiment: Market commentary highlights a sharp start to 2026 for software names (including Adobe) with steep intraday declines, reinforcing sector weakness and risk-off positioning. Salesforce and Adobe Start 2026 With a 5% Plunge—Should Investors Buy or Bail?

Wall Street Analysts Forecast Growth

ADBE has been the topic of a number of research reports. Citigroup raised their target price on shares of Adobe from $366.00 to $387.00 and gave the company a “neutral” rating in a research note on Wednesday, December 17th. Evercore ISI cut their price objective on Adobe from $475.00 to $450.00 and set an “outperform” rating on the stock in a research report on Friday, September 12th. Oppenheimer reduced their price objective on Adobe from $460.00 to $430.00 and set an “outperform” rating on the stock in a research note on Thursday, December 11th. Stifel Nicolaus decreased their target price on Adobe from $480.00 to $450.00 and set a “buy” rating for the company in a research report on Tuesday, December 9th. Finally, Wolfe Research lowered their target price on Adobe from $450.00 to $440.00 and set an “outperform” rating for the company in a research note on Thursday, December 11th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating, twelve have given a Hold rating and three have given a Sell rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus price target of $414.22.

About Adobe

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.