Brown Advisory Inc. Trims Stake in Adobe Inc. $ADBE

Brown Advisory Inc. trimmed its holdings in shares of Adobe Inc. (NASDAQ:ADBE) by 70.6% in the 4th quarter, Holdings Channel.com reports. The institutional investor owned 80,811 shares of the software company’s stock after selling 193,692 shares during the period. Brown Advisory Inc.’s holdings in Adobe were worth $28,283,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also added to or reduced their stakes in ADBE. Norges Bank purchased a new position in Adobe during the fourth quarter worth about $2,275,165,000. Arrowstreet Capital Limited Partnership grew its position in Adobe by 53.3% during the third quarter. Arrowstreet Capital Limited Partnership now owns 5,617,145 shares of the software company’s stock worth $1,981,448,000 after buying an additional 1,952,994 shares in the last quarter. Dodge & Cox grew its position in Adobe by 8,006.6% during the third quarter. Dodge & Cox now owns 1,593,506 shares of the software company’s stock worth $562,109,000 after buying an additional 1,573,849 shares in the last quarter. AQR Capital Management LLC grew its position in Adobe by 55.2% during the third quarter. AQR Capital Management LLC now owns 2,587,399 shares of the software company’s stock worth $912,705,000 after buying an additional 920,353 shares in the last quarter. Finally, Amundi lifted its stake in Adobe by 17.9% during the third quarter. Amundi now owns 4,888,283 shares of the software company’s stock worth $1,711,583,000 after purchasing an additional 742,646 shares during the last quarter. 81.79% of the stock is currently owned by hedge funds and other institutional investors.

Insider Buying and Selling at Adobe

In other Adobe news, CFO Daniel Durn sold 1,336 shares of the company’s stock in a transaction that occurred 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 completion of the transaction, the chief financial officer owned 42,833 shares of the company’s stock, valued at $10,623,440.66. This represents a 3.02% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, CAO Jillian Forusz sold 755 shares of the stock in a transaction that occurred on Thursday, April 30th. The stock was sold at an average price of $246.25, for a total value of $185,918.75. Following the completion of the transaction, the chief accounting officer directly owned 3,521 shares of the company’s stock, valued at $867,046.25. This represents a 17.66% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 77,091 shares of company stock valued at $18,782,773 in the last 90 days. Insiders own 0.20% of the company’s stock.

Wall Street Analyst Weigh In

Several equities research analysts have issued reports on ADBE shares. Evercore set a $225.00 price target on Adobe and gave the stock an “in-line” rating in a research note on Friday. Piper Sandler dropped their price target on Adobe from $280.00 to $240.00 and set a “neutral” rating for the company in a research note on Friday. Argus reaffirmed a “hold” rating on shares of Adobe in a research note on Monday, March 16th. JPMorgan Chase & Co. dropped their price target on Adobe from $420.00 to $340.00 and set an “overweight” rating for the company in a research note on Friday. Finally, UBS Group set a $365.00 price target on Adobe in a research note on Friday. Five research analysts have rated the stock with a Buy rating, twenty have issued a Hold rating and five have given a Sell rating to the company. According to data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus price target of $278.16.

Key Adobe News

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Several analysts and market commentators argue Adobe looks unusually cheap after the selloff, citing valuation below 10x earnings, strong Q2 results, and raised guidance as reasons the stock could recover. Article Title
• Positive Sentiment: Articles from 247WallSt, Seeking Alpha, and other outlets highlight the gap between Adobe’s strong fundamentals and its depressed share price, with some calling it a buying opportunity and assigning significant upside targets. Article Title
• Positive Sentiment: AI product adoption remains a support for the bull case, with reports saying Adobe’s AI tools such as Firefly are gaining users, even if the company still needs to convert that usage into stronger revenue growth. Article Title
• Neutral Sentiment: Some coverage frames the stock as undervalued or a “bargain,” but this is mostly valuation commentary rather than a fresh operational catalyst. Article Title
• Negative Sentiment: Bearish commentary continues to weigh on sentiment, with analysts and options-market-based reports warning that investors still doubt Adobe’s growth durability and AI monetization, which may explain why the stock remains under pressure despite the earnings beat. Article Title
• Negative Sentiment: Ongoing headlines about a “continued deceleration,” “value trap” concerns, and fears around strategic transition risk and leadership changes suggest investors are still skeptical that Adobe can reaccelerate growth soon. Article Title

Adobe Trading Up 1.1%

ADBE opened at $206.36 on Tuesday. The business has a 50 day simple moving average of $243.81 and a two-hundred day simple moving average of $277.53. The firm has a market capitalization of $83.41 billion, a price-to-earnings ratio of 11.81, a PEG ratio of 0.80 and a beta of 1.42. The company has a debt-to-equity ratio of 0.42, a current ratio of 0.75 and a quick ratio of 0.91. Adobe Inc. has a one year low of $196.90 and a one year high of $405.00.

Adobe (NASDAQ:ADBE) last released its quarterly earnings results on Thursday, June 11th. The software company reported $5.96 EPS for the quarter, beating analysts’ consensus estimates of $5.82 by $0.14. The business had revenue of $6.62 billion during the quarter, compared to analyst estimates of $6.45 billion. Adobe had a return on equity of 65.11% and a net margin of 28.69%.Adobe’s quarterly revenue was up 12.7% compared to the same quarter last year. During the same quarter in the prior year, the company posted $5.06 EPS. Adobe has set its FY 2026 guidance at 24.350-24.450 EPS and its Q3 2026 guidance at 6.050-6.100 EPS. Analysts predict that Adobe Inc. will post 19.14 EPS for the current year.

Adobe declared that its Board of Directors has initiated a stock repurchase program on Tuesday, April 21st that permits the company to repurchase $25.00 billion in shares. This repurchase authorization permits the software company to buy up to 24.9% of its shares through open market purchases. Shares repurchase programs are generally a sign that the company’s board believes its shares are undervalued.

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.