Arax Advisory Partners Sells 32,316 Shares of Adobe Inc. $ADBE

Arax Advisory Partners trimmed its holdings in shares of Adobe Inc. (NASDAQ:ADBE) by 85.9% in the fourth quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 5,325 shares of the software company’s stock after selling 32,316 shares during the quarter. Arax Advisory Partners’ holdings in Adobe were worth $1,831,000 as of its most recent filing with the SEC.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Western Pacific Wealth Management LP acquired a new stake in shares of Adobe during the fourth quarter worth $26,000. Measured Wealth Private Client Group LLC acquired a new stake in shares of Adobe during the third quarter worth $26,000. KERR FINANCIAL PLANNING Corp acquired a new stake in shares of Adobe during the third quarter worth $27,000. Caitlin John LLC acquired a new stake in shares of Adobe during the third quarter worth $28,000. Finally, Beacon Financial Strategies CORP acquired a new stake in shares of Adobe during the fourth quarter worth $28,000. 81.79% of the stock is currently owned by institutional investors and hedge funds.

More 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

Insider Activity

In other news, CEO Shantanu Narayen sold 75,000 shares of Adobe stock in a transaction dated Tuesday, April 28th. The shares were sold at an average price of $243.54, for a total value of $18,265,500.00. Following the completion of the transaction, the chief executive officer owned 359,538 shares of the company’s stock, valued at $87,561,884.52. This trade represents a 17.26% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CAO Jillian Forusz sold 755 shares of Adobe stock in a transaction dated Thursday, April 30th. The shares were sold at an average price of $246.25, for a total transaction 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 approximately $867,046.25. This trade represents a 17.66% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 77,091 shares of company stock valued at $18,782,773 in the last quarter. Company insiders own 0.20% of the company’s stock.

Wall Street Analyst Weigh In

A number of equities research analysts recently commented on ADBE shares. Citigroup restated a “market perform” rating on shares of Adobe in a report on Friday. Morgan Stanley dropped their price objective 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. William Blair lowered shares of Adobe from an “outperform” rating to a “market perform” rating in a report on Thursday, March 26th. Mizuho dropped their price objective on shares of Adobe from $270.00 to $245.00 and set a “neutral” rating on the stock in a report on Friday. Finally, Wall Street Zen lowered shares of Adobe from a “buy” rating to a “hold” rating in a report on Saturday, May 2nd. Five research analysts have rated the stock with a Buy rating, twenty have given a Hold rating and five have assigned 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 $278.16.

Adobe Stock Up 1.1%

Adobe stock opened at $206.36 on Tuesday. The company has a market cap of $83.41 billion, a P/E ratio of 11.81, a price-to-earnings-growth ratio of 0.80 and a beta of 1.42. Adobe Inc. has a 1-year low of $196.90 and a 1-year high of $405.00. The company has a fifty day simple moving average of $243.81 and a 200 day simple moving average of $277.53. The company has a current ratio of 0.75, a quick ratio of 0.91 and a debt-to-equity ratio of 0.42.

Adobe (NASDAQ:ADBE) last released its earnings results on Thursday, June 11th. The software company reported $5.96 earnings per share 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 the consensus estimate of $6.45 billion. Adobe had a net margin of 28.69% and a return on equity of 65.11%. The firm’s revenue for the quarter was up 12.7% compared to the same quarter last year. During the same quarter last year, the firm earned $5.06 earnings per share. Adobe has set its FY 2026 guidance at 24.350-24.450 EPS and its Q3 2026 guidance at 6.050-6.100 EPS. Research analysts anticipate that Adobe Inc. will post 19.14 earnings per share for the current fiscal year.

Adobe declared that its Board of Directors has approved a share repurchase plan 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 plans are generally an indication that the company’s board of directors believes its stock is undervalued.

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.