Adobe Inc. $ADBE Stake Lessened by Dimensional Fund Advisors LP

Dimensional Fund Advisors LP lessened its holdings in Adobe Inc. (NASDAQ:ADBE) by 1.2% in the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 1,859,384 shares of the software company’s stock after selling 22,785 shares during the period. Dimensional Fund Advisors LP owned about 0.46% of Adobe worth $451,975,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also modified their holdings of the business. Western Pacific Wealth Management LP purchased a new stake in Adobe in the 4th quarter worth about $26,000. Measured Wealth Private Client Group LLC bought a new stake in shares of Adobe in the 3rd quarter valued at approximately $26,000. Beacon Financial Strategies CORP acquired a new position in Adobe in the fourth quarter worth approximately $28,000. Marquette Asset Management LLC increased its holdings in Adobe by 72.3% in the fourth quarter. Marquette Asset Management LLC now owns 81 shares of the software company’s stock worth $28,000 after buying an additional 34 shares during the last quarter. Finally, TrustBank bought a new stake in Adobe in the fourth quarter worth approximately $28,000. Hedge funds and other institutional investors own 81.79% of the company’s stock.

Adobe Stock Down 1.1%

Shares of ADBE opened at $234.74 on Tuesday. The company has a debt-to-equity ratio of 0.42, a quick ratio of 0.75 and a current ratio of 0.75. The company has a 50-day simple moving average of $228.35 and a 200-day simple moving average of $254.68. Adobe Inc. has a 52 week low of $190.12 and a 52 week high of $376.16. The firm has a market capitalization of $93.31 billion, a P/E ratio of 13.43, a P/E/G ratio of 0.80 and a beta of 1.43.

Adobe (NASDAQ:ADBE) last released its earnings results on Thursday, June 11th. The software company reported $5.96 earnings per share for the quarter, topping analysts’ consensus estimates of $5.82 by $0.14. Adobe had a return on equity of 65.11% and a net margin of 28.69%.The business had revenue of $6.62 billion for the quarter, compared to the consensus estimate of $6.45 billion. During the same period last year, the business earned $5.06 earnings per share. The firm’s revenue for the quarter was up 12.7% compared to the same quarter last year. Adobe has set its FY 2026 guidance at 24.350-24.450 EPS and its Q3 2026 guidance at 6.050-6.100 EPS. On average, equities research analysts expect that Adobe Inc. will post 19.81 earnings per share for the current year.

Adobe announced that its board has authorized a share repurchase plan on Tuesday, April 21st that authorizes the company to buyback $25.00 billion in outstanding shares. This buyback authorization authorizes the software company to purchase up to 24.9% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s management believes its shares are undervalued.

Key Headlines Impacting Adobe

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Adobe is adding new AI-powered features to its experimental Project Indigo camera app, including LLM-based photo critiques and editing suggestions, reinforcing the company’s AI product momentum and showing continued innovation in consumer-facing tools. Adobe camera app’s new feature will critique your photos using AI
• Positive Sentiment: Adobe was highlighted as a strong value stock in a Zacks screen, which may support investor confidence by reinforcing the stock’s valuation appeal after its pullback. Here’s Why Adobe Systems (ADBE) is a Strong Value Stock
• Neutral Sentiment: Recent coverage placing Adobe among top digital media stocks to watch does not point to a new catalyst, but it keeps the name on investors’ radar. Top Digital Media Stocks To Watch Today – July 17th
• Neutral Sentiment: Adobe’s stock was noted as dipping more than the broader market in the latest session, suggesting the decline was modest and may have been driven by general trading weakness rather than company-specific bad news. Why Adobe Systems (ADBE) Dipped More Than Broader Market Today
• Negative Sentiment: Adobe CEO Shantanu Narayen sold 4,112 shares for about $923,000, a move some investors may view as a mild negative signal even though it represented only a small reduction in his overall stake. Here’s What the Adobe CEO’s Sale of Company Shares for Over $900,000 Means for Investors.

Analyst Ratings Changes

A number of research analysts have recently weighed in on the stock. UBS Group set a $365.00 price target on shares of Adobe in a report on Friday, June 12th. BMO Capital Markets lowered their price objective on Adobe from $285.00 to $230.00 and set a “market perform” rating on the stock in a report on Friday, June 12th. Piper Sandler cut their price objective on Adobe from $280.00 to $240.00 and set a “neutral” rating on the stock in a research note on Friday, June 12th. Wolfe Research lowered Adobe from an “outperform” rating to a “peer perform” rating in a report on Friday, June 12th. Finally, DA Davidson cut their target price on shares of Adobe from $300.00 to $250.00 and set a “buy” rating for the company in a research report on Friday, June 12th. Seven analysts have rated the stock with a Buy rating, twenty-two have assigned a Hold rating and five have issued a Sell rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and an average price target of $275.93.

Insider Buying and Selling at Adobe

In other news, CEO Shantanu Narayen sold 75,000 shares of the firm’s stock in a transaction dated Tuesday, April 28th. The shares were sold at an average price of $243.54, for a total transaction of $18,265,500.00. Following the completion of the transaction, the chief executive officer directly owned 359,538 shares of the company’s stock, valued at approximately $87,561,884.52. This trade represents a 17.26% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. 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 sale, the chief accounting officer owned 3,521 shares in the company, valued at approximately $867,046.25. This trade represents a 17.66% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders own 0.20% of the company’s stock.

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.