Adobe (NASDAQ:ADBE) Issues Earnings Results

Adobe (NASDAQ:ADBE) released its quarterly earnings results on Wednesday. The software company reported $4.28 EPS for the quarter, missing the consensus estimate of $4.97 by ($0.69), Zacks reports. Adobe had a net margin of 25.85% and a return on equity of 45.87%.

Adobe Price Performance

ADBE stock traded up $4.94 during trading on Wednesday, hitting $438.60. The stock had a trading volume of 4,818,528 shares, compared to its average volume of 3,394,629. The stock has a market capitalization of $190.97 billion, a P/E ratio of 35.37, a PEG ratio of 2.15 and a beta of 1.37. The company’s 50-day moving average price is $439.13 and its two-hundred day moving average price is $484.86. Adobe has a twelve month low of $403.75 and a twelve month high of $587.75. The company has a debt-to-equity ratio of 0.29, a current ratio of 1.07 and a quick ratio of 1.07.

Insider Transactions at Adobe

In other news, EVP Scott Belsky sold 3,819 shares of the firm’s stock in a transaction dated Monday, January 27th. The shares were sold at an average price of $430.24, for a total value of $1,643,086.56. Following the transaction, the executive vice president now directly owns 18,334 shares of the company’s stock, valued at approximately $7,888,020.16. This trade represents a 17.24 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, Director David A. Ricks acquired 2,250 shares of the company’s stock in a transaction that occurred on Tuesday, January 28th. The shares were acquired at an average cost of $443.98 per share, with a total value of $998,955.00. Following the purchase, the director now owns 4,984 shares in the company, valued at $2,212,796.32. This represents a 82.30 % increase in their position. The disclosure for this purchase can be found here. Insiders have sold 5,075 shares of company stock valued at $2,191,826 over the last ninety days. Insiders own 0.15% of the company’s stock.

Institutional Inflows and Outflows

A hedge fund recently raised its stake in Adobe stock. Brighton Jones LLC boosted its stake in shares of Adobe Inc. (NASDAQ:ADBE) by 2.1% during the fourth quarter, according to its most recent Form 13F filing with the SEC. The fund owned 8,068 shares of the software company’s stock after buying an additional 167 shares during the period. Brighton Jones LLC’s holdings in Adobe were worth $3,588,000 at the end of the most recent quarter. Institutional investors and hedge funds own 81.79% of the company’s stock.

Wall Street Analyst Weigh In

ADBE has been the subject of several recent analyst reports. Citigroup lowered their target price on shares of Adobe from $551.00 to $490.00 and set a “neutral” rating for the company in a research note on Monday. Royal Bank of Canada decreased their price objective on shares of Adobe from $590.00 to $550.00 and set an “outperform” rating for the company in a research report on Friday, March 7th. Redburn Atlantic began coverage on shares of Adobe in a research report on Wednesday, February 19th. They set a “neutral” rating on the stock. Oppenheimer cut their price target on shares of Adobe from $625.00 to $600.00 and set an “outperform” rating on the stock in a research note on Thursday, December 12th. Finally, Wells Fargo & Company reduced their target price on Adobe from $640.00 to $600.00 and set an “overweight” rating for the company in a research note on Friday, March 7th. One investment analyst has rated the stock with a sell rating, eleven have assigned a hold rating, seventeen have issued a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $563.96.

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.