Adobe (NASDAQ:ADBE) Trading Down 2.7%

Adobe Inc. (NASDAQ:ADBE)’s stock price was down 2.7% during trading on Friday . The stock traded as low as $470.83 and last traded at $471.08. Approximately 1,482,012 shares were traded during mid-day trading, a decline of 58% from the average daily volume of 3,570,019 shares. The stock had previously closed at $484.28.

Analyst Ratings Changes

Several equities analysts recently commented on ADBE shares. Bank of America dropped their target price on Adobe from $700.00 to $640.00 and set a “buy” rating on the stock in a report on Friday, March 15th. UBS Group decreased their price objective on shares of Adobe from $600.00 to $540.00 and set a “neutral” rating for the company in a research note on Friday, March 15th. Mizuho restated a “buy” rating and issued a $680.00 price objective on shares of Adobe in a research note on Wednesday, March 27th. Piper Sandler Companies decreased their price objective on shares of Adobe from $705.00 to $700.00 and set an “overweight” rating for the company in a research note on Friday, March 15th. Finally, BNP Paribas downgraded shares of Adobe from a “neutral” rating to an “underperform” rating and set a $499.00 price objective for the company. in a research note on Thursday, January 18th. Two investment analysts have rated the stock with a sell rating, six have given a hold rating and twenty have issued a buy rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $620.72.

Adobe Stock Performance

The company has a quick ratio of 1.05, a current ratio of 1.05 and a debt-to-equity ratio of 0.14. The company has a market capitalization of $212.39 billion, a PE ratio of 45.32, a PEG ratio of 2.62 and a beta of 1.28. The stock’s fifty day simple moving average is $541.84 and its 200-day simple moving average is $567.65.

Adobe (NASDAQ:ADBE) last issued its earnings results on Thursday, March 14th. The software company reported $4.48 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $4.38 by $0.10. Adobe had a net margin of 24.08% and a return on equity of 39.12%. The company had revenue of $5.18 billion during the quarter, compared to analysts’ expectations of $5.14 billion. During the same period last year, the company posted $2.97 earnings per share. The firm’s quarterly revenue was up 11.3% compared to the same quarter last year. On average, research analysts predict that Adobe Inc. will post 14.55 earnings per share for the current fiscal year.

Adobe declared that its Board of Directors has authorized a share buyback program on Thursday, March 14th that allows the company to buyback $25.00 billion in shares. This buyback authorization allows the software company to purchase up to 10.8% of its shares through open market purchases. Shares buyback programs are often an indication that the company’s board of directors believes its stock is undervalued.

Insider Transactions at Adobe

In other news, CAO Mark S. Garfield sold 84 shares of the firm’s stock in a transaction that occurred on Wednesday, January 17th. The shares were sold at an average price of $591.99, for a total transaction of $49,727.16. Following the completion of the transaction, the chief accounting officer now directly owns 4,055 shares of the company’s stock, valued at approximately $2,400,519.45. The sale was disclosed in a filing with the SEC, which is available at the SEC website. In other Adobe news, EVP Scott Belsky sold 2,191 shares of Adobe stock in a transaction that occurred on Wednesday, January 24th. The shares were sold at an average price of $601.71, for a total value of $1,318,346.61. Following the completion of the sale, the executive vice president now directly owns 23,508 shares of the company’s stock, valued at approximately $14,144,998.68. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CAO Mark S. Garfield sold 84 shares of Adobe stock in a transaction that occurred on Wednesday, January 17th. The stock was sold at an average price of $591.99, for a total transaction of $49,727.16. Following the completion of the sale, the chief accounting officer now directly owns 4,055 shares of the company’s stock, valued at $2,400,519.45. The disclosure for this sale can be found here. Insiders sold a total of 3,063 shares of company stock valued at $1,853,025 in the last ninety days. Corporate insiders own 0.15% of the company’s stock.

Hedge Funds Weigh In On Adobe

Hedge funds have recently made changes to their positions in the stock. Vanguard Group Inc. boosted its holdings in shares of Adobe by 1.5% in the 4th quarter. Vanguard Group Inc. now owns 40,266,172 shares of the software company’s stock valued at $24,022,798,000 after purchasing an additional 603,302 shares during the last quarter. State Street Corp lifted its holdings in shares of Adobe by 1.5% during the 1st quarter. State Street Corp now owns 18,632,322 shares of the software company’s stock valued at $7,180,322,000 after acquiring an additional 269,173 shares in the last quarter. Morgan Stanley lifted its holdings in shares of Adobe by 2.7% during the 3rd quarter. Morgan Stanley now owns 10,371,262 shares of the software company’s stock valued at $5,288,309,000 after acquiring an additional 277,484 shares in the last quarter. Price T Rowe Associates Inc. MD lifted its holdings in shares of Adobe by 10.0% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 6,497,332 shares of the software company’s stock valued at $3,876,309,000 after acquiring an additional 590,533 shares in the last quarter. Finally, Norges Bank acquired a new position in shares of Adobe during the 4th quarter valued at $3,277,785,000. Institutional investors and hedge funds own 81.79% of the company’s stock.

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.