BMO Capital Markets Issues Pessimistic Forecast for Adobe (NASDAQ:ADBE) Stock Price

Adobe (NASDAQ:ADBE) had its price objective cut by BMO Capital Markets from $600.00 to $570.00 in a research report issued to clients and investors on Thursday,Benzinga reports. The brokerage presently has an “outperform” rating on the software company’s stock. BMO Capital Markets’ price objective would suggest a potential upside of 22.40% from the company’s current price.

Other research analysts also recently issued research reports about the stock. Deutsche Bank Aktiengesellschaft dropped their target price on shares of Adobe from $650.00 to $600.00 and set a “buy” rating for the company in a report on Thursday. Oppenheimer reiterated an “outperform” rating and set a $625.00 target price on shares of Adobe in a research report on Friday, September 13th. Piper Sandler reissued an “overweight” rating and set a $635.00 target price on shares of Adobe in a research note on Thursday, December 5th. Sanford C. Bernstein dropped their price target on Adobe from $660.00 to $644.00 and set an “outperform” rating for the company in a research note on Friday, September 13th. Finally, Citigroup lowered their target price on shares of Adobe from $616.00 to $590.00 and set a “neutral” rating on the stock in a report on Monday, December 9th. Two equities research analysts have rated the stock with a sell rating, eight have assigned a hold rating, eighteen have issued a buy rating and one has assigned a strong buy rating to the company’s stock. According to data from MarketBeat.com, Adobe has an average rating of “Moderate Buy” and a consensus target price of $584.88.

Adobe Stock Performance

Shares of ADBE opened at $465.69 on Thursday. The business has a 50-day simple moving average of $505.99 and a two-hundred day simple moving average of $523.02. The company has a quick ratio of 1.11, a current ratio of 1.11 and a debt-to-equity ratio of 0.28. Adobe has a 52 week low of $433.97 and a 52 week high of $638.25. The stock has a market cap of $205.00 billion, a price-to-earnings ratio of 38.28, a PEG ratio of 2.51 and a beta of 1.29.

Adobe (NASDAQ:ADBE) last released its earnings results on Wednesday, December 11th. The software company reported $4.81 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.67 by $0.14. Adobe had a net margin of 25.85% and a return on equity of 45.22%. The company had revenue of $5.61 billion during the quarter, compared to analyst estimates of $5.54 billion. During the same period in the prior year, the firm posted $3.52 EPS. The firm’s quarterly revenue was up 11.1% compared to the same quarter last year. On average, analysts expect that Adobe will post 16.73 EPS for the current year.

Insiders Place Their Bets

In related news, CFO Daniel Durn sold 6,500 shares of Adobe stock in a transaction dated Tuesday, September 17th. The shares were sold at an average price of $515.44, for a total transaction of $3,350,360.00. Following the completion of the sale, the chief financial officer now owns 20,838 shares in the company, valued at $10,740,738.72. This trade represents a 23.78 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, EVP Scott Belsky sold 481 shares of the business’s stock in a transaction dated Friday, October 25th. The shares were sold at an average price of $483.42, for a total transaction of $232,525.02. Following the completion of the sale, the executive vice president now directly owns 18,128 shares of the company’s stock, valued at approximately $8,763,437.76. This trade represents a 2.58 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 34,793 shares of company stock valued at $18,069,669 over the last 90 days. Insiders own 0.15% of the company’s stock.

Hedge Funds Weigh In On Adobe

Several institutional investors have recently made changes to their positions in the company. Coronation Fund Managers Ltd. lifted its position in shares of Adobe by 124.2% in the 2nd quarter. Coronation Fund Managers Ltd. now owns 4,551 shares of the software company’s stock worth $2,528,000 after purchasing an additional 2,521 shares during the period. Pure Financial Advisors LLC increased its holdings in Adobe by 17.7% during the second quarter. Pure Financial Advisors LLC now owns 1,072 shares of the software company’s stock valued at $596,000 after buying an additional 161 shares during the period. Rovin Capital UT ADV bought a new position in Adobe in the second quarter worth approximately $404,000. Brookstone Capital Management lifted its holdings in Adobe by 8.1% during the second quarter. Brookstone Capital Management now owns 8,004 shares of the software company’s stock worth $4,507,000 after buying an additional 599 shares during the period. Finally, Foster Victor Wealth Advisors LLC boosted its position in Adobe by 5.4% during the 2nd quarter. Foster Victor Wealth Advisors LLC now owns 40,923 shares of the software company’s stock valued at $23,185,000 after acquiring an additional 2,111 shares in the last quarter. Hedge funds and other institutional investors own 81.79% of the company’s stock.

About Adobe

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.