First Merchants Corp Reduces Stock Position in Adobe Inc. $ADBE

First Merchants Corp decreased its position in shares of Adobe Inc. (NASDAQ:ADBE) by 27.6% during the 3rd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 10,054 shares of the software company’s stock after selling 3,836 shares during the quarter. First Merchants Corp’s holdings in Adobe were worth $3,547,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds have also modified their holdings of ADBE. LSV Asset Management boosted its position in Adobe by 350.0% during the second quarter. LSV Asset Management now owns 72 shares of the software company’s stock worth $28,000 after purchasing an additional 56 shares in the last quarter. Flaharty Asset Management LLC acquired a new position in shares of Adobe during the 1st quarter worth $29,000. Nexus Investment Management ULC purchased a new stake in shares of Adobe in the 2nd quarter worth about $31,000. Horizon Financial Services LLC grew its stake in Adobe by 4,000.0% in the 2nd quarter. Horizon Financial Services LLC now owns 82 shares of the software company’s stock valued at $32,000 after acquiring an additional 80 shares during the last quarter. Finally, 1248 Management LLC purchased a new position in Adobe during the 1st quarter valued at about $33,000. Institutional investors and hedge funds own 81.79% of the company’s stock.

Analyst Upgrades and Downgrades

Several analysts have issued reports on ADBE shares. Barclays reaffirmed an “overweight” rating and issued a $415.00 price target on shares of Adobe in a report on Friday, December 5th. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Adobe in a research note on Monday, December 29th. Mizuho dropped their price target on Adobe from $410.00 to $390.00 and set an “outperform” rating for the company in a research report on Thursday, November 20th. Morgan Stanley cut their price target on Adobe from $450.00 to $425.00 and set an “equal weight” rating for the company in a report on Thursday, December 11th. Finally, Royal Bank Of Canada reaffirmed an “outperform” rating and set a $430.00 price objective on shares of Adobe in a research note on Thursday, December 11th. One analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating, twelve have assigned a Hold rating and three have given a Sell rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Hold” and a consensus target price of $414.22.

Key Headlines Impacting Adobe

Here are the key news stories impacting Adobe this week:

• Neutral Sentiment: Analysts published forward-looking estimates and previews ahead of Adobe’s upcoming quarter, offering mixed expectations but no clear catalyst to reverse the pullback. Research Analysts Offer Predictions for Adobe Q1 Earnings
• Neutral Sentiment: A sector-level, comparative piece reviews Adobe versus peers and highlights competitive pressures and valuation differences — useful context for investors assessing relative strength but not a direct trigger. In-Depth Analysis: Adobe Versus Competitors In Software Industry
• Negative Sentiment: Jefferies downgraded Adobe from Buy to Hold, saying Adobe’s AI “inflection” appears more limited versus peers — the downgrade is the primary near-term driver of selling pressure. Jefferies downgrades Adobe, upgrades IBM as AI reshapes 2026 software outlook
• Negative Sentiment: Coverage and op-eds are amplifying the downgrade impact — several pieces link the Jefferies call to a multi-day selloff and falling market cap, increasing negative sentiment among investors. Why Is Adobe Stock Getting Downgraded?
• Negative Sentiment: Opinion/short pieces argue Adobe looks risky relative to alternatives and suggest rotation into other names; these narratives can accelerate outflows from momentum-focused holders. 3 Reasons ADBE is Risky and 1 Stock to Buy Instead
• Negative Sentiment: Market commentary highlights a sharp start to 2026 for software names (including Adobe) with steep intraday declines, reinforcing sector weakness and risk-off positioning. Salesforce and Adobe Start 2026 With a 5% Plunge—Should Investors Buy or Bail?

Insider Buying and Selling at Adobe

In related news, CAO Jillian Forusz sold 149 shares of the firm’s stock in a transaction that occurred on Friday, October 31st. The shares were sold at an average price of $337.88, for a total value of $50,344.12. Following the sale, the chief accounting officer directly owned 3,426 shares of the company’s stock, valued at approximately $1,157,576.88. This trade represents a 4.17% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 0.16% of the stock is currently owned by insiders.

Adobe Price Performance

ADBE stock opened at $335.99 on Wednesday. The stock has a market capitalization of $140.65 billion, a price-to-earnings ratio of 20.11, a price-to-earnings-growth ratio of 1.31 and a beta of 1.53. The company has a quick ratio of 1.02, a current ratio of 1.00 and a debt-to-equity ratio of 0.53. Adobe Inc. has a 52-week low of $311.58 and a 52-week high of $465.70. The stock’s fifty day simple moving average is $337.28 and its 200-day simple moving average is $350.64.

Adobe (NASDAQ:ADBE) last released its earnings results on Wednesday, December 10th. The software company reported $5.50 earnings per share for the quarter, topping the consensus estimate of $5.40 by $0.10. Adobe had a return on equity of 61.28% and a net margin of 30.00%.The firm had revenue of $6.19 billion for the quarter, compared to the consensus estimate of $6.11 billion. During the same period in the prior year, the business posted $4.81 earnings per share. The firm’s revenue for the quarter was up 10.5% compared to the same quarter last year. Adobe has set its Q1 2026 guidance at 5.850-5.900 EPS and its FY 2026 guidance at 23.300-23.500 EPS. Equities research analysts expect that Adobe Inc. will post 16.65 EPS for the current year.

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.