Adobe Inc. (NASDAQ:ADBE) Short Interest Update

Adobe Inc. (NASDAQ:ADBE) was the recipient of a significant growth in short interest in February. As of February 27th, there was short interest totaling 14,296,921 shares, a growth of 15.6% from the February 12th total of 12,365,032 shares. Based on an average daily trading volume, of 4,937,503 shares, the days-to-cover ratio is presently 2.9 days. Approximately 3.5% of the shares of the stock are sold short. Approximately 3.5% of the shares of the stock are sold short. Based on an average daily trading volume, of 4,937,503 shares, the days-to-cover ratio is presently 2.9 days.

Wall Street Analyst Weigh In

Several analysts have commented on ADBE shares. Argus reiterated a “hold” rating on shares of Adobe in a research note on Monday. JPMorgan Chase & Co. cut their price objective on Adobe from $520.00 to $420.00 and set an “overweight” rating for the company in a research report on Friday. Sanford C. Bernstein set a $447.00 target price on Adobe and gave the stock an “outperform” rating in a report on Friday. Weiss Ratings downgraded Adobe from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Friday, March 6th. Finally, TD Cowen dropped their price target on Adobe from $400.00 to $325.00 and set a “hold” rating for the company in a research note on Tuesday, March 10th. One equities research analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating, thirteen have given a Hold rating and five have issued a Sell rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Hold” and an average target price of $346.42.

Adobe Stock Performance

Shares of NASDAQ:ADBE opened at $251.86 on Tuesday. The firm has a fifty day simple moving average of $282.29 and a two-hundred day simple moving average of $322.04. Adobe has a 52 week low of $244.28 and a 52 week high of $422.95. The company has a quick ratio of 1.00, a current ratio of 0.91 and a debt-to-equity ratio of 0.47. The stock has a market capitalization of $103.39 billion, a P/E ratio of 14.67, a PEG ratio of 0.98 and a beta of 1.53.

Adobe (NASDAQ:ADBE) last announced its earnings results on Thursday, March 12th. The software company reported $6.06 earnings per share (EPS) for the quarter, beating the consensus estimate of $5.87 by $0.19. Adobe had a net margin of 29.48% and a return on equity of 64.48%. The firm had revenue of $6.40 billion for the quarter, compared to analysts’ expectations of $6.28 billion. During the same period in the prior year, the company earned $5.08 EPS. The business’s revenue was up 12.0% compared to the same quarter last year. Adobe has set its FY 2026 guidance at 23.300-23.500 EPS and its Q2 2026 guidance at 5.800-5.850 EPS. On average, analysts expect that Adobe will post 16.65 earnings per share for the current fiscal year.

Key Adobe News

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Strategic NVIDIA partnership — Adobe announced a collaboration with NVIDIA to accelerate next‑generation Firefly models and agentic creative/marketing workflows, which strengthens Adobe’s AI roadmap and cloud/compute partnerships. Adobe and NVIDIA Partnership
• Positive Sentiment: Unusually high call‑option activity and reported insider/strategist buying — Elevated call volumes (large purchases) and publicized purchases by strategist Jim Lebenthal signal some investors are positioning for upside. (No direct article link for options; strategist buy: linked.) Jim Lebenthal Bought ADBE
• Neutral Sentiment: Q1 results beat but market reaction mixed — Adobe beat EPS/revenue estimates and set FY‑2026 guidance (23.30–23.50 EPS) but the stock fell after the CEO exit news; fundamentals remain solid yet sentiment is fragile. (See earnings coverage in prior filings and summaries.)
• Negative Sentiment: Leadership transition creates uncertainty — Longtime CEO Shantanu Narayen’s planned exit has spooked investors and was cited as a primary reason for recent share weakness; leadership change raises execution risk during an important AI pivot. CEO Transition Coverage
• Negative Sentiment: $150M DOJ settlement — Adobe agreed to pay $150M over alleged subscription cancellation disclosure issues, a near‑term legal/headline overhang and modest cash/legal expense. DOJ Settlement
• Negative Sentiment: Analyst downgrades and widespread price‑target cuts — Multiple brokers trimmed targets and ratings (Barclays, Piper Sandler, BMO, Citi and others), increasing selling pressure and reducing near‑term upside expectations. Analyst Coverage & Target Cuts
• Negative Sentiment: Sector/headline pressure on software names — Broader skepticism around which software businesses benefit from AI (seat‑based pricing risk) has singled out Adobe as vulnerable vs. usage‑based peers. Sector Commentary
• Neutral Sentiment: Short‑interest data appears non‑informative this session — reported short interest entries were inconsistent/zero and aren’t providing clear directional signals today.

Insider Activity at Adobe

In related news, CFO Daniel Durn sold 1,646 shares of the company’s stock in a transaction on Tuesday, January 27th. The shares were sold at an average price of $294.85, for a total transaction of $485,323.10. Following the completion of the transaction, the chief financial officer owned 41,995 shares in the company, valued at approximately $12,382,225.75. This represents a 3.77% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Company insiders own 0.20% of the company’s stock.

Hedge Funds Weigh In On Adobe

Institutional investors and hedge funds have recently modified their holdings of the stock. Western Pacific Wealth Management LP bought a new stake in Adobe in the fourth quarter worth $26,000. Measured Wealth Private Client Group LLC bought a new position in Adobe during the third quarter valued at $26,000. KERR FINANCIAL PLANNING Corp purchased a new stake in shares of Adobe in the third quarter valued at $27,000. LSV Asset Management lifted its holdings in shares of Adobe by 350.0% in the 2nd quarter. LSV Asset Management now owns 72 shares of the software company’s stock worth $28,000 after acquiring an additional 56 shares during the last quarter. Finally, Caitlin John LLC bought a new stake in shares of Adobe in the 3rd quarter worth about $28,000. Hedge funds and other institutional investors own 81.79% 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.