Adobe Inc. $ADBE Shares Sold by Cantillon Capital Management LLC

Cantillon Capital Management LLC lessened its holdings in shares of Adobe Inc. (NASDAQ:ADBE) by 11.9% during the first quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm owned 1,019,710 shares of the software company’s stock after selling 137,527 shares during the quarter. Adobe makes up about 1.6% of Cantillon Capital Management LLC’s investment portfolio, making the stock its 29th biggest position. Cantillon Capital Management LLC owned 0.25% of Adobe worth $247,871,000 as of its most recent SEC filing.

Several other hedge funds have also made changes to their positions in the business. Norges Bank acquired a new stake in Adobe in the 4th quarter worth about $2,275,165,000. AQR Capital Management LLC increased its stake in shares of Adobe by 55.2% during the 3rd quarter. AQR Capital Management LLC now owns 2,587,399 shares of the software company’s stock valued at $912,705,000 after acquiring an additional 920,353 shares during the last quarter. Amundi increased its stake in shares of Adobe by 17.9% during the 3rd quarter. Amundi now owns 4,888,283 shares of the software company’s stock valued at $1,711,583,000 after acquiring an additional 742,646 shares during the last quarter. State of Michigan Retirement System lifted its holdings in shares of Adobe by 566.1% during the 1st quarter. State of Michigan Retirement System now owns 820,823 shares of the software company’s stock worth $199,526,000 after acquiring an additional 697,600 shares during the period. Finally, AMF Tjanstepension AB purchased a new position in shares of Adobe during the 1st quarter worth about $167,494,000. Institutional investors and hedge funds own 81.79% of the company’s stock.

Adobe Price Performance

ADBE opened at $237.25 on Monday. The company has a market capitalization of $94.31 billion, a P/E ratio of 13.57, a P/E/G ratio of 0.80 and a beta of 1.43. The company has a debt-to-equity ratio of 0.42, a current ratio of 0.75 and a quick ratio of 0.75. The firm’s fifty day moving average price is $228.58 and its two-hundred day moving average price is $255.50. Adobe Inc. has a fifty-two week low of $190.12 and a fifty-two week high of $376.16.

Adobe (NASDAQ:ADBE) last released its quarterly earnings results on Thursday, June 11th. The software company reported $5.96 earnings per share for the quarter, beating analysts’ consensus estimates of $5.82 by $0.14. Adobe had a return on equity of 65.11% and a net margin of 28.69%.The firm had revenue of $6.62 billion during the quarter, compared to analysts’ expectations of $6.45 billion. During the same period last year, the firm posted $5.06 EPS. The business’s revenue was up 12.7% on a year-over-year basis. Adobe has set its FY 2026 guidance at 24.350-24.450 EPS and its Q3 2026 guidance at 6.050-6.100 EPS. On average, analysts anticipate that Adobe Inc. will post 19.81 EPS for the current year.

Adobe declared that its Board of Directors has authorized a share buyback program on Tuesday, April 21st that permits the company to buyback $25.00 billion in outstanding shares. This buyback authorization permits the software company to repurchase up to 24.9% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s management believes its shares are undervalued.

Adobe News Roundup

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Multiple reports highlight Adobe’s attractive valuation, with some investors viewing the selloff as creating a buying opportunity and even raising the possibility that the company could become a takeover target. Is Adobe (ADBE) a Takeover Target? Rumors Are Swirling
• Positive Sentiment: Adobe was compared favorably with Autodesk on revenue trends, with Adobe showing larger scale and consistent quarter-over-quarter growth over the last eight quarters, which supports the case for durable business momentum. Adobe vs. Autodesk: What Revenue Trends Reveal About These Software Stocks
• Positive Sentiment: Several pieces frame Adobe as a potential beneficiary of the market’s reassessment of software stocks, arguing that AI is pressuring recurring-revenue models but that strong companies like Adobe are adapting and may emerge as relative winners. How to Find the Bargains in the Software Stock Wreckage
• Positive Sentiment: Commentary on Adobe’s “compelling valuation” and “generational buying opportunity” suggests investors are increasingly seeing the stock as undervalued despite intensifying competition. Adobe: Compelling Valuation Even Amid Intensifying Competition
• Positive Sentiment: Broader software-sector analysis also points to Adobe as having real competitive moats that AI may not easily replace, reinforcing confidence in the company’s long-term positioning. Alpha Buying: The Real Moats AI Can’t Replace
• Neutral Sentiment: Additional coverage on e-commerce and digital media trends mentions Adobe’s AI-related efforts, including its acquisition of Rephrase.AI, but the article is more about industry innovation than a direct catalyst for the stock. E-Commerce Update – AI Transforming Digital Retail Through Innovation and Connectivity
• Negative Sentiment: One article noted that an open-source browser-based PDF toolkit can replace Adobe Acrobat, highlighting ongoing competitive pressure in one of Adobe’s core product areas. I replaced Adobe Acrobat with a 10x faster, browser-based open-source PDF toolkit

Insider Activity at Adobe

In related news, CAO Jillian Forusz sold 755 shares of the stock in a transaction that occurred on Thursday, April 30th. The stock was sold at an average price of $246.25, for a total transaction of $185,918.75. Following the completion of the transaction, the chief accounting officer directly owned 3,521 shares of the company’s stock, valued at approximately $867,046.25. This represents a 17.66% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Shantanu Narayen sold 75,000 shares of the firm’s stock in a transaction that occurred on Tuesday, April 28th. The shares were sold at an average price of $243.54, for a total value of $18,265,500.00. Following the completion of the transaction, the chief executive officer owned 359,538 shares of the company’s stock, valued at approximately $87,561,884.52. This represents a 17.26% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders own 0.20% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently issued reports on the stock. Citizens Jmp restated a “market perform” rating on shares of Adobe in a report on Friday, June 12th. Sanford C. Bernstein cut their price target on shares of Adobe from $447.00 to $379.00 and set an “outperform” rating on the stock in a research note on Friday, June 12th. Wells Fargo & Company decreased their price target on shares of Adobe from $330.00 to $250.00 and set an “overweight” rating on the stock in a report on Friday, June 12th. Dbs Bank cut shares of Adobe from a “moderate buy” rating to a “hold” rating in a research note on Tuesday, May 19th. Finally, Summit Redstone set a $350.00 price objective on Adobe in a report on Friday, April 17th. Seven research analysts have rated the stock with a Buy rating, twenty-two have given a Hold rating and five have assigned a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and an average price target of $275.00.

Adobe Company Profile

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.