Adobe (NASDAQ:ADBE) Price Target Cut to $405.00 by Analysts at Wells Fargo & Company

Adobe (NASDAQ:ADBE) had its price target reduced by Wells Fargo & Company from $420.00 to $405.00 in a research note published on Monday,Benzinga reports. Wells Fargo & Company currently has an overweight rating on the software company’s stock.

Several other equities research analysts have also recently issued reports on the stock. Citigroup dropped their target price on shares of Adobe from $387.00 to $315.00 and set a “neutral” rating on the stock in a report on Friday. Oppenheimer cut Adobe from an “outperform” rating to a “market perform” rating in a report on Tuesday, January 13th. TD Cowen dropped their price target on Adobe from $420.00 to $400.00 and set a “hold” rating on the stock in a research note on Thursday, December 11th. Piper Sandler reaffirmed a “neutral” rating on shares of Adobe in a report on Wednesday, March 4th. Finally, DA Davidson reiterated a “buy” rating and set a $500.00 price objective on shares of Adobe in a research report on Thursday, December 11th. One equities research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, eleven have assigned a Hold rating and four have assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and an average price target of $386.08.

Adobe Price Performance

ADBE opened at $282.43 on Monday. The company’s 50-day simple moving average is $290.24 and its two-hundred day simple moving average is $325.36. The company has a debt-to-equity ratio of 0.53, a quick ratio of 1.00 and a current ratio of 1.00. The stock has a market capitalization of $115.94 billion, a P/E ratio of 16.90, a P/E/G ratio of 1.12 and a beta of 1.53. Adobe has a 52-week low of $244.28 and a 52-week high of $444.54.

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

Insider Buying and Selling

In other Adobe news, CFO Daniel Durn sold 1,646 shares of the company’s stock in a transaction that occurred on Tuesday, January 27th. The stock was sold at an average price of $294.85, for a total value of $485,323.10. Following the completion of the transaction, the chief financial officer directly owned 41,995 shares in the company, valued at $12,382,225.75. This represents a 3.77% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Corporate insiders own 0.20% of the company’s stock.

Hedge Funds Weigh In On Adobe

Institutional investors have recently bought and sold shares of the stock. Riverbend Wealth Management LLC lifted its stake in Adobe by 1.8% in the 3rd quarter. Riverbend Wealth Management LLC now owns 1,668 shares of the software company’s stock worth $588,000 after purchasing an additional 29 shares in the last quarter. Intellus Advisors LLC lifted its position in shares of Adobe by 1.6% in the second quarter. Intellus Advisors LLC now owns 1,860 shares of the software company’s stock worth $720,000 after buying an additional 30 shares in the last quarter. Beacon Financial Advisory LLC boosted its stake in Adobe by 5.5% during the third quarter. Beacon Financial Advisory LLC now owns 577 shares of the software company’s stock valued at $204,000 after buying an additional 30 shares during the last quarter. MCF Advisors LLC grew its holdings in Adobe by 20.8% during the 3rd quarter. MCF Advisors LLC now owns 174 shares of the software company’s stock valued at $61,000 after buying an additional 30 shares in the last quarter. Finally, Dakota Community Bank & Trust NA increased its stake in Adobe by 12.8% in the 2nd quarter. Dakota Community Bank & Trust NA now owns 274 shares of the software company’s stock worth $106,000 after acquiring an additional 31 shares during the last quarter. 81.79% of the stock is owned by hedge funds and other institutional investors.

Key Adobe News

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Expanded commercial win: Adobe expanded its multi‑year partnership with Major League Baseball to deliver AI‑driven fan experiences, reinforcing real‑world adoption of Adobe’s cloud and AI tools. Adobe and Major League Baseball Expand Partnership
• Positive Sentiment: Notable accumulation: Reports that Michael Burry has taken a sizeable position in ADBE and that hedge funds/institutions have been buyers adds a value-oriented, conviction buyer to the shareholder base, which can support the shares into earnings. Michael Burry Backs Adobe
• Positive Sentiment: Analyst endorsement: Royal Bank of Canada reaffirmed an “outperform” rating with a $430 price target, signaling continued institutional confidence in Adobe’s longer‑term AI/product transition. RBC Outperform
• Neutral Sentiment: Upcoming earnings are the main near‑term catalyst — previews and models expect roughly $6.28B revenue and ~$5.87–5.88 EPS; investors will watch AI product uptake and guidance on March 12. Adobe Q1 Earnings Loom
• Neutral Sentiment: Market calendar/inflation backdrop: Macro reports (CPI/PCE) and broader tech/AI earnings this week could amplify moves in ADBE; these are market‑wide risk factors rather than Adobe‑specific. Oracle, Adobe Earnings and Inflation Data
• Neutral Sentiment: Short‑interest report appears to show zero change (likely a reporting/data anomaly) and thus provides no clear directional signal to the market today.
• Neutral Sentiment: Wells Fargo trimmed its price target from $420 to $405 but kept an “overweight” rating, a mixed signal: lower target but continued long bias. Wells Fargo Target Lowered
• Negative Sentiment: Citi (and other outlets) cut its price target and called for an “uneventful” Q1, which reduces near‑term analyst support and can weigh on sentiment ahead of results. Citi Cuts Price Target
• Negative Sentiment: Minor selling by a public figure (Sen. Boozman) and other reported insider/institutional trades are being noted by markets; although not necessarily indicative of company fundamentals, such sales can pressure sentiment in the short term. Sen. John Boozman Sells Shares

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.