Adobe (NASDAQ:ADBE) Announces Quarterly Earnings Results

Adobe (NASDAQ:ADBE) issued its quarterly earnings data on Thursday. The software company reported $4.09 EPS for the quarter, beating the consensus estimate of $3.98 by $0.11, MarketWatch Earnings reports. Adobe had a return on equity of 36.84% and a net margin of 26.34%. The company had revenue of $4.89 billion for the quarter, compared to analyst estimates of $4.87 billion. During the same period last year, the company earned $2.63 earnings per share. Adobe’s quarterly revenue was up 10.3% compared to the same quarter last year. Adobe updated its Q4 guidance to $4.10-4.15 EPS and its Q4 2023 guidance to $4.10-$4.15 EPS.

Adobe Trading Down 4.2 %

ADBE opened at $528.89 on Friday. The business has a fifty day moving average price of $529.21 and a 200 day moving average price of $440.68. The stock has a market capitalization of $241.07 billion, a price-to-earnings ratio of 50.47, a PEG ratio of 3.32 and a beta of 1.33. Adobe has a 12 month low of $274.73 and a 12 month high of $570.24. The company has a debt-to-equity ratio of 0.24, a current ratio of 1.16 and a quick ratio of 1.16.

Insider Transactions at Adobe

In other news, EVP Dana Rao sold 2,600 shares of the company’s stock in a transaction dated Friday, June 23rd. The stock was sold at an average price of $480.21, for a total transaction of $1,248,546.00. Following the completion of the transaction, the executive vice president now directly owns 17,466 shares of the company’s stock, valued at approximately $8,387,347.86. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. In other news, Director John E. Warnock sold 3,000 shares of the business’s stock in a transaction dated Friday, June 23rd. The stock was sold at an average price of $481.41, for a total value of $1,444,230.00. Following the completion of the sale, the director now directly owns 372,965 shares of the company’s stock, valued at approximately $179,549,080.65. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, EVP Dana Rao sold 2,600 shares of the business’s stock in a transaction dated Friday, June 23rd. The shares were sold at an average price of $480.21, for a total value of $1,248,546.00. Following the completion of the sale, the executive vice president now directly owns 17,466 shares of the company’s stock, valued at $8,387,347.86. The disclosure for this sale can be found here. In the last ninety days, insiders sold 43,089 shares of company stock valued at $20,720,115. 0.24% of the stock is currently owned by corporate insiders.

Institutional Trading of Adobe

Several institutional investors and hedge funds have recently added to or reduced their stakes in ADBE. VELA Investment Management LLC raised its stake in Adobe by 122.2% during the 1st quarter. VELA Investment Management LLC now owns 1,958 shares of the software company’s stock valued at $892,000 after acquiring an additional 1,077 shares during the last quarter. Bornite Capital Management LP purchased a new stake in Adobe during the 1st quarter valued at approximately $15,947,000. United Bank raised its stake in Adobe by 34.7% during the 1st quarter. United Bank now owns 2,109 shares of the software company’s stock valued at $961,000 after acquiring an additional 543 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. raised its stake in Adobe by 21.0% during the 1st quarter. Mirae Asset Global Investments Co. Ltd. now owns 525,897 shares of the software company’s stock valued at $239,609,000 after acquiring an additional 91,328 shares during the last quarter. Finally, Ergoteles LLC raised its stake in Adobe by 138.3% during the 1st quarter. Ergoteles LLC now owns 6,651 shares of the software company’s stock valued at $3,030,000 after acquiring an additional 3,860 shares during the last quarter. 80.00% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several equities analysts have recently weighed in on the company. Citigroup raised their target price on Adobe from $544.00 to $570.00 and gave the company a “neutral” rating in a research report on Wednesday. Robert W. Baird raised their target price on Adobe from $500.00 to $540.00 and gave the company a “neutral” rating in a research report on Friday. The Goldman Sachs Group raised their target price on Adobe from $550.00 to $625.00 and gave the company a “buy” rating in a research report on Friday. Evercore ISI lifted their price objective on Adobe from $590.00 to $605.00 and gave the stock an “outperform” rating in a research report on Friday. Finally, Argus lifted their price objective on Adobe from $410.00 to $565.00 in a research report on Wednesday, June 21st. Nine investment analysts have rated the stock with a hold rating and twenty have assigned a buy rating to the company’s stock. According to data from MarketBeat, Adobe presently has an average rating of “Moderate Buy” and an average price target of $573.07.

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.