Adobe (NASDAQ:ADBE) Rating Lowered to Hold at StockNews.com

StockNews.com lowered shares of Adobe (NASDAQ:ADBE) from a buy rating to a hold rating in a report published on Wednesday morning.

Other equities analysts have also issued reports about the stock. Barclays cut their price objective on shares of Adobe from $700.00 to $630.00 and set an overweight rating on the stock in a report on Friday, March 15th. TD Cowen reduced their price target on Adobe from $640.00 to $625.00 and set a buy rating for the company in a research report on Monday, June 10th. Melius downgraded Adobe from a buy rating to a hold rating and set a $510.00 price objective on the stock. in a research report on Monday, June 10th. JMP Securities reiterated a market perform rating on shares of Adobe in a report on Thursday, March 28th. Finally, Evercore ISI reiterated an outperform rating and issued a $650.00 target price on shares of Adobe in a research note on Friday, June 7th. Two investment analysts have rated the stock with a sell rating, eight have assigned a hold rating and twenty have assigned a buy rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of Moderate Buy and an average price target of $604.35.

Adobe Price Performance

Shares of ADBE stock opened at $525.31 on Wednesday. The company’s 50-day simple moving average is $474.63 and its two-hundred day simple moving average is $540.63. The company has a debt-to-equity ratio of 0.14, a current ratio of 1.05 and a quick ratio of 1.05. Adobe has a one year low of $433.97 and a one year high of $638.25. The company has a market capitalization of $235.34 billion, a P/E ratio of 47.20, a P/E/G ratio of 2.48 and a beta of 1.27.

Adobe (NASDAQ:ADBE) last announced its quarterly earnings results on Thursday, June 13th. The software company reported $4.48 EPS for the quarter, beating the consensus estimate of $4.39 by $0.09. Adobe had a return on equity of 39.98% and a net margin of 24.86%. The firm had revenue of $5.31 billion for the quarter, compared to analyst estimates of $5.29 billion. During the same quarter last year, the firm posted $3.04 earnings per share. The business’s revenue for the quarter was up 10.2% on a year-over-year basis. As a group, equities analysts anticipate that Adobe will post 14.55 EPS for the current year.

Adobe announced that its Board of Directors has initiated a share buyback program on Thursday, March 14th that allows the company to buyback $25.00 billion in outstanding shares. This buyback authorization allows the software company to repurchase up to 10.8% of its stock through open market purchases. Stock buyback programs are usually a sign that the company’s board of directors believes its shares are undervalued.

Insider Activity

In other news, insider Anil Chakravarthy sold 100 shares of the company’s stock in a transaction on Monday, April 22nd. The stock was sold at an average price of $471.00, for a total transaction of $47,100.00. Following the sale, the insider now owns 33,609 shares of the company’s stock, valued at $15,829,839. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. In related news, CAO Mark S. Garfield sold 96 shares of Adobe stock in a transaction that occurred on Tuesday, April 16th. The shares were sold at an average price of $470.00, for a total value of $45,120.00. Following the completion of the transaction, the chief accounting officer now owns 4,128 shares in the company, valued at $1,940,160. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Anil Chakravarthy sold 100 shares of the business’s stock in a transaction that occurred on Monday, April 22nd. The stock was sold at an average price of $471.00, for a total transaction of $47,100.00. Following the transaction, the insider now owns 33,609 shares of the company’s stock, valued at approximately $15,829,839. The disclosure for this sale can be found here. Over the last quarter, insiders sold 3,006 shares of company stock valued at $1,424,432. 0.15% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Adobe

Institutional investors have recently modified their holdings of the company. Tradewinds Capital Management LLC raised its holdings in Adobe by 266.7% during the first quarter. Tradewinds Capital Management LLC now owns 55 shares of the software company’s stock worth $28,000 after purchasing an additional 40 shares in the last quarter. Salomon & Ludwin LLC raised its stake in Adobe by 346.2% during the 1st quarter. Salomon & Ludwin LLC now owns 58 shares of the software company’s stock worth $29,000 after acquiring an additional 45 shares in the last quarter. Wetzel Investment Advisors Inc. purchased a new stake in Adobe in the fourth quarter valued at $35,000. Steph & Co. boosted its stake in Adobe by 63.8% in the first quarter. Steph & Co. now owns 77 shares of the software company’s stock valued at $39,000 after acquiring an additional 30 shares in the last quarter. Finally, Hanseatic Management Services Inc. purchased a new position in shares of Adobe during the third quarter worth about $45,000. 81.79% of the stock is owned by hedge funds and other institutional investors.

Adobe Company Profile

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.