Adobe (NASDAQ:ADBE) Issues Q2 2025 Earnings Guidance

Adobe (NASDAQ:ADBE) updated its second quarter 2025 earnings guidance on Wednesday. The company provided earnings per share (EPS) guidance of 4.950-5.000 for the period, compared to the consensus estimate of 5.000. The company issued revenue guidance of $5.8 billion-$5.8 billion, compared to the consensus revenue estimate of $5.8 billion. Adobe also updated its FY 2025 guidance to 20.200-20.500 EPS.

Adobe Trading Up 1.1 %

Shares of Adobe stock traded up $4.94 during midday trading on Wednesday, reaching $438.60. 5,184,676 shares of the company’s stock traded hands, compared to its average volume of 3,427,654. The stock has a 50 day moving average of $439.13 and a 200-day moving average of $484.86. Adobe has a 12 month low of $403.75 and a 12 month high of $587.75. The company has a market cap of $190.97 billion, a PE ratio of 35.37, a price-to-earnings-growth ratio of 2.15 and a beta of 1.37. The company has a debt-to-equity ratio of 0.29, a quick ratio of 1.07 and a current ratio of 1.07.

Adobe (NASDAQ:ADBE) last posted its earnings results on Wednesday, December 11th. The software company reported $4.81 EPS for the quarter, topping the consensus estimate of $4.67 by $0.14. The firm had revenue of $5.61 billion during the quarter, compared to analysts’ expectations of $5.54 billion. Adobe had a net margin of 25.85% and a return on equity of 45.87%. The company’s quarterly revenue was up 11.1% compared to the same quarter last year. During the same period last year, the company posted $3.52 EPS. As a group, equities analysts expect that Adobe will post 16.65 EPS for the current fiscal year.

Wall Street Analyst Weigh In

Several research firms have weighed in on ADBE. Oppenheimer cut their price objective on Adobe from $625.00 to $600.00 and set an “outperform” rating on the stock in a research report on Thursday, December 12th. Redburn Atlantic assumed coverage on Adobe in a research note on Wednesday, February 19th. They issued a “neutral” rating on the stock. JMP Securities reissued a “market perform” rating on shares of Adobe in a research report on Thursday, December 12th. Deutsche Bank Aktiengesellschaft reaffirmed a “hold” rating and issued a $475.00 target price (down from $600.00) on shares of Adobe in a research report on Wednesday, January 8th. Finally, StockNews.com cut shares of Adobe from a “strong-buy” rating to a “buy” rating in a research report on Tuesday, March 4th. One equities research analyst has rated the stock with a sell rating, eleven have given a hold rating, seventeen have assigned a buy rating and one has assigned a strong buy rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $563.96.

Insider Buying and Selling

In other news, EVP Scott Belsky sold 3,819 shares of the stock in a transaction on Monday, January 27th. The shares were sold at an average price of $430.24, for a total value of $1,643,086.56. Following the completion of the sale, the executive vice president now directly owns 18,334 shares of the company’s stock, valued at $7,888,020.16. This represents a 17.24 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director David A. Ricks acquired 2,250 shares of the firm’s stock in a transaction dated Tuesday, January 28th. The shares were purchased at an average price of $443.98 per share, for a total transaction of $998,955.00. Following the completion of the transaction, the director now directly owns 4,984 shares in the company, valued at approximately $2,212,796.32. This trade represents a 82.30 % increase in their ownership of the stock. The disclosure for this purchase can be found here. In the last three months, insiders have sold 5,075 shares of company stock valued at $2,191,826. 0.15% of the stock is owned by company insiders.

Hedge Funds Weigh In On Adobe

An institutional investor recently raised its position in Adobe stock. Brighton Jones LLC raised its position in shares of Adobe Inc. (NASDAQ:ADBE) by 2.1% in the 4th quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 8,068 shares of the software company’s stock after buying an additional 167 shares during the quarter. Brighton Jones LLC’s holdings in Adobe were worth $3,588,000 as of its most recent SEC filing. Institutional investors own 81.79% of the company’s stock.

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.