BMO Capital Markets Has Lowered Expectations for Adobe (NASDAQ:ADBE) Stock Price

Adobe (NASDAQ:ADBE) had its target price cut by analysts at BMO Capital Markets from $375.00 to $285.00 in a research report issued on Friday, MarketBeat Ratings reports. The firm presently has a “market perform” rating on the software company’s stock. BMO Capital Markets’ price target would suggest a potential upside of 12.07% from the stock’s current price.

Several other equities analysts have also issued reports on the stock. Barclays dropped their target price on shares of Adobe from $415.00 to $335.00 and set an “overweight” rating on the stock in a report on Wednesday, March 4th. UBS Group lowered their price objective on Adobe from $375.00 to $340.00 and set a “neutral” rating for the company in a research report on Monday, January 26th. Weiss Ratings downgraded Adobe from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Friday, March 6th. Stifel Nicolaus cut their target price on Adobe from $480.00 to $450.00 and set a “buy” rating on the stock in a research report on Tuesday, December 9th. Finally, Mizuho decreased their target price on Adobe from $410.00 to $390.00 and set an “outperform” rating for the company in a research note on Thursday, November 20th. One analyst has rated the stock with a Strong Buy rating, nine have given a Buy rating, eleven have given a Hold rating and five have issued a Sell rating to the company’s stock. Based on data from MarketBeat, Adobe has an average rating of “Hold” and an average target price of $346.96.

Adobe Trading Down 5.7%

ADBE stock traded down $15.48 during trading on Friday, hitting $254.30. The company had a trading volume of 7,388,223 shares, compared to its average volume of 5,622,554. The stock has a market cap of $104.39 billion, a PE ratio of 15.16, a PEG ratio of 1.08 and a beta of 1.53. The business has a 50-day moving average of $285.56 and a 200-day moving average of $324.01. The company has a current ratio of 1.00, a quick ratio of 1.00 and a debt-to-equity ratio of 0.53. Adobe has a one year low of $244.28 and a one year high of $422.95.

Adobe (NASDAQ:ADBE) last released its quarterly earnings results on Thursday, March 12th. The software company reported $6.06 earnings per share (EPS) for the quarter, topping the consensus estimate of $5.87 by $0.19. Adobe had a net margin of 30.00% and a return on equity of 61.28%. The firm had revenue of $6.40 billion during the quarter, compared to analyst estimates of $6.28 billion. During the same quarter last year, the business earned $5.08 EPS. The company’s revenue was up 12.0% compared to the same quarter last year. Adobe has set its FY 2026 guidance at 23.300-23.500 EPS and its Q2 2026 guidance at 5.800-5.850 EPS. Research analysts predict that Adobe will post 16.65 earnings per share for the current fiscal year.

Insider Buying and Selling at Adobe

In other news, CFO Daniel Durn sold 1,646 shares of the company’s stock in a transaction dated Tuesday, January 27th. The shares were sold at an average price of $294.85, for a total transaction of $485,323.10. Following the transaction, the chief financial officer owned 41,995 shares in the company, valued at approximately $12,382,225.75. This represents a 3.77% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Corporate insiders own 0.20% of the company’s stock.

Institutional Trading of Adobe

Several large investors have recently made changes to their positions in ADBE. LSV Asset Management raised its stake in Adobe by 350.0% during the 2nd quarter. LSV Asset Management now owns 72 shares of the software company’s stock worth $28,000 after buying an additional 56 shares during the period. Measured Wealth Private Client Group LLC acquired a new stake in Adobe in the third quarter valued at approximately $26,000. Western Pacific Wealth Management LP acquired a new stake in Adobe in the fourth quarter valued at approximately $26,000. Caitlin John LLC bought a new stake in shares of Adobe during the third quarter valued at approximately $28,000. Finally, Beacon Financial Strategies CORP acquired a new position in shares of Adobe during the fourth quarter worth approximately $28,000. 81.79% of the stock is currently owned by institutional investors and hedge funds.

More Adobe News

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Adobe reported record Q1 results: revenue and EPS topped expectations and the company said AI‑first annualized recurring revenue more than tripled year‑over‑year, evidence that AI products are driving adoption. Adobe Delivers Record Q1 Results
• Positive Sentiment: Adobe emphasized continued product momentum and has been repurchasing stock, signaling management confidence in the balance sheet and long‑term cash returns to shareholders. Adobe’s Revenue Accelerates. Is It Time to Buy This?
• Neutral Sentiment: Management issued FY‑2026 and Q2 guidance that market participants are parsing for evidence of AI monetization; some see guidance as adequate, others view the tone as cautious amid sector volatility. Adobe Q1 earnings and guidance (MarketBeat)
• Negative Sentiment: CEO Shantanu Narayen said he will transition from the CEO role once a successor is named; investors are unsettled by leadership uncertainty at a pivotal moment for Adobe’s AI strategy. Shantanu Narayen Announces Decision to Transition as Adobe’s CEO
• Negative Sentiment: The market reaction has been sharp: shares are down after hours/premarket as traders price in succession risk and renewed AI‑disruption concerns that have pressured software valuations. Adobe shares drop after CEO exit adds to AI‑disruption concerns (Reuters)
• Negative Sentiment: Adobe agreed to pay $75 million to resolve a U.S. lawsuit over subscription cancellation fees — modest vs. Adobe’s market cap but another near‑term headline and cash outflow. Adobe to pay $75M to resolve US lawsuit (Reuters)
• Negative Sentiment: Several analysts trimmed price targets or issued cautious notes after the report and leadership news, adding downward pressure until clarity on succession and AI monetization emerges. TD Cowen Lowers PT on Adobe

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.