GAMMA Investing LLC Raises Position in Adobe Inc. $ADBE

GAMMA Investing LLC lifted its holdings in shares of Adobe Inc. (NASDAQ:ADBE) by 31.6% during the 4th quarter, Holdings Channel.com reports. The firm owned 8,637 shares of the software company’s stock after acquiring an additional 2,074 shares during the period. GAMMA Investing LLC’s holdings in Adobe were worth $3,023,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Norges Bank purchased a new position in Adobe during the second quarter worth about $2,029,950,000. Arrowstreet Capital Limited Partnership grew its holdings in Adobe by 53.3% in the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 5,617,145 shares of the software company’s stock valued at $1,981,448,000 after buying an additional 1,952,994 shares during the period. Dodge & Cox grew its holdings in Adobe by 8,006.6% in the 3rd quarter. Dodge & Cox now owns 1,593,506 shares of the software company’s stock valued at $562,109,000 after buying an additional 1,573,849 shares during the period. AQR Capital Management LLC increased its stake in shares of Adobe by 55.2% during the 3rd quarter. AQR Capital Management LLC now owns 2,587,399 shares of the software company’s stock valued at $912,705,000 after acquiring an additional 920,353 shares during the last quarter. Finally, Franklin Resources Inc. increased its stake in shares of Adobe by 68.9% during the 2nd quarter. Franklin Resources Inc. now owns 1,939,018 shares of the software company’s stock valued at $750,168,000 after acquiring an additional 791,077 shares during the last quarter. Hedge funds and other institutional investors own 81.79% of the company’s stock.

Key Stories Impacting Adobe

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Record Q1 financials and AI adoption: Adobe reported a stronger-than-expected fiscal Q1 with revenue and EPS beats and management highlighted broad adoption of AI-powered products, which supports the longer-term growth thesis. AI Integration and Capabilities Power Adobe Inc. (ADBE) to Record First Quarter
• Positive Sentiment: NVIDIA partnership to accelerate AI capabilities: Adobe announced tighter collaboration with NVIDIA to boost Firefly and AI workflows — a positive for product differentiation and enterprise AI traction. Adobe Taps NVIDIA for AI: Can a Rich Partner Base Aid ADBE Stock?
• Positive Sentiment: High-profile commercial win — MLB deal expands Adobe’s enterprise footprint and provides a large-scale use case for its AI-enabled creative and marketing tools. Adobe’s MLB Deal Puts AI Tools To The Test At Scale
• Neutral Sentiment: Analyst and investor Q&A focus: Wall Street is parsing management’s guidance and strategic shifts — see key analyst questions from the Q1 call that investors should monitor. 5 Must-Read Analyst Questions From Adobe’s Q1 Earnings Call
• Neutral Sentiment: Reported short-interest figures are inconsistent (zero/NaN entries), suggesting the published short-interest data for March may be unreliable and should be treated cautiously.
• Negative Sentiment: UK antitrust probe into cancellation fees: Britain’s CMA opened an investigation into Adobe’s early cancellation charges — this raises regulatory risk and potential fines or remediation. UK regulator probes Photoshop maker Adobe over cancellation fee concerns
• Negative Sentiment: Settlement and remediation costs tied to cancellation issues: reports say Adobe will provide $75M in free services and pay a $75M penalty — a direct near-term hit and reputational headwind. Adobe to offer users free services $75 million over hard-to-cancel subscription mess
• Negative Sentiment: Heavy bearish derivatives flow: unusually large put buying (≈118,864 puts) signals elevated short-term bearish positioning and hedging activity, intensifying downside pressure.
• Negative Sentiment: Analyst downgrades and price-target cuts: Citi, UBS and others trimmed targets and Goldman flagged heightened uncertainty until Adobe names a permanent CEO — this weakens near-term sentiment. Goldman Sachs Sounds the Alarm on Adobe Stock, Pointing at ‘Uncertainty until Adobe’s Next CEO Is Announced’
• Negative Sentiment: Competitive and macro sentiment risks: pieces warning of a broader “SaaSpocalypse,” Google’s Stitch redesign, and CIO survey results labeling Adobe a branded-AI laggard have amplified selling pressure. Salesforce, Adobe Stocks Face 2008-Style Collapse In ‘SaaSpocalypse’

Wall Street Analyst Weigh In

Several equities research analysts recently issued reports on the stock. Jefferies Financial Group decreased their target price on shares of Adobe from $400.00 to $290.00 and set a “hold” rating on the stock in a research report on Monday, February 23rd. Citigroup cut their price target on shares of Adobe from $315.00 to $278.00 and set a “neutral” rating on the stock in a research note on Monday. Argus reiterated a “hold” rating on shares of Adobe in a report on Monday. BMO Capital Markets lowered their price objective on shares of Adobe from $375.00 to $285.00 and set a “market perform” rating for the company in a research note on Friday, March 13th. Finally, Wolfe Research dropped their price objective on Adobe from $450.00 to $440.00 and set an “outperform” rating for the company in a report on Thursday, December 11th. One investment analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, thirteen have assigned a Hold rating and five have assigned a Sell rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $343.88.

Insider Buying and Selling at Adobe

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

Adobe Trading Down 0.0%

NASDAQ ADBE opened at $245.99 on Friday. Adobe Inc. has a one year low of $244.27 and a one year high of $422.95. The company’s 50 day moving average price is $276.95 and its 200 day moving average price is $320.28. The company has a debt-to-equity ratio of 0.47, a quick ratio of 1.00 and a current ratio of 0.91. The firm has a market capitalization of $100.98 billion, a price-to-earnings ratio of 14.33, a PEG ratio of 0.97 and a beta of 1.53.

Adobe (NASDAQ:ADBE) last released its quarterly earnings data 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 29.48% and a return on equity of 64.48%. The company had revenue of $6.40 billion during the quarter, compared to the consensus estimate of $6.28 billion. During the same period in the previous year, the firm earned $5.08 earnings per share. Adobe’s revenue for the quarter was up 12.0% on a year-over-year basis. Adobe has set its FY 2026 guidance at 23.300-23.500 EPS and its Q2 2026 guidance at 5.800-5.850 EPS. On average, sell-side analysts predict that Adobe Inc. will post 16.65 EPS for the current year.

Adobe Company Profile

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.