Stephens Inc. AR Lowers Holdings in Adobe Inc. $ADBE

Stephens Inc. AR trimmed its holdings in Adobe Inc. (NASDAQ:ADBE) by 9.6% in the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 22,931 shares of the software company’s stock after selling 2,428 shares during the quarter. Stephens Inc. AR’s holdings in Adobe were worth $5,595,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds have also recently modified their holdings of the stock. Willis Investment Counsel grew its holdings in shares of Adobe by 138.9% in the fourth quarter. Willis Investment Counsel now owns 40,715 shares of the software company’s stock valued at $14,250,000 after purchasing an additional 23,671 shares in the last quarter. Nicholas Company Inc. raised its stake in Adobe by 7.6% during the fourth quarter. Nicholas Company Inc. now owns 174,626 shares of the software company’s stock valued at $61,117,000 after purchasing an additional 12,400 shares in the last quarter. Teacher Retirement System of Texas lifted its position in Adobe by 13.4% during the fourth quarter. Teacher Retirement System of Texas now owns 215,611 shares of the software company’s stock valued at $75,462,000 after purchasing an additional 25,435 shares during the last quarter. Wealthfront Advisers LLC lifted its position in Adobe by 13.2% during the fourth quarter. Wealthfront Advisers LLC now owns 55,179 shares of the software company’s stock valued at $19,312,000 after purchasing an additional 6,426 shares during the last quarter. Finally, True North Advisors LLC grew its stake in shares of Adobe by 301.1% in the 4th quarter. True North Advisors LLC now owns 6,493 shares of the software company’s stock worth $2,273,000 after buying an additional 4,874 shares in the last quarter. Institutional investors own 81.79% of the company’s stock.

Adobe Price Performance

ADBE stock opened at $221.54 on Wednesday. The stock has a market cap of $88.06 billion, a PE ratio of 12.67, a P/E/G ratio of 0.76 and a beta of 1.43. Adobe Inc. has a 12 month low of $190.12 and a 12 month high of $386.60. The company has a 50-day moving average price of $232.01 and a 200 day moving average price of $262.68. The company has a current ratio of 0.75, a quick ratio of 0.75 and a debt-to-equity ratio of 0.42.

Adobe (NASDAQ:ADBE) last announced its quarterly earnings data on Thursday, June 11th. The software company reported $5.96 earnings per share (EPS) for the quarter, topping the consensus estimate of $5.82 by $0.14. Adobe had a net margin of 28.69% and a return on equity of 65.11%. The business had revenue of $6.62 billion during the quarter, compared to the consensus estimate of $6.45 billion. During the same quarter last year, the firm earned $5.06 earnings per share. The firm’s quarterly revenue was up 12.7% compared to the same quarter last year. Adobe has set its FY 2026 guidance at 24.350-24.450 EPS and its Q3 2026 guidance at 6.050-6.100 EPS. Equities research analysts anticipate that Adobe Inc. will post 19.8 earnings per share for the current year.

Adobe announced that its board has initiated a stock repurchase plan on Tuesday, April 21st that authorizes the company to repurchase $25.00 billion in shares. This repurchase authorization authorizes the software company to repurchase up to 24.9% of its shares through open market purchases. Shares repurchase plans are often an indication that the company’s board of directors believes its shares are undervalued.

Wall Street Analyst Weigh In

Several brokerages have recently issued reports on ADBE. Dbs Bank cut shares of Adobe from a “moderate buy” rating to a “hold” rating in a research report on Tuesday, May 19th. TD Cowen dropped their price target on Adobe from $310.00 to $285.00 and set a “hold” rating for the company in a research report on Monday, June 8th. Robert W. Baird reduced their price objective on Adobe from $270.00 to $230.00 and set a “neutral” rating on the stock in a research note on Friday, June 12th. The Goldman Sachs Group decreased their price objective on Adobe from $220.00 to $190.00 and set a “sell” rating on the stock in a research report on Friday, June 12th. Finally, Wall Street Zen lowered Adobe from a “buy” rating to a “hold” rating in a research note on Saturday. Six research analysts have rated the stock with a Buy rating, twenty-two have issued a Hold rating and five have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average target price of $275.00.

Key Adobe News

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Adobe shares are benefiting from renewed optimism that its AI strategy could support the business, with some commentary arguing the company may still be positioned to gain from AI disruption. How Adobe Stock Could Benefit From AI Disruption
• Positive Sentiment: The stock is also being helped by broader analyst interest after recent bullish tone shifts, which traders appear to be using to buy the recent weakness. Adobe Shares Defy Nasdaq Sell-Off Tuesday: What’s Going On?
• Neutral Sentiment: Some articles describe Adobe as undervalued or “temptingly cheap,” but note that valuation alone may not be enough to make it an attractive buy for bargain hunters. Adobe’s stock is temptingly cheap. Should investors bite?
• Negative Sentiment: Bank of America reinstated Adobe at Underperform with a $190 price target, saying generative AI is lowering barriers to content creation and increasing competition for Adobe’s core creative software. Adobe reinstated at Underperform by Bank of America as AI pressures growth outlook
• Negative Sentiment: Another BofA-led note argued Figma is a better AI bet than Adobe, reinforcing concerns that Adobe could face competitive pressure from AI-native rivals. Why Figma Is a Better AI Bet Than Adobe

Insiders Place Their Bets

In other Adobe news, CAO Jillian Forusz sold 755 shares of the company’s stock in a transaction on Thursday, April 30th. The stock was sold at an average price of $246.25, for a total value of $185,918.75. Following the transaction, the chief accounting officer owned 3,521 shares of the company’s stock, valued at $867,046.25. This represents a 17.66% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director David A. Ricks bought 10,000 shares of the firm’s stock in a transaction dated Thursday, June 25th. The shares were acquired at an average price of $194.51 per share, with a total value of $1,945,100.00. Following the completion of the transaction, the director owned 17,655 shares of the company’s stock, valued at approximately $3,434,074.05. The trade was a 130.63% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders sold a total of 77,091 shares of company stock valued at $18,782,773 over the last quarter. 0.20% of the stock is currently owned by insiders.

Adobe 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.