Adobe (NASDAQ:ADBE) Issues FY 2026 Earnings Guidance

Adobe (NASDAQ:ADBE) issued an update on its FY 2026 earnings guidance on Thursday morning. The company provided earnings per share guidance of 24.450-24.500 for the period, compared to the consensus estimate of 23.490. The company issued revenue guidance of $26.6 billion-$26.6 billion, compared to the consensus revenue estimate of $26.5 billion. Adobe also updated its Q4 2026 guidance to 6.300-6.350 EPS.

Adobe Trading Down 2.4%

ADBE stock traded down $6.03 during mid-day trading on Thursday, reaching $248.83. 8,284,082 shares of the stock traded hands, compared to its average volume of 5,789,943. The business has a 50-day moving average price of $252.31 and a two-hundred day moving average price of $245.66. The stock has a market capitalization of $98.91 billion, a PE ratio of 14.24, a PEG ratio of 0.89 and a beta of 1.42. The company has a debt-to-equity ratio of 0.42, a quick ratio of 0.75 and a current ratio of 0.75. Adobe has a one year low of $190.12 and a one year high of $370.86.

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. Equities research analysts expect that Adobe will post 19.83 EPS for the current year.

Analysts Set New Price Targets

A number of research firms have weighed in on ADBE. CLSA assumed coverage on Adobe in a research note on Monday, July 20th. They issued an “outperform” rating and a $300.00 target price on the stock. Sanford C. Bernstein cut their price target on shares of Adobe from $447.00 to $379.00 and set an “outperform” rating on the stock in a report on Friday, June 12th. Robert W. Baird lowered their price objective on shares of Adobe from $270.00 to $230.00 and set a “neutral” rating for the company in a research report on Friday, June 12th. Bank of America lifted their price target on shares of Adobe from $190.00 to $220.00 and gave the company an “underperform” rating in a research note on Wednesday, August 19th. Finally, Evercore set a $225.00 price objective on shares of Adobe and gave the stock an “in-line” rating in a research note on Friday, June 12th. Seven research analysts have rated the stock with a Buy rating, twenty-one have given a Hold rating and five have assigned a Sell rating to the stock. According to MarketBeat.com, the company has an average rating of “Hold” and an average price target of $280.32.

Insider Buying and Selling at Adobe

In related news, CAO Jillian Forusz sold 416 shares of the stock in a transaction on Wednesday, July 29th. The shares were sold at an average price of $264.33, for a total transaction of $109,961.28. Following the sale, the chief accounting officer directly owned 3,824 shares of the company’s stock, valued at approximately $1,010,797.92. This represents a 9.81% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. Also, Director David A. Ricks bought 10,000 shares of the company’s stock in a transaction dated Thursday, June 25th. The shares were acquired at an average price of $194.51 per share, for a total transaction of $1,945,100.00. Following the completion of the transaction, the director directly owned 17,655 shares in the company, valued at approximately $3,434,074.05. This trade represents a 130.63% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. 0.20% of the stock is owned by corporate insiders.

Trending Headlines about Adobe

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Adobe is expanding Acrobat beyond traditional PDFs into an AI-powered productivity platform featuring enterprise search, content creation and other workflow tools. Management hopes broader adoption will create new growth opportunities and strengthen its position against Microsoft and Alphabet. Adobe Acrobat evolves beyond PDFs with enterprise search, AI content creation
• Positive Sentiment: Adobe’s AI initiatives, including Firefly and AI features embedded in Acrobat and Premiere, could help demonstrate monetization and support a more constructive earnings narrative. Analysts expect approximately $6.7 billion of revenue and adjusted EPS near $6.08 for the quarter.
• Neutral Sentiment: The report is expected to be broadly in line with guidance, with Jefferies projecting 11.8% year-over-year revenue growth. Investors will focus less on the quarter’s headline results and more on remaining performance obligations, annual recurring revenue, AI demand, Firefly adoption and guidance.
• Neutral Sentiment: Options markets imply a sizable post-earnings move, reflecting unusually high uncertainty. Adobe previously exceeded its EPS consensus estimate, but historical earnings reactions have often been negative despite such beats.
• Negative Sentiment: AI-native competitors and products from Microsoft and Alphabet are raising questions about Adobe’s pricing power and long-term growth. Analysts also cite mixed demand, tougher comparisons and persistent concerns about subscription growth and the company’s freemium push. Adobe earnings preview: ARR concerns persist amid freemium push
• Negative Sentiment: The appointment of Anil Chakravarthy as incoming CEO, alongside an interim CFO and the end of Shantanu Narayen’s tenure, has increased execution risk. OpenAI also reportedly restricted advertising from competing image- and audio-generation products, potentially limiting a marketing channel Adobe had used. OpenAI restricts rival AI ad campaigns in ChatGPT

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the business. Schnieders Capital Management LLC. lifted its holdings in Adobe by 7.8% in the 2nd quarter. Schnieders Capital Management LLC. now owns 2,630 shares of the software company’s stock valued at $1,017,000 after purchasing an additional 190 shares in the last quarter. Brighton Jones LLC grew its holdings in shares of Adobe by 2.1% during the fourth quarter. Brighton Jones LLC now owns 8,068 shares of the software company’s stock worth $3,588,000 after buying an additional 167 shares in the last quarter. Sivia Capital Partners LLC raised its position in shares of Adobe by 25.5% in the second quarter. Sivia Capital Partners LLC now owns 2,394 shares of the software company’s stock valued at $926,000 after buying an additional 486 shares during the last quarter. Prosperity Bancshares Inc purchased a new position in shares of Adobe in the fourth quarter worth about $88,000. Finally, Wealth Watch Advisors INC lifted its stake in shares of Adobe by 100.9% in the fourth quarter. Wealth Watch Advisors INC now owns 426 shares of the software company’s stock worth $149,000 after buying an additional 214 shares in the last quarter. 81.79% of the stock is owned by institutional investors and hedge funds.

Adobe Company Profile

Adobe Inc (NASDAQ:ADBE) develops software and services used for digital content creation, document management and digital experiences. The company serves creative professionals, marketers, enterprises, educators and consumers worldwide through subscription-based and cloud-enabled products.

Adobe’s Creative Cloud portfolio includes applications such as Photoshop, Illustrator, InDesign, Premiere Pro and After Effects, along with related tools for photography, graphic design, video production and web development.