Adobe (NASDAQ:ADBE) Reaches New 12-Month Low – What’s Next?

Adobe Inc. (NASDAQ:ADBE) reached a new 52-week low on Friday . The stock traded as low as $432.47 and last traded at $437.40, with a volume of 908693 shares trading hands. The stock had previously closed at $437.39.

Analyst Ratings Changes

ADBE has been the topic of a number of research analyst reports. BMO Capital Markets decreased their target price on Adobe from $600.00 to $570.00 and set an “outperform” rating on the stock in a research report on Thursday, December 12th. Piper Sandler cut their price target on Adobe from $635.00 to $600.00 and set an “overweight” rating for the company in a research note on Thursday, December 12th. Deutsche Bank Aktiengesellschaft lowered their price objective on shares of Adobe from $650.00 to $600.00 and set a “buy” rating on the stock in a research note on Thursday, December 12th. Sanford C. Bernstein reduced their price target on shares of Adobe from $644.00 to $587.00 and set an “outperform” rating on the stock in a report on Thursday, December 12th. Finally, JMP Securities reiterated a “market perform” rating on shares of Adobe in a research report on Thursday, December 12th. Two equities research analysts have rated the stock with a sell rating, eight have given a hold rating, seventeen have given a buy rating and two have given a strong buy rating to the stock. According to MarketBeat, Adobe has a consensus rating of “Moderate Buy” and a consensus target price of $584.88.

Adobe Stock Up 2.2 %

The stock has a fifty day moving average of $500.48 and a two-hundred day moving average of $523.17. The company has a quick ratio of 1.11, a current ratio of 1.11 and a debt-to-equity ratio of 0.28. The stock has a market cap of $196.84 billion, a price-to-earnings ratio of 36.06, a PEG ratio of 2.51 and a beta of 1.29.

Adobe (NASDAQ:ADBE) last released its quarterly earnings data on Wednesday, December 11th. The software company reported $4.81 EPS for the quarter, topping analysts’ consensus estimates of $4.67 by $0.14. Adobe had a return on equity of 45.22% and a net margin of 25.85%. The company had revenue of $5.61 billion for the quarter, compared to the consensus estimate of $5.54 billion. During the same period last year, the business posted $3.52 EPS. The company’s quarterly revenue was up 11.1% compared to the same quarter last year. As a group, analysts predict that Adobe Inc. will post 16.73 EPS for the current fiscal year.

Insider Buying and Selling at Adobe

In related news, EVP Scott Belsky sold 481 shares of the firm’s stock in a transaction dated Friday, October 25th. The stock was sold at an average price of $483.42, for a total transaction of $232,525.02. Following the sale, the executive vice president now directly owns 18,128 shares in the company, valued at approximately $8,763,437.76. This trade represents a 2.58 % decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, CEO Shantanu Narayen sold 25,000 shares of the company’s stock in a transaction that occurred on Wednesday, September 25th. The stock was sold at an average price of $521.58, for a total value of $13,039,500.00. Following the completion of the transaction, the chief executive officer now owns 357,700 shares of the company’s stock, valued at approximately $186,569,166. This represents a 6.53 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 28,293 shares of company stock valued at $14,719,309 over the last ninety days. Corporate insiders own 0.15% of the company’s stock.

Institutional Trading of Adobe

A number of hedge funds have recently made changes to their positions in the company. 1ST Source Bank increased its stake in Adobe by 0.7% during the 3rd quarter. 1ST Source Bank now owns 2,889 shares of the software company’s stock worth $1,496,000 after buying an additional 20 shares during the period. DGS Capital Management LLC increased its position in shares of Adobe by 1.8% during the third quarter. DGS Capital Management LLC now owns 2,436 shares of the software company’s stock worth $1,261,000 after acquiring an additional 42 shares during the last quarter. Oddo BHF Asset Management Sas acquired a new position in shares of Adobe in the third quarter worth about $14,622,000. Inspire Trust Co. N.A. boosted its holdings in Adobe by 9.1% in the third quarter. Inspire Trust Co. N.A. now owns 5,714 shares of the software company’s stock valued at $2,959,000 after purchasing an additional 475 shares during the last quarter. Finally, American Trust acquired a new stake in Adobe during the 3rd quarter valued at approximately $1,057,000. Hedge funds and other 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.