Beyond The Numbers: 24 Analysts Discuss Adobe Stock
In the preceding three months, 24 analysts have released ratings for Adobe (NASDAQ:ADBE), presenting a wide array of perspectives from bullish to bearish.
The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 3 | 13 | 7 | 1 | 0 |
| Last 30D | 1 | 0 | 0 | 0 | 0 |
| 1M Ago | 2 | 10 | 5 | 1 | 0 |
| 2M Ago | 0 | 2 | 0 | 0 | 0 |
| 3M Ago | 0 | 1 | 2 | 0 | 0 |
Insights from analysts' 12-month price targets are revealed, presenting an average target of $521.17, a high estimate of $640.00, and a low estimate of $390.00. Observing a downward trend, the current average is 8.64% lower than the prior average price target of $570.46.
Decoding Analyst Ratings: A Detailed Look
A comprehensive examination of how financial experts perceive Adobe is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Brent Thill | Jefferies | Lowers | Buy | $590.00 | $650.00 |
| Matthew Swanson | RBC Capital | Maintains | Outperform | $530.00 | $530.00 |
| Rob Oliver | Baird | Lowers | Neutral | $410.00 | $490.00 |
| Tyler Radke | Citigroup | Lowers | Neutral | $430.00 | $490.00 |
| Mark Murphy | JP Morgan | Lowers | Overweight | $540.00 | $580.00 |
| Matthew Swanson | RBC Capital | Lowers | Outperform | $530.00 | $550.00 |
| Parker Lane | Stifel | Lowers | Buy | $525.00 | $600.00 |
| Keith Bachman | BMO Capital | Lowers | Outperform | $495.00 | $515.00 |
| Kirk Materne | Evercore ISI Group | Lowers | Outperform | $550.00 | $650.00 |
| Jackson Ader | Keybanc | Lowers | Underweight | $390.00 | $450.00 |
| Karl Keirstead | UBS | Lowers | Neutral | $460.00 | $475.00 |
| Gregg Moskowitz | Mizuho | Lowers | Outperform | $575.00 | $620.00 |
| Brad Sills | B of A Securities | Lowers | Buy | $528.00 | $605.00 |
| Rob Oliver | Baird | Lowers | Neutral | $490.00 | $500.00 |
| Brian Schwartz | Oppenheimer | Lowers | Outperform | $530.00 | $560.00 |
| Keith Weiss | Morgan Stanley | Lowers | Overweight | $600.00 | $660.00 |
| Tyler Radke | Citigroup | Lowers | Neutral | $490.00 | $551.00 |
| Matthew Swanson | RBC Capital | Lowers | Outperform | $550.00 | $590.00 |
| Michael Turrin | Wells Fargo | Lowers | Overweight | $600.00 | $640.00 |
| Keith Bachman | BMO Capital | Lowers | Outperform | $515.00 | $570.00 |
| Matthew Swanson | RBC Capital | Maintains | Outperform | $590.00 | $590.00 |
| Brad Zelnick | Deutsche Bank | Lowers | Hold | $475.00 | $600.00 |
| Michael Turrin | Wells Fargo | Lowers | Overweight | $640.00 | $700.00 |
| Karl Keirstead | UBS | Lowers | Neutral | $475.00 | $525.00 |
Key Insights:
- Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Adobe. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Adobe compared to the broader market.
- Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.
Assessing these analyst evaluations alongside crucial financial indicators can provide a comprehensive overview of Adobe's market position. Stay informed and make well-judged decisions with the assistance of our Ratings Table.
Stay up to date on Adobe analyst ratings.
Unveiling the Story Behind Adobe
Adobe provides content creation, document management, and digital marketing and advertising software and services to creative professionals and marketers for creating, managing, delivering, measuring, optimizing, and engaging with compelling content multiple operating systems, devices, and media. The company operates with three segments: digital media content creation, digital experience for marketing solutions, and publishing for legacy products (less than 5% of revenue).
Key Indicators: Adobe's Financial Health
Market Capitalization: Positioned above industry average, the company's market capitalization underscores its superiority in size, indicative of a strong market presence.
Revenue Growth: Adobe's remarkable performance in 3 months is evident. As of 28 February, 2025, the company achieved an impressive revenue growth rate of 10.27%. This signifies a substantial increase in the company's top-line earnings. When compared to others in the Information Technology sector, the company faces challenges, achieving a growth rate lower than the average among peers.
Net Margin: Adobe's net margin is impressive, surpassing industry averages. With a net margin of 31.69%, the company demonstrates strong profitability and effective cost management.
Return on Equity (ROE): Adobe's ROE stands out, surpassing industry averages. With an impressive ROE of 13.32%, the company demonstrates effective use of equity capital and strong financial performance.
Return on Assets (ROA): Adobe's ROA stands out, surpassing industry averages. With an impressive ROA of 6.02%, the company demonstrates effective utilization of assets and strong financial performance.
Debt Management: With a below-average debt-to-equity ratio of 0.5, Adobe adopts a prudent financial strategy, indicating a balanced approach to debt management.
The Core of Analyst Ratings: What Every Investor Should Know
Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.
In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.
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This article was generated by Benzinga's automated content engine and reviewed by an editor.