In-Depth Examination Of 21 Analyst Recommendations For Adobe
In the last three months, 21 analysts have published ratings on Adobe (NASDAQ:ADBE), offering a diverse range of perspectives from bullish to bearish.
The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 3 | 12 | 5 | 1 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 0 | 8 | 3 | 1 | 0 |
| 2M Ago | 3 | 3 | 2 | 0 | 0 |
| 3M Ago | 0 | 0 | 0 | 0 | 0 |
Analysts have recently evaluated Adobe and provided 12-month price targets. The average target is $594.71, accompanied by a high estimate of $700.00 and a low estimate of $450.00. A decline of 1.63% from the prior average price target is evident in the current average.
Analyzing Analyst Ratings: A Detailed Breakdown
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 Bracelin | Piper Sandler | Lowers | Overweight | $635.00 | $700.00 |
| Mark Moerdler | Bernstein | Raises | Outperform | $660.00 | $653.00 |
| Karl Keirstead | UBS | Raises | Neutral | $600.00 | $540.00 |
| Tyler Radke | Citigroup | Raises | Neutral | $550.00 | $529.00 |
| Brent Bracelin | Piper Sandler | Maintains | Overweight | $700.00 | $700.00 |
| Keith Bachman | BMO Capital | Raises | Outperform | $580.00 | $525.00 |
| Brian Schwartz | Oppenheimer | Maintains | Outperform | $580.00 | $580.00 |
| Michael Turrin | Wells Fargo | Raises | Overweight | $700.00 | $675.00 |
| Matthew Hedberg | RBC Capital | Maintains | Outperform | $600.00 | $600.00 |
| Saket Kalia | Barclays | Raises | Overweight | $650.00 | $630.00 |
| Mark Murphy | JP Morgan | Raises | Overweight | $580.00 | $570.00 |
| Rob Oliver | Baird | Raises | Neutral | $545.00 | $525.00 |
| Jackson Ader | Keybanc | Raises | Underweight | $450.00 | $445.00 |
| Tyler Radke | Citigroup | Lowers | Neutral | $529.00 | $554.00 |
| Derrick Wood | TD Cowen | Lowers | Buy | $625.00 | $640.00 |
| Ben Reitzes | Melius Research | Announces | Hold | $510.00 | - |
| Kirk Materne | Evercore ISI Group | Maintains | Outperform | $650.00 | $650.00 |
| Gregg Moskowitz | Mizuho | Lowers | Buy | $640.00 | $680.00 |
| Parker Lane | Stifel | Lowers | Buy | $600.00 | $625.00 |
| Keith Bachman | BMO Capital | Lowers | Outperform | $525.00 | $610.00 |
| Brian Schwartz | Oppenheimer | Lowers | Outperform | $580.00 | $660.00 |
Key Insights:
- Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Adobe. This information offers a snapshot of how analysts perceive the current state of the company.
- Rating: Analyzing trends, analysts offer qualitative evaluations, ranging from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Adobe compared to the broader market.
- Price Targets: Analysts predict movements in price targets, offering estimates for Adobe's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.
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.
Delving into Adobe's Background
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,g 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).
Breaking Down Adobe's Financial Performance
Market Capitalization: Exceeding industry standards, the company's market capitalization places it above industry average in size relative to peers. This emphasizes its significant scale and robust market position.
Revenue Growth: Adobe's revenue growth over a period of 3 months has been noteworthy. As of 31 May, 2024, the company achieved a revenue growth rate of approximately 10.24%. This indicates 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 29.63%, the company demonstrates strong profitability and effective cost management.
Return on Equity (ROE): Adobe's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 10.38% ROE, the company effectively utilizes shareholder equity capital.
Return on Assets (ROA): Adobe's ROA stands out, surpassing industry averages. With an impressive ROA of 5.35%, the company demonstrates effective utilization of assets and strong financial performance.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.41.
Understanding the Relevance of Analyst Ratings
Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.
Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.
This article was generated by Benzinga's automated content engine and reviewed by an editor.