Zacks Investment Research upgraded shares of Adobe Systems Incorporated (NASDAQ:ADBE) from a hold rating to a buy rating in a research note issued to investors on Wednesday morning. The brokerage currently has $141.00 target price on the software company’s stock.
According to Zacks, “Adobe’s fiscal first quarter earnings exceeded the Zacks Consensus Estimate backed by demand for the company’s Creative Cloud software tools like Photoshop, which added more subscribers. Over the past one year, the stock has outperformed the Zacks characterized Computer Software industry. We remain optimistic about Adobe’s market position, compelling product lines, continued innovation, solid adoption of Creative Cloud and Adobe marketing cloud and strong balance sheet. Also, its acquisition of TubeMogul will help the company to build its position in the expanding Digital Marketing space. However, end-market recovery appears slow which remains a matter of concern.”
A number of other equities research analysts have also issued reports on the company. Vetr raised Adobe Systems from a hold rating to a buy rating and set a $117.99 target price on the stock in a research report on Monday, January 30th. Goldman Sachs Group Inc reissued a neutral rating and issued a $121.00 target price (up previously from $114.00) on shares of Adobe Systems in a research report on Saturday, March 11th. Dougherty & Co reissued a buy rating and issued a $130.00 target price (up previously from $122.00) on shares of Adobe Systems in a research report on Saturday, December 17th. Pivotal Research reissued a hold rating and issued a $104.00 target price (down previously from $136.00) on shares of Adobe Systems in a research report on Thursday, January 12th. Finally, Robert W. Baird started coverage on Adobe Systems in a research report on Tuesday, February 28th. They issued an outperform rating and a $130.00 target price on the stock. Five research analysts have rated the stock with a hold rating and twenty-two have issued a buy rating to the stock. Adobe Systems currently has an average rating of Buy and a consensus price target of $129.44.
Shares of Adobe Systems (NASDAQ:ADBE) opened at 127.70 on Wednesday. Adobe Systems has a 12 month low of $90.35 and a 12 month high of $130.30. The company has a market cap of $63.16 billion, a PE ratio of 48.76 and a beta of 1.06. The firm’s 50-day moving average price is $120.25 and its 200-day moving average price is $109.86.
Adobe Systems (NASDAQ:ADBE) last released its quarterly earnings data on Thursday, March 16th. The software company reported $0.94 earnings per share for the quarter, beating the Thomson Reuters’ consensus estimate of $0.87 by $0.07. Adobe Systems had a return on equity of 17.23% and a net margin of 19.96%. The business had revenue of $1.68 billion for the quarter, compared to analysts’ expectations of $1.65 billion. During the same quarter in the previous year, the business posted $0.66 EPS. Adobe Systems’s revenue for the quarter was up 21.6% on a year-over-year basis. Equities analysts predict that Adobe Systems will post $3.94 EPS for the current fiscal year.
In related news, insider Shantanu Narayen sold 173,703 shares of the company’s stock in a transaction on Wednesday, January 25th. The stock was sold at an average price of $113.91, for a total transaction of $19,786,508.73. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP Ann Lewnes sold 2,233 shares of the company’s stock in a transaction on Wednesday, March 22nd. The stock was sold at an average price of $125.00, for a total value of $279,125.00. Following the sale, the executive vice president now owns 68,643 shares of the company’s stock, valued at $8,580,375. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 458,673 shares of company stock valued at $52,285,286. Corporate insiders own 0.43% of the company’s stock.
Several hedge funds have recently made changes to their positions in ADBE. Smithfield Trust Co. increased its stake in shares of Adobe Systems by 465.6% in the third quarter. Smithfield Trust Co. now owns 1,018 shares of the software company’s stock valued at $110,000 after buying an additional 838 shares in the last quarter. TCI Wealth Advisors Inc. increased its stake in shares of Adobe Systems by 11.1% in the third quarter. TCI Wealth Advisors Inc. now owns 1,104 shares of the software company’s stock valued at $120,000 after buying an additional 110 shares in the last quarter. Clean Yield Group increased its stake in shares of Adobe Systems by 32.9% in the third quarter. Clean Yield Group now owns 1,130 shares of the software company’s stock valued at $123,000 after buying an additional 280 shares in the last quarter. Kernodle & Katon Asset Management Group LLC increased its stake in shares of Adobe Systems by 69.8% in the third quarter. Kernodle & Katon Asset Management Group LLC now owns 1,204 shares of the software company’s stock valued at $131,000 after buying an additional 495 shares in the last quarter. Finally, Sowell Financial Services LLC acquired a new stake in shares of Adobe Systems during the fourth quarter valued at $148,000. Institutional investors and hedge funds own 87.25% of the company’s stock.
Adobe Systems Company Profile
Adobe Systems Incorporated is a software company. The Company offers products and services used by professionals, marketers, knowledge workers, application developers, enterprises and consumers for creating, managing, delivering, measuring, optimizing and engaging with compelling content and experiences.
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