Adobe (NASDAQ:ADBE) Updates Q2 2025 Earnings Guidance

Adobe (NASDAQ:ADBE) updated its second quarter 2025 earnings guidance on Wednesday. The company provided earnings per share guidance of 4.950-5.000 for the period, compared to the consensus earnings per share estimate of 5.000. The company issued revenue guidance of $5.8 billion-$5.8 billion, compared to the consensus revenue estimate of $5.8 billion. Adobe also updated its FY 2025 guidance to 20.200-20.500 EPS.

Adobe Stock Performance

NASDAQ ADBE opened at $438.60 on Thursday. The company has a 50-day simple moving average of $439.01 and a two-hundred day simple moving average of $484.54. Adobe has a 12-month low of $403.75 and a 12-month high of $587.75. The firm has a market cap of $190.97 billion, a price-to-earnings ratio of 35.37, a PEG ratio of 2.15 and a beta of 1.37. The company has a quick ratio of 1.07, a current ratio of 1.07 and a debt-to-equity ratio of 0.29.

Adobe (NASDAQ:ADBE) last issued its earnings results on Wednesday, March 12th. The software company reported $5.08 earnings per share for the quarter, beating the consensus estimate of $4.97 by $0.11. Adobe had a return on equity of 45.87% and a net margin of 25.85%. The company had revenue of $5.71 billion during the quarter, compared to analysts’ expectations of $5.66 billion. During the same period in the prior year, the business posted $4.48 EPS. On average, equities analysts forecast that Adobe will post 16.65 EPS for the current year.

Analysts Set New Price Targets

A number of research analysts recently weighed in on ADBE shares. Citigroup reduced their price objective on Adobe from $551.00 to $490.00 and set a “neutral” rating for the company in a research report on Monday. Bank of America dropped their price target on shares of Adobe from $640.00 to $605.00 and set a “buy” rating on the stock in a research note on Thursday, December 12th. Wells Fargo & Company reduced their price objective on shares of Adobe from $640.00 to $600.00 and set an “overweight” rating for the company in a research note on Friday, March 7th. JMP Securities reiterated a “market perform” rating on shares of Adobe in a research note on Thursday, December 12th. Finally, Sanford C. Bernstein reduced their price target on shares of Adobe from $644.00 to $587.00 and set an “outperform” rating for the company in a research report on Thursday, December 12th. One analyst has rated the stock with a sell rating, eleven have assigned a hold rating, seventeen have given a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $558.96.

Insider Activity

In other news, Director David A. Ricks bought 2,250 shares of the stock in a transaction that occurred on Tuesday, January 28th. The shares were bought at an average price of $443.98 per share, for a total transaction of $998,955.00. Following the purchase, the director now owns 4,984 shares in the company, valued at $2,212,796.32. This represents a 82.30 % increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is available through this link. Also, EVP Scott Belsky sold 3,819 shares of the stock in a transaction on Monday, January 27th. The stock was sold at an average price of $430.24, for a total value of $1,643,086.56. Following the completion of the sale, the executive vice president now owns 18,334 shares of the company’s stock, valued at $7,888,020.16. The trade was a 17.24 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 5,075 shares of company stock valued at $2,191,826 in the last ninety days. Corporate insiders own 0.15% of the company’s stock.

Hedge Funds Weigh In On Adobe

A hedge fund recently raised its stake in Adobe stock. Brighton Jones LLC boosted its holdings in shares of Adobe Inc. (NASDAQ:ADBE) by 2.1% during the 4th quarter, according to its most recent filing with the Securities and Exchange Commission. The firm owned 8,068 shares of the software company’s stock after purchasing an additional 167 shares during the quarter. Brighton Jones LLC’s holdings in Adobe were worth $3,588,000 at the end of the most recent quarter. 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.