Zuckerman Investment Group LLC Grows Position in Adobe Inc. $ADBE

Zuckerman Investment Group LLC increased its holdings in shares of Adobe Inc. (NASDAQ:ADBE) by 71.2% in the third quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 30,377 shares of the software company’s stock after purchasing an additional 12,636 shares during the quarter. Zuckerman Investment Group LLC’s holdings in Adobe were worth $10,715,000 at the end of the most recent reporting period.

Several other institutional investors and hedge funds have also recently bought and sold shares of ADBE. LSV Asset Management boosted its stake in Adobe by 350.0% during the second quarter. LSV Asset Management now owns 72 shares of the software company’s stock worth $28,000 after buying an additional 56 shares during the period. Caitlin John LLC acquired a new stake in shares of Adobe during the third quarter valued at about $28,000. Horizon Financial Services LLC raised its stake in shares of Adobe by 4,000.0% in the 2nd quarter. Horizon Financial Services LLC now owns 82 shares of the software company’s stock valued at $32,000 after acquiring an additional 80 shares during the period. Total Investment Management Inc. acquired a new position in shares of Adobe in the 2nd quarter worth approximately $35,000. Finally, Heartwood Wealth Advisors LLC acquired a new position in shares of Adobe in the 3rd quarter worth approximately $35,000. 81.79% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several analysts recently weighed in on the stock. KeyCorp dropped their target price on shares of Adobe from $310.00 to $235.00 and set an “underweight” rating for the company in a report on Friday. Jefferies Financial Group decreased their price target on Adobe from $400.00 to $290.00 and set a “hold” rating on the stock in a research note on Monday, February 23rd. The Goldman Sachs Group set a $220.00 price target on Adobe and gave the stock a “sell” rating in a research report on Friday. Citigroup dropped their price objective on Adobe from $387.00 to $315.00 and set a “neutral” rating for the company in a research note on Friday, March 6th. Finally, TD Cowen cut their price objective on Adobe from $400.00 to $325.00 and set a “hold” rating on the stock in a report on Tuesday. One research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, twelve have given a Hold rating and five have given a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus target price of $347.85.

Adobe Stock Down 7.6%

Shares of NASDAQ:ADBE opened at $249.32 on Friday. The firm’s 50 day moving average price is $283.88 and its 200 day moving average price is $323.22. The stock has a market cap of $102.35 billion, a price-to-earnings ratio of 14.52, a price-to-earnings-growth ratio of 1.06 and a beta of 1.53. Adobe Inc. has a fifty-two week low of $244.28 and a fifty-two week high of $422.95. The company has a quick ratio of 1.00, a current ratio of 1.00 and a debt-to-equity ratio of 0.53.

Adobe (NASDAQ:ADBE) last posted its quarterly earnings results on Thursday, March 12th. The software company reported $6.06 EPS for the quarter, topping the consensus estimate of $5.87 by $0.19. Adobe had a net margin of 29.48% and a return on equity of 64.23%. The company had revenue of $6.40 billion during the quarter, compared to analysts’ expectations of $6.28 billion. During the same quarter in the previous year, the business posted $5.08 EPS. The firm’s revenue was up 12.0% on a year-over-year basis. Adobe has set its FY 2026 guidance at 23.300-23.500 EPS and its Q2 2026 guidance at 5.800-5.850 EPS. As a group, equities research analysts predict that Adobe Inc. will post 16.65 earnings per share for the current fiscal year.

Adobe News Roundup

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Record Q1 results and AI traction — Adobe posted above‑consensus Q1 revenue and EPS and highlighted rapid AI-first ARR growth; management framed the quarter as an AI‑led acceleration, which supports the company’s long‑term revenue mix and margins. Adobe Delivers Record Q1 Results
• Neutral Sentiment: Guidance shows upside but raises questions — Adobe’s FY26 EPS range and Q2 outlook exceeded consensus, yet investors parsed the details (ARR cadence, freemium strategy) for sustainability before rewarding the stock. Adobe Q1 earnings & guidance
• Neutral Sentiment: Short‑interest figures reported inconsistently — publicly posted short data showed anomalous/zero values (NaN/0), so current short‑squeeze risk or bearish positioning is unclear.
• Negative Sentiment: DOJ settlement adds immediate cost and reputational overhang — Adobe agreed to a $150M package (roughly $75M cash + $75M in free services) to resolve claims about hard‑to‑cancel subscriptions, creating a headline liability and consumer‑facing remediation burden. Adobe agrees to pay $150 million to resolve alleged violations
• Negative Sentiment: CEO succession uncertainty — Shantanu Narayen announced he will step down once a successor is named (he will remain board chair), creating near‑term leadership uncertainty at a critical time for Adobe’s AI strategy and execution. Shantanu Narayen Announces Decision to Transition as Adobe’s CEO
• Negative Sentiment: Analyst downgrades and lower targets amplify selling — Several firms cut price targets or moved to neutral/equal‑weight, citing CEO transition and mixed ARR trends, which pressured sentiment and triggered further mark‑downs. These Analysts Cut Their Forecasts On Adobe Following Q1 Earnings

Insider Activity

In related news, CFO Daniel Durn sold 1,646 shares of the business’s stock in a transaction on Tuesday, January 27th. The shares were sold at an average price of $294.85, for a total transaction of $485,323.10. Following the completion of the transaction, the chief financial officer owned 41,995 shares in the company, valued at approximately $12,382,225.75. The trade was a 3.77% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Company insiders own 0.20% of the company’s stock.

Adobe Company Profile

Adobe Inc, founded in 1982 by John Warnock and Charles Geschke and headquartered in San Jose, California, is a global software company that develops tools and services for creative professionals, marketers and enterprises. Under the leadership of CEO Shantanu Narayen, who has led the company since 2007, Adobe has evolved from a provider of desktop publishing tools into a cloud-centric provider of digital media and digital experience solutions.

The company’s core offerings are organized around digital media and digital experience.