MML Investors Services LLC Trims Stake in Adobe Inc. $ADBE

MML Investors Services LLC reduced its stake in shares of Adobe Inc. (NASDAQ:ADBE) by 12.7% in the 4th quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 103,133 shares of the software company’s stock after selling 14,982 shares during the quarter. MML Investors Services LLC’s holdings in Adobe were worth $36,096,000 at the end of the most recent reporting period.

Other institutional investors also recently bought and sold shares of the company. Norges Bank purchased a new stake in shares of Adobe in the fourth quarter valued at approximately $2,275,165,000. Arrowstreet Capital Limited Partnership increased its position in shares of Adobe by 53.3% in the third quarter. Arrowstreet Capital Limited Partnership now owns 5,617,145 shares of the software company’s stock valued at $1,981,448,000 after buying an additional 1,952,994 shares in the last quarter. Dodge & Cox increased its position in shares of Adobe by 8,006.6% in the third quarter. Dodge & Cox now owns 1,593,506 shares of the software company’s stock valued at $562,109,000 after buying an additional 1,573,849 shares in the last quarter. AQR Capital Management LLC increased its position in shares of Adobe by 55.2% in the third quarter. AQR Capital Management LLC now owns 2,587,399 shares of the software company’s stock valued at $912,705,000 after buying an additional 920,353 shares in the last quarter. Finally, Amundi increased its position in shares of Adobe by 17.9% in the third quarter. Amundi now owns 4,888,283 shares of the software company’s stock valued at $1,711,583,000 after buying an additional 742,646 shares in the last quarter. 81.79% of the stock is currently owned by hedge funds and other institutional investors.

More Adobe News

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Several analysts and market commentators argue Adobe looks unusually cheap after the selloff, citing valuation below 10x earnings, strong Q2 results, and raised guidance as reasons the stock could recover. Article Title
• Positive Sentiment: Articles from 247WallSt, Seeking Alpha, and other outlets highlight the gap between Adobe’s strong fundamentals and its depressed share price, with some calling it a buying opportunity and assigning significant upside targets. Article Title
• Positive Sentiment: AI product adoption remains a support for the bull case, with reports saying Adobe’s AI tools such as Firefly are gaining users, even if the company still needs to convert that usage into stronger revenue growth. Article Title
• Neutral Sentiment: Some coverage frames the stock as undervalued or a “bargain,” but this is mostly valuation commentary rather than a fresh operational catalyst. Article Title
• Negative Sentiment: Bearish commentary continues to weigh on sentiment, with analysts and options-market-based reports warning that investors still doubt Adobe’s growth durability and AI monetization, which may explain why the stock remains under pressure despite the earnings beat. Article Title
• Negative Sentiment: Ongoing headlines about a “continued deceleration,” “value trap” concerns, and fears around strategic transition risk and leadership changes suggest investors are still skeptical that Adobe can reaccelerate growth soon. Article Title

Analyst Upgrades and Downgrades

ADBE has been the subject of a number of recent analyst reports. Wall Street Zen cut Adobe from a “buy” rating to a “hold” rating in a research report on Saturday, May 2nd. Barclays cut their price objective on Adobe from $275.00 to $250.00 and set an “equal weight” rating for the company in a research report on Friday. Oppenheimer restated a “market perform” rating on shares of Adobe in a research report on Friday. TD Cowen cut their price objective on Adobe from $310.00 to $285.00 and set a “hold” rating for the company in a research report on Monday, June 8th. Finally, BMO Capital Markets cut their price objective on Adobe from $285.00 to $230.00 and set a “market perform” rating for the company in a research report on Friday. Five analysts have rated the stock with a Buy rating, twenty have assigned a Hold rating and five have assigned a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus price target of $278.16.

Adobe Stock Up 1.1%

Shares of ADBE opened at $206.36 on Tuesday. The company has a debt-to-equity ratio of 0.42, a quick ratio of 0.91 and a current ratio of 0.75. Adobe Inc. has a one year low of $196.90 and a one year high of $405.00. The stock has a market capitalization of $83.41 billion, a price-to-earnings ratio of 11.81, a PEG ratio of 0.80 and a beta of 1.42. The stock has a 50 day moving average price of $243.81 and a 200 day moving average price of $277.53.

Adobe (NASDAQ:ADBE) last issued its quarterly earnings results on Thursday, June 11th. The software company reported $5.96 EPS for the quarter, topping the consensus estimate of $5.82 by $0.14. The firm had revenue of $6.62 billion during the quarter, compared to analysts’ expectations of $6.45 billion. Adobe had a return on equity of 65.11% and a net margin of 28.69%.The firm’s revenue for the quarter was up 12.7% on a year-over-year basis. During the same period in the previous year, the business earned $5.06 earnings per share. Adobe has set its FY 2026 guidance at 24.350-24.450 EPS and its Q3 2026 guidance at 6.050-6.100 EPS. Equities research analysts forecast that Adobe Inc. will post 19.14 earnings per share for the current fiscal year.

Adobe declared that its board has authorized a share buyback program on Tuesday, April 21st that authorizes the company to buyback $25.00 billion in outstanding shares. This buyback authorization authorizes the software company to reacquire up to 24.9% of its shares through open market purchases. Shares buyback programs are usually a sign that the company’s board believes its stock is undervalued.

Insiders Place Their Bets

In other Adobe news, CAO Jillian Forusz sold 755 shares of the business’s stock in a transaction on Thursday, April 30th. The stock was sold at an average price of $246.25, for a total transaction of $185,918.75. Following the transaction, the chief accounting officer owned 3,521 shares of the company’s stock, valued at approximately $867,046.25. The trade was a 17.66% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, CFO Daniel Durn sold 1,336 shares of the business’s stock in a transaction on Monday, April 20th. The stock was sold at an average price of $248.02, for a total value of $331,354.72. Following the transaction, the chief financial officer directly owned 42,833 shares in the company, valued at $10,623,440.66. This trade represents a 3.02% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 77,091 shares of company stock valued at $18,782,773. Insiders own 0.20% of the company’s stock.

About Adobe

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.