Rakuten Investment Management Inc. Purchases 8,536 Shares of Adobe Inc. $ADBE

Rakuten Investment Management Inc. increased its holdings in shares of Adobe Inc. (NASDAQ:ADBE) by 12.3% during the fourth quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 77,825 shares of the software company’s stock after purchasing an additional 8,536 shares during the period. Rakuten Investment Management Inc.’s holdings in Adobe were worth $27,485,000 as of its most recent SEC filing.

Several other institutional investors also recently bought and sold shares of ADBE. Beacon Financial Advisory LLC increased its holdings in shares of Adobe by 21.0% during the fourth quarter. Beacon Financial Advisory LLC now owns 698 shares of the software company’s stock valued at $244,000 after acquiring an additional 121 shares in the last quarter. Abound Financial LLC purchased a new stake in shares of Adobe in the 4th quarter valued at $37,000. L2 Asset Management LLC grew its position in Adobe by 3.5% during the 4th quarter. L2 Asset Management LLC now owns 2,583 shares of the software company’s stock worth $904,000 after purchasing an additional 88 shares during the period. 71 West Capital Partners acquired a new stake in Adobe during the fourth quarter worth about $604,000. Finally, Alberta Investment Management Corp grew its stake in shares of Adobe by 793.2% during the 4th quarter. Alberta Investment Management Corp now owns 171,500 shares of the software company’s stock worth $60,023,000 after purchasing an additional 152,300 shares during the period. 81.79% of the stock is currently owned by institutional investors and hedge funds.

Adobe News Roundup

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Adobe’s new partnership with LinkedIn to launch AI-focused marketing coursework could reinforce its position in AI-powered creative and marketing tools, while also helping drive broader product usage. Article Title
• Positive Sentiment: Several recent articles argue Adobe is undervalued after its earnings beat and raised outlook, with commentary suggesting the stock may be trading at an attractive earnings multiple for long-term investors. Article Title
• Positive Sentiment: Multiple analysts and market commentators see Adobe as oversold following its post-earnings drop, pointing to record revenue, stronger guidance, and a discounted valuation as reasons bulls may be stepping in. Article Title
• Neutral Sentiment: Recent coverage from analysts and financial media is mixed, with some emphasizing AI momentum and others highlighting decelerating growth, uncertain ARR durability, and execution risk during Adobe’s strategic transition. Article Title
• Negative Sentiment: Investor concern remains elevated after Adobe CFO Anil Chakravarthy’s departure to join a chipmaker, adding to worries about leadership stability after the stock’s sharp decline. Article Title
• Negative Sentiment: Some market commentary says Adobe is still being treated as a “selloff” name because investors are focused on the challenge of converting AI usage into meaningful revenue growth. Article Title

Analysts Set New Price Targets

ADBE has been the topic of a number of analyst reports. Barclays dropped their target price on Adobe from $275.00 to $250.00 and set an “equal weight” rating on the stock in a research report on Friday. BTIG Research assumed coverage on shares of Adobe in a research note on Monday, April 13th. They set a “neutral” rating for the company. KeyCorp lowered their target price on Adobe from $235.00 to $195.00 and set an “underweight” rating on the stock in a report on Friday. Summit Redstone set a $350.00 price target on Adobe in a research report on Friday, April 17th. Finally, Dbs Bank downgraded Adobe from a “moderate buy” rating to a “hold” rating in a research report on Tuesday, May 19th. Five equities research analysts have rated the stock with a Buy rating, twenty-one have assigned a Hold rating and five have given a Sell rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus target price of $278.16.

Insiders Place Their Bets

In other Adobe news, CFO Daniel Durn sold 1,336 shares of the firm’s stock in a transaction on Monday, April 20th. The stock was sold at an average price of $248.02, for a total transaction of $331,354.72. Following the completion of the sale, the chief financial officer owned 42,833 shares of the company’s stock, valued at $10,623,440.66. This trade represents a 3.02% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Shantanu Narayen sold 75,000 shares of Adobe stock in a transaction on Tuesday, April 28th. The shares were sold at an average price of $243.54, for a total value of $18,265,500.00. Following the completion of the sale, the chief executive officer owned 359,538 shares in the company, valued at $87,561,884.52. This represents a 17.26% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 77,091 shares of company stock valued at $18,782,773 over the last quarter. 0.20% of the stock is owned by insiders.

Adobe Price Performance

Shares of ADBE stock opened at $206.36 on Tuesday. The company has a debt-to-equity ratio of 0.42, a current ratio of 0.75 and a quick ratio of 0.91. The company has a market capitalization of $83.41 billion, a PE ratio of 11.81, a price-to-earnings-growth ratio of 0.80 and a beta of 1.42. The firm’s 50-day moving average is $243.81 and its two-hundred day moving average is $277.53. Adobe Inc. has a 12 month low of $196.90 and a 12 month high of $405.00.

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

Adobe announced that its Board of Directors has authorized a share repurchase plan on Tuesday, April 21st that authorizes the company to buyback $25.00 billion in shares. This buyback authorization authorizes the software company to repurchase up to 24.9% of its stock through open market purchases. Stock buyback plans are typically an indication that the company’s board of directors believes its shares are undervalued.

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.