As of Thursday close, Adobe Inc.’s (NASDAQ:ADBE) stock was up $13.98, moving up 2.56 percent to $559.34. The average number of shares traded per day over the past five days has been 2,401,720 shares. 5 times new highs have been achieved over the past 5 days, with a $46.91 gain in that time frame. In the last twenty days, the average volume was 2,188,830, while in the previous 50 days, it was 2,691,376.
Since last month, ADBE stock rose 5.48%. Shares of the company fell to $503.90 on 08/18/23, the lowest level in the past month. A 52-week high of $552.94 was reached on 08/31/23 after having rallying from a 52-week low of $274.73. Since the beginning of this year, ADBE’s stock price has risen by 66.21% or $222.81, and marked a new high 25 times. However, the stock has increased by 1.16% since its 52-week high.
ADBE stock investors should be aware that Adobe Inc. (ADBE) stock had its last reported insider trading activity 28 days ago on Aug 04. Garfield Mark S., the SVP & CAO of the company, disposed of 298 shares for $526.74 on Aug 04. It resulted in a $156,969 divestment by the insider. Belsky Scott sold 763 shares at an average price of $519.42 on Jul 25. The insider now owns 23,012 shares following the transaction. On Jul 24, EVP, CPO, Creative Cloud Belsky Scott sold 2,191 shares at $520.00 apiece. The transaction was valued at $1,139,320.
Valuation Metrics
Right now, Adobe Inc. (ADBE) has a P/E ratio of about 53.41. The stock’s beta is 1.33. Besides these, the trailing price-to-sales (P/S) ratio of 13.50, the price-to-book (PB) ratio of 17.26, and the price-to-cash flow ratio of 33.52 may also be considered.
Financial Health
In the three months ended May 30, Adobe Inc.’s quick ratio stood at 1.20, while its current ratio was 1.20, showing that the company is able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending May 30 was 0.24, and the total debt-to-equity ratio was 0.24. On the profitability front, the trailing twelve-month gross margin is 87.80% percent. In the year ended May 30, operating margins totaled 33.60%. Based on annual data, ADBE earned $15.44 billion in gross profit and brought in $17.61 billion in revenue.
A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 26.70%. Return on equity (ROE) for the past 12 months was 33.80%.
In Adobe Inc.’s quarter-end financial report for May 30, it reported total debt of $3.63 billion. According to the earnings report, the company had a higher net income in the recent quarter than it did in the previous quarter. ADBE’s revenue rose 8.93% to $4.66 billion during the quarter, while net income inched up to $4.82 billion. While analysts expected Adobe Inc. to report $3.79 quarterly earnings, the actual figure was $3.91 per share, beating the consensus estimate by 3.20%. During the quarter, the company generated $1.84 billion in EBITDA. The liabilities of Adobe Inc. were 13.0 billion at the end of its most recent quarter ended May 30, and its total debt was $4.11 billion. The value of shareholders’ equity is $455.8 million.
Technical Picture
This quick technical analysis looks at Adobe Inc.’s (ADBE) price momentum. With a historical volatility rate of 27.80%, the RSI 9-day stood at 71.98% on 31 August.
With respect to its five-day moving average, the current Adobe Inc. price is up by +9.15% percent or $46.91. At present, ADBE shares trade +6.79% above its 20-day simple moving average and +48.66% percent above its 100-day simple moving average. However, the stock is currently trading approximately +17.14% above its SMA50 and +63.96% above its SMA200.
Stochastic coefficient K was 96.69% and Stochastic coefficient D was 87.31%, while ATR was 14.05. Given the Stochastic reading of 95.26% for the 14-day period, the RSI (14) reading has been calculated as 67.02%. As of today, the MACD Oscillator reading stands at 16.94, while the 14-day reading stands at 22.81.
Analyst Ratings
BofA Securities upgraded its rating on Adobe Inc. (NASDAQ: ADBE) to a Buy in a note to investors on August 17, 2023. The analysts firm previously had a Neutral rating on the stock.Adobe Inc. (ADBE) has been rated Overweight by analysts. According to 0 brokerage firms, ADBE is a sell, and 15 firms recommend it is a Hold. There are 0 analysts who say the stock is underweight. A total of 3 analysts rate Adobe Inc. stock as buy, with 19 recommending it as overweight.
