As of Wednesday close, Adobe Inc.’s (NASDAQ:ADBE) stock was down -$5.91, moving down -1.09 percent to $535.78. The average number of shares traded per day over the past five days has been 4,445,460 shares. 1 time new highs have been achieved over the past 5 days, with a -$17.78 fall in that time frame. In the last twenty days, the average volume was 3,013,520, while in the previous 50 days, it was 2,821,218.
Since last month, ADBE stock rose 2.94%. Shares of the company fell to $510.29 on 08/21/23, the lowest level in the past month. A 52-week high of $570.24 was reached on 09/08/23 after having rallying from a 52-week low of $274.73. Since the beginning of this year, ADBE’s stock price has risen by 59.21% or $199.25, and marked a new high 27 times. However, the stock has declined by -6.04% since its 52-week high.
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ADBE stock investors should be aware that Adobe Inc. (ADBE) stock had its last reported insider trading activity 3 days ago on Sep 18. Garfield Mark S., the SVP & CAO of the company, disposed of 264 shares for $524.70 on Sep 18. It resulted in a $138,521 divestment by the insider. Garfield Mark S. sold 298 shares at an average price of $526.74 on Aug 04. The insider now owns 4,055 shares following the transaction. On Jul 25, EVP, CPO, Creative Cloud Belsky Scott sold 763 shares at $519.42 apiece. The transaction was valued at $396,317.
Valuation Metrics
Right now, Adobe Inc. (ADBE) has a P/E ratio of about 48.24. 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 16.54, and the price-to-cash flow ratio of 34.83 may also be considered.
Financial Health
In the three months ended August 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 August 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 87.90% percent. In the year ended August 30, EBITDA margin amounted to 39.36%, whereas operating margins totaled 32.30%. 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 33.00%.
In Adobe Inc.’s quarter-end financial report for August 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 $3.98 quarterly earnings, the actual figure was $4.09 per share, beating the consensus estimate by 2.80%. The liabilities of Adobe Inc. were 13.31 billion at the end of its most recent quarter ended August 30, and its total debt was $4.1 billion.
Technical Picture
This quick technical analysis looks at Adobe Inc.’s (ADBE) price momentum. With a historical volatility rate of 34.06%, the RSI 9-day stood at 44.76% on 20 September.
With respect to its five-day moving average, the current Adobe Inc. price is down by -3.21% percent or -$17.78. At present, ADBE shares trade +3.14% above its 20-day simple moving average and +44.25% percent above its 100-day simple moving average. However, the stock is currently trading approximately +6.15% above its SMA50 and +55.70% above its SMA200.
Stochastic coefficient K was 30.07% and Stochastic coefficient D was 29.29%, while ATR was 14.56. Given the Stochastic reading of 28.30% for the 14-day period, the RSI (14) reading has been calculated as 48.65%. As of today, the MACD Oscillator reading stands at -9.10, while the 14-day reading stands at -14.90.
Analyst Ratings
Goldman reiterated its a Buy rating on Adobe Inc. (NASDAQ: ADBE) in a note to investors. The analysts firm has however raised their price target to $625, representing a possible 2.59% increase in the stock price. Adobe Inc. (ADBE) has been rated Overweight by analysts. According to 0 brokerage firms, ADBE is a sell, and 13 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 20 recommending it as overweight.
With a median target price of $610.00, the current consensus forecast for the stock is $428.00 – $660.00. Based on these forecasts, analysts predict Adobe Inc. (ADBE) will achieve an average price target of $599.31.
