Adobe (NASDAQ:ADBE) Releases Q1 2025 Earnings Guidance

Adobe (NASDAQ:ADBE) updated its first quarter 2025 earnings guidance on Wednesday. The company provided earnings per share (EPS) guidance of 4.950-5.000 for the period, compared to the consensus estimate of 4.940. The company issued revenue guidance of $5.6 billion-$5.7 billion, compared to the consensus revenue estimate of $5.7 billion. Adobe also updated its FY 2025 guidance to 20.200-20.500 EPS.

Adobe Stock Down 13.7 %

ADBE opened at $474.63 on Friday. Adobe has a fifty-two week low of $433.97 and a fifty-two week high of $638.25. The company has a market capitalization of $208.93 billion, a P/E ratio of 38.28, a P/E/G ratio of 2.52 and a beta of 1.29. The company has a debt-to-equity ratio of 0.28, a current ratio of 1.11 and a quick ratio of 1.11. The firm’s fifty day moving average price is $505.99 and its two-hundred day moving average price is $523.02.

Adobe (NASDAQ:ADBE) last issued its earnings results on Wednesday, December 11th. The software company reported $4.81 earnings per share for the quarter, beating the consensus estimate of $4.67 by $0.14. The business had revenue of $5.61 billion for the quarter, compared to analyst estimates of $5.54 billion. Adobe had a net margin of 25.59% and a return on equity of 42.82%. The firm’s revenue was up 11.1% on a year-over-year basis. During the same period in the previous year, the business earned $3.52 EPS. On average, analysts anticipate that Adobe will post 14.82 EPS for the current year.

Analyst Ratings Changes

A number of equities analysts have commented on ADBE shares. Argus upgraded shares of Adobe to a “strong-buy” rating in a research report on Monday, September 16th. Piper Sandler reduced their target price on Adobe from $635.00 to $600.00 and set an “overweight” rating on the stock in a report on Thursday. Mizuho dropped their price target on Adobe from $640.00 to $620.00 and set an “outperform” rating for the company in a report on Thursday. TD Cowen cut Adobe from a “buy” rating to a “hold” rating and decreased their target price for the stock from $625.00 to $550.00 in a report on Thursday. Finally, Sanford C. Bernstein cut their price target on Adobe from $644.00 to $587.00 and set an “outperform” rating for the company in a report on Thursday. Two research analysts have rated the stock with a sell rating, eight have assigned a hold rating, eighteen have assigned a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat, Adobe currently has an average rating of “Moderate Buy” and a consensus target price of $584.88.

Insiders Place Their Bets

In related news, CAO Jillian Forusz sold 676 shares of the firm’s stock in a transaction dated Tuesday, October 29th. The shares were sold at an average price of $484.97, for a total value of $327,839.72. Following the completion of the sale, the chief accounting officer now directly owns 2,715 shares in the company, valued at approximately $1,316,693.55. This trade represents a 19.94 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director Amy Banse sold 606 shares of the company’s stock in a transaction that occurred on Friday, December 6th. The shares were sold at an average price of $550.00, for a total value of $333,300.00. Following the completion of the sale, the director now owns 32,929 shares in the company, valued at $18,110,950. This represents a 1.81 % decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 34,793 shares of company stock worth $18,069,669. Corporate insiders own 0.15% of the company’s stock.

About Adobe

Adobe Inc, together with its subsidiaries, operates as a diversified software company worldwide. It operates through three segments: Digital Media, Digital Experience, and Publishing and Advertising. The Digital Media segment offers products, services, and solutions that enable individuals, teams, and enterprises to create, publish, and promote content; and Document Cloud, a unified cloud-based document services platform.