Adobe (NASDAQ:ADBE) Releases Q2 2025 Earnings Guidance

Adobe (NASDAQ:ADBE) updated its second quarter 2025 earnings guidance on Wednesday. The company provided EPS guidance of 4.950-5.000 for the period, compared to the consensus EPS estimate of 5.000. The company issued revenue guidance of $5.8 billion-$5.8 billion, compared to the consensus revenue estimate of $5.8 billion. Adobe also updated its FY 2025 guidance to 20.200-20.500 EPS.

Adobe Trading Up 1.1 %

ADBE traded up $4.94 during midday trading on Wednesday, hitting $438.60. 5,184,676 shares of the company were exchanged, compared to its average volume of 3,427,654. The firm has a market capitalization of $190.97 billion, a P/E ratio of 35.37, a P/E/G ratio of 2.15 and a beta of 1.37. The firm’s 50 day moving average price is $439.13 and its 200-day moving average price is $484.86. The company has a quick ratio of 1.07, a current ratio of 1.07 and a debt-to-equity ratio of 0.29. Adobe has a 1-year low of $403.75 and a 1-year high of $587.75.

Adobe (NASDAQ:ADBE) last announced its earnings results on Wednesday, December 11th. The software company reported $4.81 earnings per share for the quarter, topping analysts’ consensus estimates of $4.67 by $0.14. The business had revenue of $5.61 billion during the quarter, compared to the consensus estimate of $5.54 billion. Adobe had a net margin of 25.85% and a return on equity of 45.87%. Adobe’s quarterly revenue was up 11.1% on a year-over-year basis. During the same quarter last year, the firm earned $3.52 earnings per share. As a group, equities analysts forecast that Adobe will post 16.65 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

Several brokerages have issued reports on ADBE. Bank of America dropped their price target on Adobe from $640.00 to $605.00 and set a “buy” rating on the stock in a research note on Thursday, December 12th. Piper Sandler decreased their price target on Adobe from $635.00 to $600.00 and set an “overweight” rating for the company in a report on Thursday, December 12th. StockNews.com cut shares of Adobe from a “strong-buy” rating to a “buy” rating in a research report on Tuesday, March 4th. Jefferies Financial Group cut their price target on shares of Adobe from $700.00 to $650.00 and set a “buy” rating on the stock in a report on Thursday, December 12th. Finally, UBS Group decreased their target price on Adobe from $525.00 to $475.00 and set a “neutral” rating for the company in a research report on Friday, January 3rd. One equities research analyst has rated the stock with a sell rating, eleven have assigned a hold rating, seventeen have given a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $563.96.

Insiders Place Their Bets

In related news, Director David A. Ricks purchased 2,250 shares of the firm’s stock in a transaction on Tuesday, January 28th. The shares were acquired at an average cost of $443.98 per share, with a total value of $998,955.00. Following the purchase, the director now directly owns 4,984 shares of the company’s stock, valued at approximately $2,212,796.32. This trade represents a 82.30 % increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is available at the SEC website. Also, EVP Scott Belsky sold 922 shares of the stock in a transaction that occurred on Friday, January 24th. The shares were sold at an average price of $437.28, for a total value of $403,172.16. Following the sale, the executive vice president now directly owns 22,153 shares of the company’s stock, valued at approximately $9,687,063.84. This trade represents a 4.00 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 5,075 shares of company stock valued at $2,191,826 over the last quarter. 0.15% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Adobe

A hedge fund recently raised its stake in Adobe stock. Brighton Jones LLC raised its position in Adobe Inc. (NASDAQ:ADBE) by 2.1% during the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm owned 8,068 shares of the software company’s stock after acquiring an additional 167 shares during the quarter. Brighton Jones LLC’s holdings in Adobe were worth $3,588,000 at the end of the most recent quarter. 81.79% of the stock is owned by institutional investors and hedge funds.

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.