Adobe (NASDAQ:ADBE) Releases FY 2026 Earnings Guidance

Adobe (NASDAQ:ADBE) issued an update on its FY 2026 earnings guidance on Thursday morning. The company provided earnings per share (EPS) guidance of 24.450-24.500 for the period, compared to the consensus estimate of 23.490. The company issued revenue guidance of $26.6 billion-$26.6 billion, compared to the consensus revenue estimate of $26.5 billion. Adobe also updated its Q4 2026 guidance to 6.300-6.350 EPS.

Adobe Stock Down 2.4%

Shares of Adobe stock traded down $6.03 during trading hours on Thursday, reaching $248.83. 9,147,733 shares of the company were exchanged, compared to its average volume of 5,802,552. The firm has a market cap of $98.91 billion, a PE ratio of 14.24, a PEG ratio of 0.89 and a beta of 1.42. The stock’s fifty day moving average is $252.31 and its 200 day moving average is $245.66. Adobe has a 1 year low of $190.12 and a 1 year high of $370.86. The company has a debt-to-equity ratio of 0.42, a quick ratio of 0.75 and a current ratio of 0.75.

Adobe (NASDAQ:ADBE) last released its earnings results on Thursday, September 10th. The software company reported $4.75 EPS for the quarter, missing the consensus estimate of $6.08 by ($1.33). Adobe had a return on equity of 65.11% and a net margin of 28.69%.Adobe has set its Q4 2026 guidance at 6.300-6.350 EPS and its FY 2026 guidance at 24.450-24.500 EPS. As a group, equities research analysts forecast that Adobe will post 19.83 earnings per share for the current year.

Analyst Ratings Changes

A number of research analysts recently issued reports on the stock. Mizuho set a $260.00 price target on shares of Adobe in a research note on Tuesday. CLSA initiated coverage on shares of Adobe in a report on Monday, July 20th. They set an “outperform” rating and a $300.00 price objective on the stock. Citizens Jmp reissued a “market perform” rating on shares of Adobe in a report on Friday, June 12th. Wolfe Research downgraded shares of Adobe from an “outperform” rating to a “peer perform” rating in a research report on Friday, June 12th. Finally, JPMorgan Chase & Co. decreased their price objective on Adobe from $420.00 to $340.00 and set an “overweight” rating for the company in a research report on Friday, June 12th. Seven analysts have rated the stock with a Buy rating, twenty-one have given a Hold rating and five have issued a Sell rating to the stock. According to MarketBeat, Adobe presently has a consensus rating of “Hold” and an average price target of $280.32.

Insider Buying and Selling at Adobe

In related news, Director David A. Ricks bought 10,000 shares of the stock in a transaction on Thursday, June 25th. The shares were bought at an average cost of $194.51 per share, for a total transaction of $1,945,100.00. Following the completion of the transaction, the director owned 17,655 shares of the company’s stock, valued at $3,434,074.05. This represents a 130.63% increase in their position. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CAO Jillian Forusz sold 416 shares of Adobe stock in a transaction that occurred on Wednesday, July 29th. The shares were sold at an average price of $264.33, for a total transaction of $109,961.28. Following the sale, the chief accounting officer owned 3,824 shares of the company’s stock, valued at approximately $1,010,797.92. The trade was a 9.81% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. 0.20% of the stock is currently owned by insiders.

More Adobe News

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Adobe is expanding Acrobat beyond traditional PDFs into an AI-powered productivity platform featuring enterprise search, content creation and other workflow tools. Management hopes broader adoption will create new growth opportunities and strengthen its position against Microsoft and Alphabet. Adobe Acrobat evolves beyond PDFs with enterprise search, AI content creation
• Positive Sentiment: Adobe’s AI initiatives, including Firefly and AI features embedded in Acrobat and Premiere, could help demonstrate monetization and support a more constructive earnings narrative. Analysts expect approximately $6.7 billion of revenue and adjusted EPS near $6.08 for the quarter.
• Neutral Sentiment: The report is expected to be broadly in line with guidance, with Jefferies projecting 11.8% year-over-year revenue growth. Investors will focus less on the quarter’s headline results and more on remaining performance obligations, annual recurring revenue, AI demand, Firefly adoption and guidance.
• Neutral Sentiment: Options markets imply a sizable post-earnings move, reflecting unusually high uncertainty. Adobe previously exceeded its EPS consensus estimate, but historical earnings reactions have often been negative despite such beats.
• Negative Sentiment: AI-native competitors and products from Microsoft and Alphabet are raising questions about Adobe’s pricing power and long-term growth. Analysts also cite mixed demand, tougher comparisons and persistent concerns about subscription growth and the company’s freemium push. Adobe earnings preview: ARR concerns persist amid freemium push
• Negative Sentiment: The appointment of Anil Chakravarthy as incoming CEO, alongside an interim CFO and the end of Shantanu Narayen’s tenure, has increased execution risk. OpenAI also reportedly restricted advertising from competing image- and audio-generation products, potentially limiting a marketing channel Adobe had used. OpenAI restricts rival AI ad campaigns in ChatGPT

Hedge Funds Weigh In On Adobe

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Brighton Jones LLC boosted its position in Adobe by 2.1% during the fourth quarter. Brighton Jones LLC now owns 8,068 shares of the software company’s stock worth $3,588,000 after purchasing an additional 167 shares in the last quarter. Sivia Capital Partners LLC increased its position in shares of Adobe by 25.5% in the second quarter. Sivia Capital Partners LLC now owns 2,394 shares of the software company’s stock valued at $926,000 after buying an additional 486 shares in the last quarter. United Bank increased its position in shares of Adobe by 12.8% in the second quarter. United Bank now owns 3,773 shares of the software company’s stock valued at $1,460,000 after buying an additional 428 shares in the last quarter. Schnieders Capital Management LLC. raised its stake in shares of Adobe by 7.8% during the 2nd quarter. Schnieders Capital Management LLC. now owns 2,630 shares of the software company’s stock worth $1,017,000 after buying an additional 190 shares during the last quarter. Finally, Gamco Investors INC. ET AL raised its stake in shares of Adobe by 190.6% during the 2nd quarter. Gamco Investors INC. ET AL now owns 2,764 shares of the software company’s stock worth $1,069,000 after buying an additional 1,813 shares during the last quarter. 81.79% of the stock is owned by institutional investors and hedge funds.

Adobe Company Profile

Adobe Inc (NASDAQ:ADBE) develops software and services used for digital content creation, document management and digital experiences. The company serves creative professionals, marketers, enterprises, educators and consumers worldwide through subscription-based and cloud-enabled products.

Adobe’s Creative Cloud portfolio includes applications such as Photoshop, Illustrator, InDesign, Premiere Pro and After Effects, along with related tools for photography, graphic design, video production and web development.