Adobe (NASDAQ:ADBE) Given New $250.00 Price Target at Citigroup

Adobe (NASDAQ:ADBE) had its target price reduced by equities research analysts at Citigroup from $301.00 to $250.00 in a research report issued on Friday, Benzinga reports. The brokerage presently has a “neutral” rating on the software company’s stock. Citigroup’s target price indicates a potential downside of 0.38% from the stock’s previous close.

A number of other research firms have also weighed in on ADBE. Evercore set a $250.00 target price on Adobe in a research note on Friday. KeyCorp reduced their price target on Adobe from $235.00 to $195.00 and set an “underweight” rating on the stock in a research report on Friday, June 12th. Wolfe Research cut Adobe from an “outperform” rating to a “peer perform” rating in a research note on Friday, June 12th. HSBC upgraded Adobe from a “hold” rating to a “buy” rating and boosted their price objective for the company from $282.00 to $308.00 in a research report on Thursday, July 2nd. Finally, Jefferies Financial Group dropped their price objective on Adobe from $285.00 to $275.00 and set a “hold” rating for the company in a research note on Friday. Seven equities research analysts have rated the stock with a Buy rating, twenty-one have issued a Hold rating and five have assigned a Sell rating to the company. According to data from MarketBeat, Adobe presently has a consensus rating of “Hold” and a consensus target price of $281.08.

Adobe Trading Up 0.9%

Shares of ADBE stock traded up $2.12 on Friday, hitting $250.95. 5,552,913 shares of the company’s stock traded hands, compared to its average volume of 5,811,338. The stock has a market capitalization of $99.75 billion, a price-to-earnings ratio of 14.36, a P/E/G ratio of 0.89 and a beta of 1.42. The company’s fifty day simple moving average is $252.89 and its 200 day simple moving average is $245.59. Adobe has a one year low of $190.12 and a one 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 posted its quarterly earnings results on Thursday, September 10th. The software company reported $6.13 earnings per share for the quarter, topping the consensus estimate of $6.08 by $0.05. Adobe had a net margin of 28.69% and a return on equity of 65.11%. The business had revenue of $6.76 billion during the quarter, compared to the consensus estimate of $6.69 billion. During the same period in the previous year, the firm posted $5.31 earnings per share. The firm’s revenue for the quarter was up 12.9% on a year-over-year basis. Adobe has set its Q4 2026 guidance at 6.300-6.350 EPS and its FY 2026 guidance at 24.450-24.500 EPS. Equities analysts forecast that Adobe will post 19.83 EPS for the current year.

Insider Buying and Selling at Adobe

In related news, Director David A. Ricks bought 10,000 shares of the company’s stock in a transaction dated Thursday, June 25th. The stock was purchased at an average cost of $194.51 per share, with a total value of $1,945,100.00. Following the transaction, the director owned 17,655 shares in the company, valued at approximately $3,434,074.05. This trade represents a 130.63% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CAO Jillian Forusz sold 416 shares of Adobe stock in a transaction dated 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 directly owned 3,824 shares in the company, valued at $1,010,797.92. The trade was a 9.81% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders own 0.20% of the company’s stock.

Institutional Trading of Adobe

Institutional investors and hedge funds have recently bought and sold shares of the stock. California State Teachers Retirement System grew its position in shares of Adobe by 19,873.5% in the 2nd quarter. California State Teachers Retirement System now owns 125,658,193 shares of the software company’s stock worth $25,762,443,000 after buying an additional 125,029,070 shares during the period. BlackRock Inc. purchased a new position in Adobe during the 2nd quarter valued at about $8,437,821,000. Norges Bank purchased a new position in Adobe during the 4th quarter valued at about $2,275,165,000. Primecap Management Co. CA bought a new stake in Adobe during the second quarter worth about $1,071,668,000. Finally, Bank of New York Mellon Corp bought a new stake in Adobe during the second quarter worth about $954,468,000. 81.79% of the stock is currently owned by hedge funds and other institutional investors.

Key Adobe News

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Adobe reported record fiscal Q3 revenue of $6.76 billion, up 12.9% year over year, while adjusted EPS of $6.13 exceeded the $6.08 consensus estimate. Management also raised its fiscal 2026 revenue and adjusted EPS outlook, signaling continued demand for its software products. Adobe Reports Record Q3 Results
• Positive Sentiment: Adobe said AI-first annual recurring revenue grew more than 150% year over year and monthly active users across its creativity and productivity products surpassed 1 billion. The company is emphasizing agentic AI, Acrobat AI and a freemium strategy to expand adoption. Adobe Q3 Earnings Call Centers on Agentic AI and Freemium
• Positive Sentiment: Some analysts raised their price targets after the results. RBC reaffirmed an Outperform rating with a $315 target, while BMO lifted its target to $270, suggesting potential upside if Adobe’s AI strategy translates into sustained revenue growth.
• Neutral Sentiment: Adobe’s fourth-quarter revenue outlook of approximately $6.8 billion to $6.85 billion was broadly aligned with estimates but slightly below some expectations. That modest shortfall overshadowed the better-than-expected quarter and full-year guidance increase. Why is Adobe stock falling despite a revenue and earnings beat?
• Negative Sentiment: Net new ARR declined amid Adobe’s intentional shift toward freemium offerings. Investors are concerned that giving users broader free access could increase adoption but delay paid conversions and weaken near-term growth metrics. Adobe Q3 2026 Earnings Call Highlights
• Negative Sentiment: Analysts remain divided over whether Adobe can monetize AI quickly enough to offset competition from AI-native tools. JPMorgan cut its price target to $315, Bank of America maintained a Sell rating with a $220 target, and several firms cited slowing growth and strategic uncertainty.
• Negative Sentiment: The market is also adjusting to the upcoming CEO transition and interim finance leadership, adding uncertainty to execution at a time when investors want clearer evidence that Adobe’s AI investments are creating durable growth.

About Adobe

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.