Davis Capital Management Boosts Stock Position in Adobe Inc. (NASDAQ:ADBE)

Davis Capital Management increased its stake in Adobe Inc. (NASDAQ:ADBE) by 4.1% during the 3rd quarter, according to its most recent filing with the Securities & Exchange Commission. The fund owned 2,778 shares of the software company’s stock after buying an additional 110 shares during the period. Adobe accounts for about 1.1% of Davis Capital Management’s holdings, making the stock its 28th largest holding. Davis Capital Management’s holdings in Adobe were worth $1,438,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. Tradewinds Capital Management LLC grew its stake in shares of Adobe by 266.7% in the 1st quarter. Tradewinds Capital Management LLC now owns 55 shares of the software company’s stock worth $28,000 after buying an additional 40 shares during the last quarter. Salomon & Ludwin LLC grew its stake in shares of Adobe by 346.2% in the 1st quarter. Salomon & Ludwin LLC now owns 58 shares of the software company’s stock worth $29,000 after buying an additional 45 shares during the last quarter. Summit Securities Group LLC purchased a new stake in shares of Adobe in the 2nd quarter worth approximately $33,000. Lynx Investment Advisory purchased a new stake in shares of Adobe in the 2nd quarter worth approximately $39,000. Finally, Hobbs Group Advisors LLC purchased a new stake in shares of Adobe in the 2nd quarter worth approximately $39,000. Hedge funds and other institutional investors own 81.79% of the company’s stock.

Adobe Trading Up 0.6 %

Shares of Adobe stock opened at $505.81 on Thursday. The firm has a market cap of $224.28 billion, a price-to-earnings ratio of 45.45, a PEG ratio of 2.72 and a beta of 1.29. The business has a 50-day moving average price of $543.02 and a 200-day moving average price of $516.45. The company has a quick ratio of 1.16, a current ratio of 1.11 and a debt-to-equity ratio of 0.28. Adobe Inc. has a twelve month low of $433.97 and a twelve month high of $638.25.

Adobe (NASDAQ:ADBE) last issued its quarterly earnings data on Thursday, September 12th. The software company reported $4.65 earnings per share for the quarter, beating analysts’ consensus estimates of $4.53 by $0.12. The firm had revenue of $5.41 billion during the quarter, compared to analyst estimates of $5.37 billion. Adobe had a return on equity of 42.82% and a net margin of 25.59%. The business’s quarterly revenue was up 10.6% compared to the same quarter last year. During the same quarter last year, the business posted $3.26 earnings per share. Equities research analysts anticipate that Adobe Inc. will post 14.79 EPS for the current fiscal year.

Wall Street Analyst Weigh In

Several brokerages have commented on ADBE. Oppenheimer reiterated an “outperform” rating and set a $625.00 target price on shares of Adobe in a research note on Friday, September 13th. Piper Sandler Companies reiterated an “overweight” rating and set a $635.00 target price on shares of Adobe in a research note on Friday, July 12th. Citigroup increased their target price on Adobe from $550.00 to $621.00 and gave the company a “neutral” rating in a research note on Wednesday, September 11th. Melius Research reiterated a “hold” rating and set a $510.00 target price on shares of Adobe in a research note on Monday, June 10th. Finally, TD Cowen lowered their price target on Adobe from $640.00 to $625.00 and set a “buy” rating on the stock in a report on Monday, June 10th. Two equities research analysts have rated the stock with a sell rating, seven have given a hold rating, eighteen have issued a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat, Adobe presently has a consensus rating of “Moderate Buy” and an average target price of $606.40.

Insider Buying and Selling

In related news, CEO Shantanu Narayen sold 25,000 shares of Adobe stock in a transaction dated Wednesday, September 25th. The stock was sold at an average price of $521.58, for a total value of $13,039,500.00. Following the completion of the transaction, the chief executive officer now owns 357,700 shares in the company, valued at $186,569,166. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. In related news, CFO Daniel Durn sold 6,500 shares of Adobe stock in a transaction dated Tuesday, September 17th. The stock was sold at an average price of $515.44, for a total value of $3,350,360.00. Following the completion of the transaction, the chief financial officer now owns 20,838 shares in the company, valued at $10,740,738.72. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO Shantanu Narayen sold 25,000 shares of the firm’s stock in a transaction dated Wednesday, September 25th. The stock was sold at an average price of $521.58, for a total transaction of $13,039,500.00. Following the completion of the sale, the chief executive officer now directly owns 357,700 shares of the company’s stock, valued at approximately $186,569,166. The disclosure for this sale can be found here. Over the last quarter, insiders sold 33,759 shares of company stock worth $17,642,653. Corporate insiders own 0.15% of the company’s stock.

Adobe Company Profile

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.