Adobe (NASDAQ:ADBE) Reaches New 52-Week Low - Should You Sell?

Adobe Inc. (NASDAQ:ADBE - Get Free Report)'s stock price reached a new 52-week low on Friday . The stock traded as low as $432.47 and last traded at $437.40, with a volume of 908693 shares traded. The stock had previously closed at $437.39.

Wall Street Analyst Weigh In

Several analysts recently issued reports on ADBE shares. JMP Securities reaffirmed a "market perform" rating on shares of Adobe in a research note on Thursday, December 12th. Argus upgraded Adobe to a "strong-buy" rating in a report on Monday, September 16th. Citigroup cut their price target on Adobe from $616.00 to $590.00 and set a "neutral" rating for the company in a report on Monday, December 9th. Deutsche Bank Aktiengesellschaft reduced their price objective on Adobe from $650.00 to $600.00 and set a "buy" rating on the stock in a research report on Thursday, December 12th. Finally, StockNews.com upgraded Adobe from a "buy" rating to a "strong-buy" rating in a report on Wednesday. Two equities research analysts have rated the stock with a sell rating, eight have assigned a hold rating, seventeen have issued a buy rating and two have given a strong buy rating to the stock. Based on data from MarketBeat.com, Adobe has a consensus rating of "Moderate Buy" and a consensus target price of $584.88.

Adobe Stock Up 2.2 %

The company has a market capitalization of $196.84 billion, a PE ratio of 36.06, a PEG ratio of 2.51 and a beta of 1.29. The company has a current ratio of 1.11, a quick ratio of 1.11 and a debt-to-equity ratio of 0.28. The business has a fifty day moving average of $500.48 and a 200 day moving average of $522.65.

Adobe (NASDAQ:ADBE - Get Free Report) last posted its quarterly earnings data on Wednesday, December 11th. The software company reported $4.81 EPS for the quarter, beating the consensus estimate of $4.67 by $0.14. Adobe had a net margin of 25.85% and a return on equity of 45.22%. The business had revenue of $5.61 billion during the quarter, compared to analyst estimates of $5.54 billion. During the same quarter last year, the firm posted $3.52 earnings per share. The business's revenue for the quarter was up 11.1% compared to the same quarter last year. Equities research analysts anticipate that Adobe Inc. will post 16.73 EPS for the current year.

Insider Transactions at Adobe

In other news, CEO Shantanu Narayen sold 25,000 shares of the business'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 transaction, the chief executive officer now directly owns 357,700 shares of the company's stock, valued at approximately $186,569,166. The trade was a 6.53 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, EVP Scott Belsky sold 1,530 shares of the firm's stock in a transaction that occurred on Tuesday, October 15th. The shares were sold at an average price of $513.82, for a total transaction of $786,144.60. Following the completion of the sale, the executive vice president now directly owns 18,831 shares in the company, valued at approximately $9,675,744.42. This trade represents a 7.51 % decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 28,293 shares of company stock valued at $14,719,309. 0.15% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Adobe

Several institutional investors have recently modified their holdings of the company. Public Sector Pension Investment Board lifted its holdings in Adobe by 12.2% during the 3rd quarter. Public Sector Pension Investment Board now owns 19,322 shares of the software company's stock worth $10,005,000 after buying an additional 2,100 shares during the last quarter. GAMMA Investing LLC lifted its stake in Adobe by 28.0% during the third quarter. GAMMA Investing LLC now owns 6,458 shares of the software company's stock worth $3,344,000 after purchasing an additional 1,412 shares during the last quarter. Jacobs Levy Equity Management Inc. boosted its holdings in Adobe by 201.0% in the third quarter. Jacobs Levy Equity Management Inc. now owns 117,383 shares of the software company's stock valued at $60,779,000 after purchasing an additional 78,384 shares in the last quarter. Morse Asset Management Inc boosted its holdings in Adobe by 33.0% in the third quarter. Morse Asset Management Inc now owns 8,519 shares of the software company's stock valued at $4,411,000 after purchasing an additional 2,113 shares in the last quarter. Finally, Hantz Financial Services Inc. increased its stake in Adobe by 13.8% in the third quarter. Hantz Financial Services Inc. now owns 78,682 shares of the software company's stock valued at $40,740,000 after purchasing an additional 9,519 shares during the last quarter. 81.79% of the stock is owned by hedge funds and other institutional investors.

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.