Adobe (NASDAQ:ADBE) Shares Down 0.2% - Should You Sell?

Adobe Inc. (NASDAQ:ADBE - Get Free Report) shares dropped 0.2% on Tuesday . The stock traded as low as $405.07 and last traded at $407.61. Approximately 900,193 shares were traded during mid-day trading, a decline of 77% from the average daily volume of 3,831,931 shares. The stock had previously closed at $408.50.

Wall Street Analyst Weigh In

Several analysts have issued reports on the stock. Royal Bank of Canada decreased their price target on shares of Adobe from $610.00 to $590.00 and set an "outperform" rating on the stock in a research report on Thursday, December 12th. Bank of America dropped their price target on Adobe from $640.00 to $605.00 and set a "buy" rating for the company in a report on Thursday, December 12th. Deutsche Bank Aktiengesellschaft restated a "hold" rating and issued a $475.00 price objective (down previously from $600.00) on shares of Adobe in a research report on Wednesday, January 8th. Mizuho lowered their price objective on Adobe from $640.00 to $620.00 and set an "outperform" rating for the company in a research report on Thursday, December 12th. Finally, UBS Group cut their price target on shares of Adobe from $525.00 to $475.00 and set a "neutral" rating on the stock in a research report on Friday, January 3rd. Two equities research analysts have rated the stock with a sell rating, nine have assigned a hold rating, sixteen have assigned a buy rating and two have assigned a strong buy rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $575.85.

Adobe Price Performance

The company has a debt-to-equity ratio of 0.28, a quick ratio of 1.11 and a current ratio of 1.11. The company has a market cap of $181.67 billion, a price-to-earnings ratio of 33.28, a PEG ratio of 2.51 and a beta of 1.31. The business has a fifty day moving average price of $481.07 and a 200 day moving average price of $515.02.

Adobe (NASDAQ:ADBE - Get Free Report) last posted 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 firm had revenue of $5.61 billion for the quarter, compared to analysts' expectations of $5.54 billion. Adobe had a net margin of 25.85% and a return on equity of 45.22%. The company's revenue was up 11.1% on a year-over-year basis. During the same quarter in the previous year, the firm posted $3.52 earnings per share. As a group, research analysts anticipate that Adobe Inc. will post 16.73 earnings per share for the current year.

Insider Buying and Selling

In other Adobe news, Director Amy Banse sold 606 shares of Adobe stock in a transaction on Friday, December 6th. The shares were sold at an average price of $550.00, for a total value of $333,300.00. Following the completion of the sale, the director now directly owns 32,929 shares of the company's stock, valued at approximately $18,110,950. The trade was a 1.81 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, EVP Scott Belsky sold 481 shares of the business's stock in a transaction dated Friday, October 25th. The shares were sold at an average price of $483.42, for a total value of $232,525.02. Following the completion of the sale, the executive vice president now directly owns 18,128 shares of the company's stock, valued at $8,763,437.76. The trade was a 2.58 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 1,763 shares of company stock valued at $893,665 over the last ninety days. 0.15% of the stock is owned by company insiders.

Institutional Investors Weigh In On Adobe

Several institutional investors and hedge funds have recently added to or reduced their stakes in ADBE. Legacy Investment Solutions LLC bought a new stake in shares of Adobe in the 3rd quarter worth approximately $26,000. Piscataqua Savings Bank grew its stake in Adobe by 226.7% in the 3rd quarter. Piscataqua Savings Bank now owns 49 shares of the software company's stock worth $25,000 after buying an additional 34 shares in the last quarter. MidAtlantic Capital Management Inc. bought a new position in Adobe in the third quarter valued at $30,000. True Wealth Design LLC lifted its position in Adobe by 141.7% in the 3rd quarter. True Wealth Design LLC now owns 58 shares of the software company's stock worth $30,000 after buying an additional 34 shares during the last quarter. Finally, Briaud Financial Planning Inc purchased a new position in shares of Adobe in the third quarter worth about $36,000. Hedge funds and other institutional investors own 81.79% 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.