(ADBE) Adobe Systems - Ratings and Ratios
Creative, Document, Experience, Publishing, Advertising
ADBE EPS (Earnings per Share)
ADBE Revenue
Description: ADBE Adobe Systems
Adobe Inc. (NASDAQ:ADBE) is a global technology firm whose business is organized into three primary segments: Digital Media, Digital Experience, and Publishing & Advertising. The Digital Media segment delivers Creative Cloud (subscription-based creative apps) and Document Cloud (cloud-based PDF and e-sign services) to a broad user base that includes photographers, video editors, designers, game developers, marketers, students, and general consumers.
The Digital Experience segment provides an end-to-end suite-Adobe Experience Cloud-for brands to create, manage, analyze, and monetize customer interactions across analytics, content management, advertising, and commerce. Its customers span marketers, agencies, publishers, merchandisers, data scientists, and C-suite executives.
The Publishing & Advertising segment adds e-learning, technical documentation, web-conferencing, high-end printing, and Adobe Advertising solutions, complemented by consulting, training, and support services. Adobe distributes its products through direct online channels, app stores, system integrators, value-added resellers, and OEM partners.
Key recent metrics (FY 2024) show revenue of $18.2 billion, a 12% YoY increase, with subscription revenue now representing ~85% of total sales and operating margin expanding to 38%-reflecting the high-margin nature of recurring SaaS models. Growth is being driven by macro trends such as enterprise digital transformation, increasing demand for AI-augmented content creation (e.g., Adobe Firefly), and sustained advertising spend despite macro-economic headwinds.
Assumption: The above KPIs are based on Adobe’s publicly filed earnings releases; if the company revises guidance or experiences a slowdown in enterprise software budgets, the growth outlook could materially change.
For a deeper, data-driven analysis of Adobe’s valuation dynamics and scenario modeling, consider exploring the detailed research tools available on ValueRay.
ADBE Stock Overview
| Market Cap in USD | 145,451m |
| Sub-Industry | Application Software |
| IPO / Inception | 1986-08-20 |
ADBE Stock Ratings
| Growth Rating | -32.3% |
| Fundamental | 95.7% |
| Dividend Rating | 9.51% |
| Return 12m vs S&P 500 | -42.5% |
| Analyst Rating | 4.16 of 5 |
ADBE Dividends
Currently no dividends paidADBE Growth Ratios
| Growth Correlation 3m | -36.4% |
| Growth Correlation 12m | -87.9% |
| Growth Correlation 5y | -22.1% |
| CAGR 5y | 4.71% |
| CAGR/Max DD 3y (Calmar Ratio) | 0.10 |
| CAGR/Mean DD 3y (Pain Ratio) | 0.27 |
| Sharpe Ratio 12m | -0.20 |
| Alpha | -55.58 |
| Beta | 1.490 |
| Volatility | 29.79% |
| Current Volume | 3036.9k |
| Average Volume 20d | 4075.9k |
| Stop Loss | 325 (-3.3%) |
| Signal | -0.07 |
Piotroski VR‑10 (Strict, 0-10) 8.5
| Net Income (6.96b TTM) > 0 and > 6% of Revenue (6% = 1.39b TTM) |
| FCFTA 0.33 (>2.0%) and ΔFCFTA 11.59pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 0.75% (prev 5.12%; Δ -4.37pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.34 (>3.0%) and CFO 9.79b > Net Income 6.96b (YES >=105%, WARN >=100%) |
| Net Debt (1.65b) to EBITDA (9.56b) ratio: 0.17 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.02 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (430.0m) change vs 12m ago -4.02% (target <= -2.0% for YES) |
| Gross Margin 89.14% (prev 88.66%; Δ 0.48pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 79.14% (prev 70.22%; Δ 8.92pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 35.26 (EBITDA TTM 9.56b / Interest Expense TTM 247.0m) >= 6 (WARN >= 3) |
Altman Z'' 9.64
| (A) 0.01 = (Total Current Assets 9.41b - Total Current Liabilities 9.24b) / Total Assets 28.75b |
| (B) 1.51 = Retained Earnings (Balance) 43.52b / Total Assets 28.75b |
| warn (B) unusual magnitude: 1.51 — check mapping/units |
| (C) 0.30 = EBIT TTM 8.71b / Avg Total Assets 29.29b |
| (D) 2.54 = Book Value of Equity 43.17b / Total Liabilities 16.98b |
| Total Rating: 9.64 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 95.67
| 1. Piotroski 8.50pt = 3.50 |
| 2. FCF Yield 6.57% = 3.28 |
| 3. FCF Margin 41.41% = 7.50 |
| 4. Debt/Equity 0.56 = 2.34 |
| 5. Debt/Ebitda 0.17 = 2.48 |
| 6. ROIC - WACC (= 26.80)% = 12.50 |
| 7. RoE 55.19% = 2.50 |
| 8. Rev. Trend 99.90% = 7.49 |
| 9. EPS Trend 81.39% = 4.07 |
What is the price of ADBE shares?
Over the past week, the price has changed by -3.55%, over one month by -3.22%, over three months by -8.46% and over the past year by -34.08%.
Is Adobe Systems a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of ADBE is around 274.49 USD . This means that ADBE is currently overvalued and has a potential downside of -18.29%.
Is ADBE a buy, sell or hold?
- Strong Buy: 19
- Buy: 6
- Hold: 13
- Sell: 0
- Strong Sell: 0
What are the forecasts/targets for the ADBE price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 454.2 | 35.2% |
| Analysts Target Price | 454.2 | 35.2% |
| ValueRay Target Price | 313 | -6.8% |
Last update: 2025-10-11 05:00
ADBE Fundamental Data Overview
P/E Trailing = 21.6492
P/E Forward = 15.0602
P/S = 6.2746
P/B = 12.5004
P/EG = 1.0033
Beta = 1.49
Revenue TTM = 23.18b USD
EBIT TTM = 8.71b USD
EBITDA TTM = 9.56b USD
Long Term Debt = 6.20b USD (from longTermDebt, last quarter)
Short Term Debt = 74.0m USD (from shortTermDebt, last quarter)
Debt = 6.64b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 1.65b USD (from netDebt column, last quarter)
Enterprise Value = 146.15b USD (145.45b + Debt 6.64b - CCE 5.94b)
Interest Coverage Ratio = 35.26 (Ebit TTM 8.71b / Interest Expense TTM 247.0m)
FCF Yield = 6.57% (FCF TTM 9.60b / Enterprise Value 146.15b)
FCF Margin = 41.41% (FCF TTM 9.60b / Revenue TTM 23.18b)
Net Margin = 30.01% (Net Income TTM 6.96b / Revenue TTM 23.18b)
Gross Margin = 89.14% ((Revenue TTM 23.18b - Cost of Revenue TTM 2.52b) / Revenue TTM)
Gross Margin QoQ = 89.28% (prev 89.14%)
Tobins Q-Ratio = 5.08 (Enterprise Value 146.15b / Total Assets 28.75b)
Interest Expense / Debt = 1.01% (Interest Expense 67.0m / Debt 6.64b)
Taxrate = 18.98% (415.0m / 2.19b)
NOPAT = 7.06b (EBIT 8.71b * (1 - 18.98%))
Current Ratio = 1.02 (Total Current Assets 9.41b / Total Current Liabilities 9.24b)
Debt / Equity = 0.56 (Debt 6.64b / totalStockholderEquity, last quarter 11.77b)
Debt / EBITDA = 0.17 (Net Debt 1.65b / EBITDA 9.56b)
Debt / FCF = 0.17 (Net Debt 1.65b / FCF TTM 9.60b)
Total Stockholder Equity = 12.60b (last 4 quarters mean from totalStockholderEquity)
RoA = 24.19% (Net Income 6.96b / Total Assets 28.75b)
RoE = 55.19% (Net Income TTM 6.96b / Total Stockholder Equity 12.60b)
RoCE = 46.31% (EBIT 8.71b / Capital Employed (Equity 12.60b + L.T.Debt 6.20b))
RoIC = 37.85% (NOPAT 7.06b / Invested Capital 18.64b)
WACC = 11.04% (E(145.45b)/V(152.09b) * Re(11.51%) + D(6.64b)/V(152.09b) * Rd(1.01%) * (1-Tc(0.19)))
Discount Rate = 11.51% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -100.0 | Cagr: -3.21%
[DCF Debug] Terminal Value 67.86% ; FCFE base≈8.36b ; Y1≈8.90b ; Y5≈10.69b
Fair Price DCF = 264.2 (DCF Value 110.61b / Shares Outstanding 418.6m; 5y FCF grow 7.13% → 3.0% )
EPS Correlation: 81.39 | EPS CAGR: 15.18% | SUE: 4.0 | # QB: 10
Revenue Correlation: 99.90 | Revenue CAGR: 10.72% | SUE: 0.41 | # QB: 0
Additional Sources for ADBE Stock
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle