(ADBE) Adobe Systems - Overview

Sector: Technology | Industry: Software - Application | Exchange: NASDAQ (USA) | Market Cap: 102.412m USD | Total Return: -40.8% in 12m

Creative Software, Document Management, Digital Marketing, Analytics
Total Rating 56
Safety 85
Buy Signal -0.04
Software - Application
Industry Rotation: +1.7
Market Cap: 102B
Avg Turnover: 1.14B
Risk 3d forecast
Volatility34.4%
VaR 5th Pctl5.51%
VaR vs Median-3.39%
Reward TTM
Sharpe Ratio-1.61
Rel. Str. IBD8.4
Rel. Str. Peer Group29.1
Character TTM
Beta1.055
Beta Downside1.531
Hurst Exponent0.493
Drawdowns 3y
Max DD64.50%
CAGR/Max DD-0.25
CAGR/Mean DD-0.59
EPS (Earnings per Share) EPS (Earnings per Share) of ADBE over the last years for every Quarter: "2021-05": 3.03, "2021-08": 3.11, "2021-11": 3.2, "2022-02": 3.37, "2022-05": 3.35, "2022-08": 3.4, "2022-11": 3.6, "2023-02": 3.8, "2023-05": 3.91, "2023-08": 4.1, "2023-11": 4.27, "2024-02": 4.48, "2024-05": 4.48, "2024-08": 4.65, "2024-11": 4.81, "2025-02": 5.08, "2025-05": 5.06, "2025-08": 5.31, "2025-11": 4.45, "2026-02": 4.6,
EPS CAGR: 11.94%
EPS Trend: 96.0%
Last SUE: 1.37
Qual. Beats: 14
Revenue Revenue of ADBE over the last years for every Quarter: 2021-05: 3835, 2021-08: 3935, 2021-11: 4110, 2022-02: 4262, 2022-05: 4386, 2022-08: 4433, 2022-11: 4525, 2023-02: 4655, 2023-05: 4816, 2023-08: 4890, 2023-11: 5048, 2024-02: 5182, 2024-05: 5309, 2024-08: 5408, 2024-11: 5606, 2025-02: 5714, 2025-05: 5873, 2025-08: 5988, 2025-11: 6194, 2026-02: 6398,
Rev. CAGR: 10.76%
Rev. Trend: 100.0%
Last SUE: 0.65
Qual. Beats: 0

Warnings

No concerns identified

Tailwinds

No distinct edge detected

Description: ADBE Adobe Systems

Adobe Inc. is a global technology company specializing in content creation, document management, and digital experience software. The company operates through three primary segments: Digital Media, Digital Experience, and Publishing and Advertising. Its portfolio includes industry-standard tools for graphic design, video editing, and web development, alongside a comprehensive platform for customer analytics and marketing automation.

The business model centers on a Software-as-a-Service (SaaS) framework, which generates recurring revenue through cloud-based subscriptions. This transition from perpetual licensing has become a standard across the application software sub-industry to ensure predictable cash flows and continuous product updates. Adobe is currently expanding its technological footprint through strategic alliances focused on generative AI models and automated content applications.

For a deeper dive into these financial metrics, consider exploring the data available on ValueRay.

Headquartered in San Jose, California, Adobe serves a diverse client base ranging from individual creative professionals to large-scale enterprises. The company utilizes a multi-channel distribution strategy involving direct web sales, mobile app stores, and a global network of systems integrators and resellers.

Headlines to Watch Out For
  • Creative Cloud subscription growth remains primary driver of recurring revenue and cash flow
  • Generative AI integration through Firefly determines future competitive positioning and premium pricing
  • Enterprise adoption of Experience Cloud platform impacts high-margin digital marketing revenue
  • Regulatory scrutiny of large-scale acquisitions limits inorganic growth and market consolidation strategies
Piotroski VR-10 (Strict) 9.0
Net Income: 7.21b TTM > 0 and > 6% of Revenue
FCF/TA: 0.35 > 0.02 and ΔFCF/TA 4.08 > 1.0
NWC/Revenue: -4.11% < 20% (prev 7.68%; Δ -11.78% < -1%)
CFO/TA 0.35 > 3% & CFO 10.5b > Net Income 7.21b
Net Debt (194.0m) to EBITDA (9.88b): 0.02 < 3
Current Ratio: 0.91 > 1.5 & < 3
Outstanding Shares: last quarter (411.0m) vs 12m ago -6.16% < -2%
Gross Margin: 89.10% > 18% (prev 0.89%; Δ 8.82k% > 0.5%)
Asset Turnover: 81.98% > 50% (prev 73.57%; Δ 8.41% > 0%)
Interest Coverage Ratio: 34.49 > 6 (EBITDA TTM 9.88b / Interest Expense TTM 264.0m)
Altman Z'' 9.70
A: -0.03 (Total Current Assets 10.4b - Total Current Liabilities 11.4b) / Total Assets 29.7b
B: 1.59 (Retained Earnings 47.2b / Total Assets 29.7b)
C: 0.31 (EBIT TTM 9.11b / Avg Total Assets 29.8b)
D: 2.57 (Book Value of Equity 46.9b / Total Liabilities 18.3b)
Altman-Z'' = 9.70 = AAA
Beneish M -3.08
DSRI: 0.96 (Receivables 2.09b/1.97b, Revenue 24.5b/22.0b)
GMI: 1.00 (GM 89.10% / 89.15%)
AQI: 1.02 (AQ_t 0.58 / AQ_t-1 0.57)
SGI: 1.11 (Revenue 24.5b / 22.0b)
TATA: -0.11 (NI 7.21b - CFO 10.5b) / TA 29.7b)
Beneish M = -3.08 (Cap -4..+1) = AA
What is the price of ADBE shares?

As of May 25, 2026, the stock is trading at USD 244.76 with a total of 3,778,049 shares traded.
Over the past week, the price has changed by -1.15%, over one month by -0.28%, over three months by -4.08% and over the past year by -40.75%.

Is ADBE a buy, sell or hold?

Adobe Systems has received a consensus analysts rating of 4.16. Therefore, it is recommended to buy ADBE.

  • StrongBuy: 19
  • Buy: 6
  • Hold: 13
  • Sell: 0
  • StrongSell: 0

What are the forecasts/targets for the ADBE price?
Analysts Target Price 327.3 33.7%
Adobe Systems (ADBE) - Fundamental Data Overview as of 22 May 2026
P/E Trailing = 14.7738
P/E Forward = 10.8578
P/S = 4.2149
P/B = 9.0149
P/EG = 0.724
Revenue TTM = 24.5b USD
EBIT TTM = 9.11b USD
EBITDA TTM = 9.88b USD
Long Term Debt = 5.38b USD (from longTermDebt, last quarter)
Short Term Debt = 933.0m USD (from shortTermDebt, last quarter)
Debt = 7.08b USD (from shortLongTermDebtTotal, last quarter) + Leases 428.0m
Net Debt = 194.0m USD (calculated: Debt 7.08b - CCE 6.89b)
Enterprise Value = 103b USD (102b + Debt 7.08b - CCE 6.89b)
Interest Coverage Ratio = 34.49 (Ebit TTM 9.11b / Interest Expense TTM 264.0m)
EV/FCF = 9.95x (Enterprise Value 103b / FCF TTM 10.3b)
FCF Yield = 10.05% (FCF TTM 10.3b / Enterprise Value 103b)
FCF Margin = 42.19% (FCF TTM 10.3b / Revenue TTM 24.5b)
Net Margin = 29.48% (Net Income TTM 7.21b / Revenue TTM 24.5b)
Gross Margin = 89.10% ((Revenue TTM 24.5b - Cost of Revenue TTM 2.67b) / Revenue TTM)
Gross Margin QoQ = 89.07% (prev 88.92%)
Tobins Q-Ratio = 3.45 (Enterprise Value 103b / Total Assets 29.7b)
Interest Expense / Debt = 3.73% (Interest Expense 264.0m / Debt 7.08b)
Taxrate = 22.01% (533.0m / 2.42b)
NOPAT = 7.10b (EBIT 9.11b * (1 - 22.01%))
Current Ratio = 0.91 (Total Current Assets 10.4b / Total Current Liabilities 11.4b)
Debt / Equity = 0.62 (Debt 7.08b / totalStockholderEquity, last quarter 11.4b)
Debt / EBITDA = 0.02 (Net Debt 194.0m / EBITDA 9.88b)
Debt / FCF = 0.02 (Net Debt 194.0m / FCF TTM 10.3b)
Total Stockholder Equity = 11.6b (last 4 quarters mean from totalStockholderEquity)
RoA = 24.16% (Net Income 7.21b / Total Assets 29.7b)
RoE = 62.31% (Net Income TTM 7.21b / Total Stockholder Equity 11.6b)
RoCE = 53.72% (EBIT 9.11b / Capital Employed (Equity 11.6b + L.T.Debt 5.38b))
RoIC = 36.98% (NOPAT 7.10b / Invested Capital 19.2b)
WACC = 9.25% (E(102b)/V(109b) * Re(9.69%) + D(7.08b)/V(109b) * Rd(3.73%) * (1-Tc(0.22)))
Discount Rate = 9.69% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -100.00 | Cagr: -4.79%
[DCF] Terminal Value 73.96% ; FCFF base≈9.86b ; Y1≈10.9b ; Y5≈14.0b
[DCF] Fair Price = 457.8 (EV 185b - Net Debt 194.0m = Equity 185b / Shares 404.2m; r=9.25% [WACC]; 5y FCF grow 12.37% → 2.50% )
EPS Correlation: 95.98 | EPS CAGR: 11.94% | SUE: 1.37 | # QB: 14
Revenue Correlation: 99.99 | Revenue CAGR: 10.76% | SUE: 0.65 | # QB: 0
EPS current Quarter (2026-05-31): EPS=5.83 | Chg30d=-0.05% | Revisions=+43% | Analysts=29
EPS next Quarter (2026-08-31): EPS=5.77 | Chg30d=+0.12% | Revisions=+43% | Analysts=29
EPS current Year (2026-11-30): EPS=23.55 | Chg30d=+0.03% | Revisions=+43% | GrowthEPS=+12.5% | GrowthRev=+9.8%
EPS next Year (2027-11-30): EPS=26.39 | Chg30d=+0.06% | Revisions=-14% | GrowthEPS=+12.0% | GrowthRev=+9.0%
[Analyst] Revisions Ratio: +43%