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NASDAQ:ADBE

Adobe Systems (ADBE)

204.95
-13.85 (6.33%)
as of Jun 12, 2026, 7:45:16 pm Market Open.
398 watching
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Investor Insights
star iconJun 12, 2026, 12:00 am

This summary was created by AI, based on 52 opinions in the last 12 months.

Adobe Systems, symbol ADBE-Q, is facing significant uncertainty in the market due to concerns over the impact of artificial intelligence (AI) on its business model and its recent leadership change with the CEO stepping down. Many analysts acknowledge the company's strong fundamentals, including consistent revenue growth, effective share buybacks, and a solid balance sheet, but they express mixed opinions on the company's prospects going forward. Some believe that the current stock price is an attractive entry point, trading at low valuation multiples, while others are skeptical about its future growth in a rapidly evolving technological landscape dominated by AI. The sentiment is divided, with some suggesting that Adobe could thrive if it successfully integrates AI into its offerings, while others caution that competition and market dynamics might hinder its growth.

consensus icon
Consensus
Mixed
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Valuation
Undervalued
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Similar
SNOW,
BUY ON WEAKNESS

3-5-year outlook He sees it doubling in maybe 5 years. It's a megacap tech stock growing at 15% yearly; it continues to buyback shares and raise its dividend. it's entrenching into corporations and small businesses alike. It's a cornerstone tech stock like MFST. Buy on pullbacks to come. A solid buy.

DON'T BUY
A must own name. Last quarter their earnings beat revenues with 43% profit margins. It has had a huge move. 15% compound annual growth, trading at 38x 2022 earnings. It is pricey so you could see some pull back around ~$30-$40 below current levels when the market cycles into value.
BUY
Allan Tong’s Discover Picks The company beat earnings estimates at $2.81/share vs. the street's $2.66 as earnings jumped 23% and sales 14%. EPS topped guidance at $0.17 vs. the street's $0.15. Looking ahead, Adobe issued positive guidance for the current quarter and full year. For fiscal 2021, the company projects adjusted EPS at $11.20 on $15.15 billion in sales vs. Wall Street's $11.17 on $14.78 billion. Compare this to 2020's $10.10 and $12.87 billion. Cash flow is health, up from $1.32 billion in Q3 to $1.4 billion in Q4. Adobe even bought back 1.6 million shares late last year. Read Hit and Misses: 5 Tempting Tech Stocks for our full analysis.
STRONG BUY
One-stop shop for product design, content creation, marketing, web and mobile commerce. If you have one tech stock, this is it. Huge economic moat. Still long-term upside. Price target of $557. Organic and acquisitive growth. Three positives: historical EPS growth is 52%, Y/Y cashflow is over 25%, current earnings revised upwards. Loves it. Tremendous business.
PARTIAL BUY
BIGC-Q He prefers Adobe, a stock that people don't talk about anymore. Buy this even partially for now.
BUY
Helps move away from paper, for consumers and businesses. A lot of pricing power with the subscription model, plus many more people have yet to migrate. A great story. He would hold and continue to buy.
BUY ON WEAKNESS
His price target is $557, which is where he'd take profits. Support at $470, 450 and definitely at 440. One-step shop when it comes to product design, content creation, and marketing. Three reasons to like it: fantastic EPS growth rate, Y/Y cashflow growth is 27.5%, current year earnings are revising up.
STRONG BUY
Tremendous record of increasing shareholder value, generating high returns on invested capital. An exceptional company. On his watchlist of 107 ultra-high quality companies across the plant. No problems owning. Very strong moat.
BUY
They had good numbers in the quarter. Their digital business grew in the quarter. In the next couple of years you will see good pricing increases on their platform. It is hard, as a customer, to come back after moving further into the digital platform. It is not just a COVID stock.
BUY
He stuck with this stock even as its numbers have been choppy in recent years.
BUY
One of the things they did very well was to move to a subscription based model very well. Their creative products have gotten to be far more useful to someone who is working not from office space in general. He likes it and continues to buy it here. There may be a possibility of getting it cheaper based on general market volatility.
BUY
Reports next Tuesday and benefits from strong e-commerce trend. Five analysts have raised their targets on Adobe in the last five days. It could surprise to the upside given stay/work-at-home. Should have a strong 2021.
DON'T BUY
Everything tech and cloud based that makes business easier remotely has done well. The stock has nearly doubled since March. It's probably over heating and there may be a correction shortly.
COMMENT

ADBE vs. MSFT Prefers MSFT. Neither stock is that inexpensive, with the rally. MSFT has a more diversified business model with PC and cloud business, which is gaining more market share, as well as a strong balance sheet, solid net cash position, and a very strong management team.

PAST TOP PICK

(A Top Pick Jun 12/19, Up 46%) It is richly valued here. His target is $450. The one stop design for everything publishing, including web commerce. A past acquisition brought e-commerce vendor into their capability and has allowed Amazon to become a partner. They will report earnings tomorrow. It may be a bit overbought here.

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