ADBE

Company Overview — What Does ADOBE INC. Do?

Adobe Inc. 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. Its flagship product is Creative Cloud, a subscription service that allows members to access its creative products. This segment serves content creators, workers, marketers, educators, enthusiasts, communicators, and consumers. The Digital Experience segment provides an integrated platform and set of applications and services that enable brands and businesses to create, manage, execute, measure, monetize, and optimize customer experiences from analytics to commerce. This segment serves marketers, advertisers, agencies, publishers, merchandisers, merchants, web analysts, data scientists, developers, and executives across the C-suite. The Publishing and Advertising segment offers products and services, such as e-learning solutions, technical document publishing, web conferencing, document and forms platform, web application development, and high-end printing, as well as Advertising Cloud offerings. The company offers its products and services directly to enterprise customers through its sales force and local field offices, as well as to end users through app stores and through its website at adobe.com. It also distributes products and services through a network of distributors, value-added resellers, systems integrators, software vendors and developers, retailers, and original equipment manufacturers. The company was formerly known as Adobe Systems Incorporated and changed its name to Adobe Inc. in October 2018. Adobe Inc. was founded in 1982 and is headquartered in San Jose, California. ADOBE INC. (ADBE) is classified as a large-cap stock in the Technology sector, specifically within the Computer Software industry. The company is led by CEO Shantanu Narayen and employs approximately 29,200 people, headquartered in San Jose, California. With a market capitalization of $97.6B, ADBE is one of the prominent companies in the Technology sector.

ADOBE INC. (ADBE) Stock Rating — Reduce (April 2026)

As of April 2026, ADOBE INC. receives a Reduce rating with a composite score of 39.0/100 and 2 out of 5 stars from the Blank Capital Research quantitative model.ADBE ranks #3,495 out of 4,446 stocks in our coverage universe. Within the Technology sector, ADOBE INC. ranks #411 of 584 stocks, placing it in the lower half of its Technology peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).

ADBE Stock Price and 52-Week Range

ADOBE INC. (ADBE) currently trades at $224.56. The stock lost $5.38 (2.3%) in the most recent trading session. The 52-week high for ADBE is $422.95, which means the stock is currently trading -46.9% from its annual peak. The 52-week low is $244.28, putting the stock -8.1% above its annual trough. Recent trading volume was 4.0M shares, reflecting moderate market activity.

Is ADBE Overvalued or Undervalued? — Valuation Analysis

ADOBE INC. (ADBE) carries a value factor score of 49/100 in the Blank Capital model, indicating fair valuation relative to historical norms. The trailing price-to-earnings ratio is 13.55x, compared to the Technology sector average of 45.27x — a discount of 70%. The price-to-book ratio stands at 8.49x, versus the sector average of 3.16x. The price-to-sales ratio is 4.05x, compared to 1.06x for the average Technology stock. On an enterprise value basis, ADBE trades at 11.56x EV/EBITDA, versus 12.79x for the sector.

Overall, ADBE's valuation appears roughly in line with sector benchmarks, suggesting the market is pricing the stock fairly given its current fundamentals and growth trajectory. Neither deep value nor significantly overpriced, the stock occupies a middle ground on valuation.

ADOBE INC. Profitability — ROE, Margins, and Quality Score

ADOBE INC. (ADBE) earns a quality factor score of 50/100, indicating solid business quality with consistent operational execution. The return on equity (ROE) is 62.6%, compared to the Technology sector average of -1.4%, which demonstrates strong shareholder value creation. Return on assets (ROA) comes in at 24.1% versus the sector average of -1.0%.

On a margin basis, ADOBE INC. reports gross margins of 89.3%, compared to 50.9% for the sector. The operating margin is 37.0% (sector: -0.5%). Net profit margin stands at 29.9%, versus -1.5% for the average Technology stock. Revenue growth is running at 18.3% on a trailing basis, compared to 14.2% for the sector. The overall profitability profile is adequate, though there may be room for margin expansion.

ADBE Debt, Balance Sheet, and Financial Health

ADOBE INC. has a debt-to-equity ratio of 47.0%, compared to the Technology sector average of 43.0%. The low leverage indicates a conservative balance sheet with significant financial flexibility. The current ratio is 0.91x, which may signal near-term liquidity tightness. Total debt on the balance sheet is $5.38B. Cash and equivalents stand at $5.43B.

ADBE has a beta of 1.19, meaning it is roughly in line with the broader market in terms of price volatility. The stability factor score for ADOBE INC. is 66/100, reflecting average volatility within the normal range for its sector.

ADOBE INC. Revenue and Earnings History — Quarterly Trend

In TTM 2026, ADOBE INC. reported revenue of $23.97B and earnings per share (EPS) of $4.60. Net income for the quarter was $7.16B. Gross margin was 89.3%. Operating income came in at $8.86B.

In Q1 2026, ADOBE INC. reported revenue of $6.40B and earnings per share (EPS) of $4.60. Net income for the quarter was $1.89B. Gross margin was 89.6%. Revenue grew 12.0% year-over-year compared to Q1 2025. Operating income came in at $2.42B.

In FY 2025, ADOBE INC. reported revenue of $23.77B and earnings per share (EPS) of $16.73. Net income for the quarter was $7.13B. Gross margin was 89.3%. Revenue grew 10.5% year-over-year compared to FY 2024. Operating income came in at $8.71B.

In Q3 2025, ADOBE INC. reported revenue of $5.99B and earnings per share (EPS) of $4.18. Net income for the quarter was $1.77B. Gross margin was 89.3%. Revenue grew 10.7% year-over-year compared to Q3 2024. Operating income came in at $2.17B.

Over the past 8 quarters, ADOBE INC. has demonstrated a growth trajectory, with revenue expanding from $5.41B to $23.97B. Investors analyzing ADBE stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.

ADBE Dividend Yield and Income Analysis

ADOBE INC. (ADBE) does not currently pay a dividend. This is common among growth-oriented companies in the Computer Software industry that prefer to reinvest cash flows into business expansion rather than returning capital to shareholders. Income-focused investors looking for Technology dividend stocks may want to explore other Technology stocks or use the stock screener to filter by dividend yield.

ADBE Momentum and Technical Analysis Profile

ADOBE INC. (ADBE) has a momentum factor score of 21/100, signaling weak relative price performance. Stocks with low momentum scores have historically tended to continue underperforming in the near term. The investment factor score is 26/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 22/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.

ADBE vs Competitors — Technology Sector Ranking and Peer Comparison

Within the Technology sector, ADOBE INC. (ADBE) ranks #411 out of 584 stocks based on the Blank Capital composite score. This places ADBE in the lower half of all Technology stocks in our coverage universe. Key competitors and sector peers include IHS Holding Ltd (IHS) with a score of 55.0/100, VERISIGN INC/CA (VRSN) with a score of 56.0/100, ESCO TECHNOLOGIES INC (ESE) with a score of 51.7/100, CareCloud, Inc. (CCLD) with a score of 46.9/100, and MMTec, Inc. (MTC) with a score of 47.4/100.

Comparing ADBE against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full ADBE vs S&P 500 (SPY) comparison to assess how ADOBE INC. stacks up against the broader market across all factor dimensions.

ADBE Next Earnings Date

No upcoming earnings date has been announced for ADOBE INC. (ADBE) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.

Should You Buy ADBE? — Investment Thesis Summary

The quantitative profile for ADOBE INC. suggests caution. Momentum is weak at 21/100, a headwind for near-term performance. Low volatility (stability score 66/100) reduces downside risk.

In summary, ADOBE INC. (ADBE) earns a Reduce rating with a composite score of 39.0/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on ADBE stock.

Related Resources for ADBE Investors

Explore more research and tools: ADBE vs S&P 500 comparison, top Technology stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare ADBE head-to-head with peers: ADBE vs IHS, ADBE vs VRSN, ADBE vs ESE.