Crossmark Global Holdings Inc. Expands Stake in Adobe Inc.

Crossmark Global Holdings Inc. has significantly increased its investment in Adobe Inc. (NASDAQ:ADBE) by 41.5% during the third quarter, as revealed in its latest filing with the Securities and Exchange Commission (SEC). After acquiring an additional 10,656 shares, the firm now holds a total of 36,333 shares in the software company, with these holdings valued at approximately $18,813,000 as of the latest reporting period.

Investor Activity in Adobe

Other large investors have also adjusted their stakes in Adobe recently. For instance, Piscataqua Savings Bank increased its holdings by a staggering 226.7% in the third quarter, now owning 49 shares worth $25,000 after purchasing an additional 34 shares. Furthermore, Summit Securities Group LLC entered the market with a new investment valued around $33,000 during the second quarter. Other noteworthy investments include Highline Wealth Partners LLC with $38,000 in new stakes and Lynx Investment Advisory for about $39,000. Additionally, Hobbs Group Advisors LLC also acquired a stake in Adobe during the same period valued at around $39,000. Notably, institutional investors collectively own about 81.79% of Adobe's outstanding shares.

Current Stock Performance

As for the stock performance, Adobe shares experienced a 1.2% decline, falling $6.24 to reach $494.68 during midday trading on Friday. The trading volume clocked in at 2,856,859 shares, surpassing the average volume of 2,475,261. Adobe's stock has seen a low of $433.97 and a high of $638.25 over the past year. The company maintains a debt-to-equity ratio of 0.28 and possesses a quick ratio and a current ratio of both 1.11. The market cap for Adobe stands at approximately $217.76 billion, with a price-to-earnings ratio of 41.78, a P/E/G ratio of 2.60, and a beta of 1.30.

Latest Earnings Results

Adobe recently released its earnings results on September 12, reporting an earnings per share (EPS) of $4.65 for the quarter, which surpassed analysts' expectations of $4.53 by $0.12. The company's revenue amounted to $5.41 billion, slightly higher than the anticipated $5.37 billion. Adobe showcases strong performance metrics, highlighted by a return on equity of 42.82% and a net margin of 25.59%. This marks a 10.6% year-over-year revenue growth. For reference, the EPS from the same quarter last year was $3.26. Analysts forecast that Adobe Inc. will achieve an EPS of 14.82 for the current fiscal year.

Analysts' Predictions

Several analysts have recently provided insights on Adobe's stock. Citigroup raised its price target from $550.00 to $621.00, maintaining a "neutral" rating. Meanwhile, Piper Sandler reaffirmed an "overweight" rating with a price goal of $635.00, while JMP Securities and Morgan Stanley also retained their "market perform" and "overweight" ratings, respectively, issuing price objectives of $660.00. Barclays escalated its price target for Adobe from $650.00 to $675.00, maintaining an "overweight" rating. Among analysts, the stock has received a split sentiment, with two recommending selling, seven suggesting holding, eighteen advising buying, and one indicating a strong buy. Currently, the consensus rating for Adobe's stock is a "Moderate Buy" with an average price target of $606.40.

Insider Transactions

In insider news, CEO Shantanu Narayen sold 25,000 shares of Adobe stock on September 25, receiving approximately $13,039,500 from the transaction, which was structured at an average price of $521.58. Post-transaction, he retains an ownership of 357,700 shares valued at about $186,569,166, indicating no significant change in his overall stake. Additionally, CAO Jillian Forusz sold 676 shares at an average price of $484.97, totaling approximately $327,839.72. These transactions were disclosed in recent SEC filings. In total, insiders sold 34,187 shares worth around $17,736,369 over the last 90 days, with insider ownership reported at 0.15% within the company.

A Brief Overview of Adobe

Adobe Inc., along with its subsidiaries, operates as a comprehensive software company with global reach. It segments its operations into three main areas: Digital Media, Digital Experience, and Publishing and Advertising. The Digital Media division offers a range of products and services that enable users to create, publish, and promote content effectively. Additionally, it encompasses the Document Cloud, a unified cloud-based platform for document services.

Investment, Stock, Earnings