Adobe Charts Signal Strength: Analysts See 9.37% Upside Ahead Of Q4 Earnings

Adobe Inc (ADBE) is poised to announce its fourth-quarter earnings this Wednesday, with Wall Street analysts anticipating an earnings per share (EPS) of $4.66 and revenue of $5.54 billion. The company is expected to release its results after market hours.

Over the past year, Adobe's stock has dropped by 12.33%, yet it has seen a rebound of 18.46% over the past six months.

In this article, we will analyze the current charts for Adobe stock and how it compares to Wall Street’s expectations.

Technical Analysis of Adobe Stock

Currently, Adobe’s stock is showing a strong bullish trend according to technical analysis.

As of now, the stock is trading at $548.30 and is comfortably above its five-day, 20-day, and 50-day exponential moving averages, indicating a positive price movement despite some selling pressure. The eight-day simple moving average (SMA) stands at $537.93, the 20-day SMA at $522.90, the 50-day SMA at $506.38, and the 200-day SMA at $516.20—all suggestive of bullish momentum.

The moving average convergence/divergence (MACD) reading of 11.50 further supports this optimistic outlook, while the relative strength index (RSI) at 66.42 signifies that the stock is nearing overbought conditions. If this upward trend continues, Adobe could be set to register further gains in the immediate future.

Analyst Upside Potential

Ratings & Consensus Estimates: Analysts currently hold a consensus rating of Outperform for Adobe stock, with a price target averaging $607.46 per share. Recent ratings from firms such as Citigroup, BMO Capital, and RBC Capital suggest a potential upside of 9.37%, with an average target price of $600 per share.

Price Action: At the time of this publication, Adobe’s stock had increased by 0.46%, trading at $548.55 per share.

Adobe, Earnings, Stock