ADBE stock currently trades at over 24 lower than its 52-week high value of $699.50. The dip began when its management provided an outlook below analyst expectations during the fourth quarter. Moreover, you also have a challenging macro-economic environment marked by inflationary pressures and a tighter monetary policy.
Is it time to dip-buy Adobe Stock?
It’s Time to Dip-Buy Adobe Stock as Product Updates Are Sure to Impress California-headquartered Adobe (NASDAQ:ADBE) has changed the creative digital economy as we know it with its suite of software products.
Is Adobe Stock a buy in 2021?
Shares of the creative software leader are now sporting just a 13% gain in 2021 with a few weeks to go until the new year.Adobe has been a fantastic long-term buy-and-hold stock, compounding double-digit revenue and earnings growth for years, but it's now cheaper than it has ever been in the pandemic era.
How did the market react to Adobe’s latest earnings release?
While the increase As seen in the past week, the market has reacted negatively to Adobe’s (NASDAQ:ADBE) latest earnings release. ADBE stock has experienced a double-digit percentage decline in price since it reported numbers before the open on Dec. 16. Source: r.classen / Shutterstock.com What drove such a reaction?
What is your opinion on Adobe now?
My opinion on Adobe now can be described simply as as a great company with a very high-quality stock that is pricey. The only reason that I am mixed on ADBE stock is its valuation.
Why is Adobe stock price down?
The company said its outlook was muted by multiple factors, including higher effective tax rates tied to lower-than-expected tax benefits related to stock-based compensation, the impact of the war in Ukraine, including Adobe's decision to stop all new sales in Russia and Belarus, and an anticipated $175 million drag ...
Is Adobe stock a good buy?
Adobe isn't a Buy even though it reported above-expectations earnings for Q2 FY 2022. The company's Q3 FY 2022 guidance was below the sell-side's consensus financial projections.
Is Adobe stock undervalued?
Undervalued Growth Stocks: Adobe (ADBE) Right now, it trades for around 30x estimated earnings for this fiscal year (ending November 2022), and 25.4x estimated earnings for its next fiscal year. At first glance, this may not look like an undervalued stock.
Is Adobe overvalued?
Adobe is historically 8% overvalued, and analysts expect 17% annual returns over the next five years, 5X more than the S&P 500.
What is Adobe target price?
Stock Price Forecast The 25 analysts offering 12-month price forecasts for Adobe Inc have a median target of 450.00, with a high estimate of 549.00 and a low estimate of 362.00. The median estimate represents a +11.97% increase from the last price of 401.89.
Is Adobe a buy hold or sell?
Adobe has received a consensus rating of Buy. The company's average rating score is 2.78, and is based on 21 buy ratings, 6 hold ratings, and no sell ratings.
What is Tesla's intrinsic value?
The details of how we calculate the intrinsic value of stocks are described in detail here. As of today (2022-07-22), Tesla's Intrinsic Value: Projected FCF is $30.64. The stock price of Tesla is $815.12.
Does ADBE pay a dividend?
Adobe (NASDAQ: ADBE) does not pay a dividend.
Is Adobe a buy hold or sell?
Adobe has received a consensus rating of Buy. The company's average rating score is 2.78, and is based on 21 buy ratings, 6 hold ratings, and no sell ratings.
Does Adobe pay dividends?
Adobe does not pay a dividend.
Adobe has been a great growth stock for the long-term investor
Nicholas has been a writer for the Motley Fool since 2015, covering companies primarily in the consumer goods and technology sectors. He is also the founder and president of Concinnus Financial, a Registered Investment Advisor based in Spokane, WA. He enjoys the outdoors up and down the West Coast with his wife and their Humane Society-rescued dog.
Key Points
Fiscal fourth-quarter revenue increased 20% year over year, slightly beating management's expectations.
Fiscal 2022 arrives with a whimper
In Adobe's fiscal 2021 fourth quarter (the three months ended Dec. 3, 2021), revenue grew 20% year over year to $4.11 billion, and adjusted earnings per share (EPS) were up 14% to $3.20. Both figures slightly outperformed guidance capping off a great 2021 as Adobe lapped the depressed financials from early in the pandemic.
A steal of a deal on a long-term winner?
Based on management's outlook for fiscal 2022, Adobe stock now trades for just shy of 41 times earnings per share. This past year, when the company was growing its bottom line well into the 20% year-over-year range, a premium price tag of 40 to 50 times adjusted earnings was deemed acceptable.
NASDAQ: ADBE
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A solid company with strong results has a sagging stock price, for now
Sometimes a long-established company has its engine firing on all cylinders -- but its stock just sputters. Adobe ( ADBE -3.31% ) released yet another solid earnings report on Sept. 21, but investors apparently wanted more.
Solid in the cloud
Investors focused on the stock's recent pullback shouldn't lose sight of where Adobe has been. The San Jose, Calif., software maker, founded in 1982, has created the tools used throughout the digital media space today, from Photoshop, Illustrator, and the simple portable document format, or PDF, to cloud-based video collaboration platforms.
Down, but not out
Adobe stock is down more than 14% from the all-time high it reached on Sept. 3. But it's still up more than 12% year to date.
Worthy of consideration
Overall, however, Adobe offers a solid business with a long history of success in an industry pocked with failures. It has shown over several decades that it can adapt and even thrive in a constantly disrupted industry.
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2 Top Metaverse Stocks That Trillion-Dollar Asset Managers Are Buying
Each quarter, institutional investors with at least $100 million in assets under management must file a Form 13F with the Securities and Exchange Commission (SEC).
Is the Pharmacy Dying?
In November of 2021, CVS Health announced plans to close 900 stores over the next three years, amounting to roughly 10% of its total footprint. A month later, Rite Aid revealed similar plans to shutter 63 stores throughout the U.S.
Fiscal 2022 arrives with a whimper
In Adobe's fiscal 2021 fourth quarter (the three months ended Dec. 3, 2021), revenue grew 20% year over year to $4.11 billion, and adjusted earnings per share (EPS) were up 14% to $3.20. Both figures slightly outperformed guidance capping off a great 2021 as Adobe lapped the depressed financials from early in the pandemic.
A steal of a deal on a long-term winner?
Based on management's outlook for fiscal 2022, Adobe stock now trades for just shy of 41 times earnings per share. This past year, when the company was growing its bottom line well into the 20% year-over-year range, a premium price tag of 40 to 50 times adjusted earnings was deemed acceptable.
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