Adobe
What matters nowUpdated 5 h ago
- Wells Fargo downgraded Adobe to Underweight from Overweight on October 12 and cut its price target to $225 from $270, citing shifting AI spending priorities, near-term guidance risk and doubts about how fast free users convert to paying subscribers 1. Morgan Stanley had already moved Adobe to Underweight on July 21 with a $240 target, pointing to the shift to a freemium model and the simultaneous CEO and CFO transition 2.
- ADBE traded at $237.06 on the pooled 24/7 venue price, down 0.65% from the previous close of $238.62. The stock fell more than 4% on September 10 after Q4 revenue guidance landed with a midpoint just below the roughly $6.85 billion analysts expected 3.
- Q3 FY2026 revenue rose 13% to a record $6.76 billion with non-GAAP EPS of $6.13, ending ARR reached $27.50 billion, and Adobe raised its full-year FY2026 targets 3. Trailing twelve-month revenue is $25.97 billion, up 12.0% year over year, with a 35.7% operating margin, $10.59 billion of free cash flow and an 11.4% FCF yield; the stock trades at 13.2 times earnings and 9.3 times EV/EBITDA on a $92.69 billion market cap (fundamentals as of August 28, 2026).
- Insiders sold 202,507 shares worth $50.2 million in six sales over the last 180 days against one purchase of $1.9 million, a net outflow of $48.3 million. Anil Chakravarthy becomes president and CEO on December 1, 2026, and Shantanu Narayen moves to executive chair 4.
- Next on the calendar: Adobe MAX 2026 runs from November 10, 2026, the CEO handover takes effect on December 1, and the Q4 and FY2026 earnings call is on December 9, 2026. For macro, September CPI is due October 14, 2026, and Polymarket gives 81.5% odds of no change in Fed rates after the October 2026 meeting.
Tradingpedia · Oct 12
TIKR · Jul 21
SEC (Adobe Form 8-K, Exhibit 99.1) · Sep 10
Adobe Newsroom · Sep 3
Adobe sells creative, document and customer-experience software. Its Digital Media business covers Creative Cloud (Photoshop, Illustrator, Premiere, Firefly) and Document Cloud (Acrobat), and it makes up about three-quarters of revenue. Digital Experience sells marketing and customer-experience software and was about a quarter of fiscal 2025 revenue. Adobe is in a CEO transition: Anil Chakravarthy becomes president and CEO on December 1, 2026, and Shantanu Narayen becomes executive chair.
How it makes money
Adobe earns almost all of its revenue from subscriptions, sold per seat or per plan and billed monthly or annually. Digital Media ($17.6B in FY2025) is mostly Creative Cloud and Acrobat sold to individuals, businesses and enterprises. Digital Experience ($5.9B in FY2025) is enterprise marketing and customer-experience software sold on multi-year contracts. Publishing and Advertising ($256M in FY2025) is a small, declining legacy business. Adobe reports ARR (annualized recurring revenue), and it puts AI-first products on top of the same subscription base.
Last 12 monthsChart & venues →
Valuation & fundamentalsFull financials →
TTM through 2026-08-28 from SEC filings (some quarters derived from annual and year-to-date figures). Ratios use our pooled 24/7 price. Quarterly statements →
Biggest businessesAll products & projects →
Creative Cloud
Largest subscription franchise. Creative & Marketing Professionals subscription revenue grew 13% in Q3 FY2026.
Next: Adobe MAX 2026 creativity conference (Miami Beach and online) · 2026-11-10
Acrobat and Acrobat Studio
Acrobat Studio, launched in August 2025, bundles Acrobat, Express and AI agents into one plan. Business Professionals & Consumers subscription revenue rose 16% in Q3 FY2026.
Digital Experience
Second-largest segment: $5.86B of FY2025 revenue, up 9%. Adobe is positioning it around agentic AI for customer experience.
Firefly and generative AI
Adobe's AI-first products grew more than 150% y/y in Q3 FY2026, and total ARR reached $27.50B.
Latest newsAll news →
Wells Fargo double-downgrades Adobe to Underweight with a $225 target
Wells Fargo analyst Michael Turrin moved Adobe from Overweight to Underweight and cut the price target to $225 from $270.
Adobe and Heathrow Airport extend partnership on CX Enterprise and Brand Visibility
Adobe and Heathrow Airport extended their partnership, with Heathrow using Adobe's agentic AI and customer experience orchestration technology.
Adobe Q3 FY2026: revenue up 13% to $6.76B and FY2026 targets raised, but Q4 revenue guide midpoint lands below consensus
Adobe reported record fiscal third-quarter revenue of $6.76 billion, up 13% year over year, with non-GAAP EPS of $6.13.
Adobe names Anil Chakravarthy CEO effective December 1; Shantanu Narayen becomes executive chair
Adobe's board named Anil Chakravarthy president and chief executive, effective December 1, 2026, and he joins the board that day.
Adobe acquires India's Rilo, an AI marketing-intelligence startup, through a team deal and license
Adobe bought Rilo, an India-based AI marketing-intelligence startup, through a team acquisition and a technology license.
Morgan Stanley downgrades Adobe to Underweight and cuts target to $240 from $365
Morgan Stanley moved Adobe from Equal-weight to Underweight and cut its price target to $240 from $365, with analyst Adam Wood citing several changes happening at once.
Products & businesses
Creative Cloud
Largest subscription franchise. Creative & Marketing Professionals subscription revenue grew 13% in Q3 FY2026.
Next: Adobe MAX 2026 creativity conference (Miami Beach and online) · 2026-11-10
Acrobat and Acrobat Studio
Acrobat Studio, launched in August 2025, bundles Acrobat, Express and AI agents into one plan. Business Professionals & Consumers subscription revenue rose 16% in Q3 FY2026.
Digital Experience
Second-largest segment: $5.86B of FY2025 revenue, up 9%. Adobe is positioning it around agentic AI for customer experience.
Firefly and generative AI
Adobe's AI-first products grew more than 150% y/y in Q3 FY2026, and total ARR reached $27.50B.
Adobe Express
Template-based design app for everyday content. It is now bundled into Acrobat Studio.
Adobe Stock
Licensed stock-content marketplace inside Creative Cloud. Adobe has not reported its revenue separately.
Segments
| Segment | Revenue | Share | |
|---|---|---|---|
| Digital Media Creative Cloud and Document Cloud (Acrobat), sold mainly as subscriptions to creative professionals, businesses, consumers and students. Digital Media ARR was $19.20B at the end of FY2025. | $17.65B | 74.3% | |
| Digital Experience Enterprise marketing, customer-experience and content software, including Adobe Experience Manager and customer journey analytics. | $5.86B | 24.7% | |
| Publishing and Advertising Legacy publishing and advertising software. Revenue fell 7% in FY2025. | $256.0M | 1.1% |
Fiscal FY2025 · from the annual report
Valuation & fundamentals
TTM through 2026-08-28 from SEC filings (some quarters derived from annual and year-to-date figures). Ratios use our pooled 24/7 price.
Financial statements
| Metric | TTM | Q3 FY2026 2026-08-28 | Q2 FY2026 2026-05-29 | Q1 FY2026 2026-02-27 | Q4 FY2025 2025-11-28 | Q3 FY2025 2025-08-29 | Q2 FY2025 2025-05-30 | Q1 FY2025 2025-02-28 | Q4 FY2024 2024-11-29 |
|---|---|---|---|---|---|---|---|---|---|
| Revenue | $25.97B | $6.76B +13% | $6.62B +13% | $6.40B +12% | $6.19Bd +10% | $5.99B +11% | $5.87B +11% | $5.71B +10% | $5.61Bd +11% |
| Gross profit | $23.18B | $6.00B +12% | $5.90B +13% | $5.73B +13% | $5.54Bd +11% | $5.35B +10% | $5.24B +11% | $5.09B +11% | $4.99Bd +13% |
| Operating income | $9.27B | $2.35B +8% | $2.24B +6% | $2.42B +12% | $2.26Bd +16% | $2.17B +9% | $2.11B +12% | $2.16B +138% | $1.96Bd +12% |
| Net income | $7.28B | $1.83B +3% | $1.71B +1% | $1.89B +4% | $1.86Bd +10% | $1.77B +5% | $1.69B +8% | $1.81B +192% | $1.68Bd +13% |
| EPS (diluted) | $17.91 | $4.62 +11% | $4.25 +8% | $4.60 +11% | $4.44d +17% | $4.18 +11% | $3.94 +13% | $4.14 +204% | $3.78d +17% |
| Operating cash flow | $10.81B | $2.52Bd +15% | $2.17Bd -1% | $2.96B +19% | $3.16Bd +8% | $2.20Bd +9% | $2.19Bd +13% | $2.48B +111% | $2.92Bd +83% |
| Capital expenditure | $214.0M | $85.0Md +18% | $58.0Md +23% | $37.0M +42% | $34.0Md -29% | $72.0Md +26% | $47.0Md +15% | $26.0M -30% | $48.0Md +2% |
| Share buybacks | $9.29B | $2.23Bd +9% | $2.11Bd -40% | $2.48B -24% | $2.47Bd -1% | $2.06Bd -18% | $3.50Bd +40% | $3.25B +63% | $2.50Bd +150% |
| Cash & equivalents | $4.36B | $4.36B | $4.92B | $6.33B | $5.43B | $4.98B | $4.93B | $6.76B | $7.61B |
| Total debt | $4.77B | $4.77B | $4.80B | $5.38B | $6.21B | $6.20B | $6.17B | $6.16B | $4.13B |
| Shares outstanding | 391.0M | 391.0M | 399.0M | 406.0M | 413.0M | 420.0M | 427.0M | 435.0M | 441.0M |
| Metric | FY2025 2025-11-28 | FY2024 2024-11-29 | FY2023 2023-12-01 | FY2022 2022-12-02 |
|---|---|---|---|---|
| Revenue | $23.77B +11% | $21.50B +11% | $19.41B +10% | $17.61B |
| Cost of revenue | $2.55B +8% | $2.36B +0% | $2.35B +9% | $2.17B |
| Gross profit | $21.22B +11% | $19.15B +12% | $17.05B +10% | $15.44B |
| Operating income | $8.71B +29% | $6.74B +1% | $6.65B +9% | $6.10B |
| EBIT | $8.71B +29% | $6.74B +1% | $6.65B +9% | $6.10B |
| Depreciation & amortization | $818.0M -5% | $857.0M -2% | $872.0M +2% | $856.0M |
| Interest expense | $263.0M +56% | $169.0M +50% | $113.0M +1% | $112.0M |
| Income tax | $1.60B +17% | $1.37B +0% | $1.37B +10% | $1.25B |
| Net income | $7.13B +28% | $5.56B +2% | $5.43B +14% | $4.76B |
| EPS (diluted) | $16.70 +35% | $12.36 +5% | $11.82 +17% | $10.10 |
| Diluted shares (weighted) | 427.0M | 449.7M | 459.1M | 470.9M |
| Operating cash flow | $10.03B +25% | $8.06B +10% | $7.30B -7% | $7.84B |
| Capital expenditure | $179.0M -2% | $183.0M -49% | $360.0M -19% | $442.0M |
| Share buybacks | $11.28B +19% | $9.50B +116% | $4.40B -33% | $6.55B |
| Cash & equivalents | $5.43B | $7.61B | $7.14B | $4.24B |
| Long-term debt (incl. current portion) | $6.21B | $4.13B | $3.63B | $3.63B |
| Total debt | $6.21B | $4.13B | $3.63B | $3.63B |
| Total assets | $29.50B | $30.23B | $29.78B | $27.16B |
| Total liabilities | $17.87B | $16.13B | $13.26B | $13.11B |
| Shareholders' equity | $11.62B | $14.11B | $16.52B | $14.05B |
| Shares outstanding | 413.0M | 441.0M | 455.0M | 462.0M |
From XBRL data in SEC filings. Small figures under each value: change vs the same period a year earlier. d = derived (e.g. Q4 = full year − first nine months).
NewsFull archive →
Wells Fargo double-downgrades Adobe to Underweight with a $225 target
Wells Fargo analyst Michael Turrin moved Adobe from Overweight to Underweight and cut the price target to $225 from $270.
Adobe and Heathrow Airport extend partnership on CX Enterprise and Brand Visibility
Adobe and Heathrow Airport extended their partnership, with Heathrow using Adobe's agentic AI and customer experience orchestration technology.
Adobe Q3 FY2026: revenue up 13% to $6.76B and FY2026 targets raised, but Q4 revenue guide midpoint lands below consensus
Adobe reported record fiscal third-quarter revenue of $6.76 billion, up 13% year over year, with non-GAAP EPS of $6.13.
Adobe names Anil Chakravarthy CEO effective December 1; Shantanu Narayen becomes executive chair
Adobe's board named Anil Chakravarthy president and chief executive, effective December 1, 2026, and he joins the board that day.
Adobe acquires India's Rilo, an AI marketing-intelligence startup, through a team deal and license
Adobe bought Rilo, an India-based AI marketing-intelligence startup, through a team acquisition and a technology license.
Morgan Stanley downgrades Adobe to Underweight and cuts target to $240 from $365
Morgan Stanley moved Adobe from Equal-weight to Underweight and cut its price target to $240 from $365, with analyst Adam Wood citing several changes happening at once.
Adobe expands its creative AI agent across Firefly and Creative Cloud apps
Adobe expanded its creative agent across Firefly and Creative Cloud, adding Firefly skills such as brand kit creation, short product videos, automatic first cuts and storyboard-to-video generation.
Adobe reports record Q2 revenue of $6.62B and raises FY2026 targets
Adobe reported record fiscal Q2 2026 revenue of $6.62 billion, up 13% year over year (11% in constant currency).
CFO Dan Durn to resign; Steven Day named interim CFO
Adobe said Chief Financial Officer Dan Durn will resign effective June 15, 2026.
Adobe makes CX Enterprise Coworker generally available
Adobe made CX Enterprise Coworker generally available, describing it as an outcomes-based agentic AI solution that coordinates agents across analytics, content creation and journey orchestration.
Adobe completes Semrush acquisition to add AI search visibility tools
Adobe said it completed its acquisition of Semrush, a brand visibility platform with SEO, generative engine optimization and agentic search optimization tools.
Adobe for creativity connector launches globally in Claude
Adobe made its creativity connector available globally in Claude.
Adobe board authorizes buybacks of up to $25 billion through April 2030
Adobe's board approved authority to repurchase up to $25 billion of common stock through April 30, 2030.
Adobe launches CX Enterprise, an agentic platform for customer experience
At Adobe Summit, Adobe introduced CX Enterprise, a platform that combines AI agents, reusable agent skills and Model Context Protocol connections with a control layer for governance and intelligence.
Adobe introduces Firefly AI Assistant and adds Kling 3.0 video models
Adobe introduced the Firefly AI Assistant, a conversational agent that runs multi-step workflows across Photoshop, Premiere, Lightroom, Express and Illustrator.
Firefly Image Model 5 becomes generally available; custom models enter public beta
Adobe made Firefly Image Model 5 generally available and opened a public beta for custom models that users train on their own images.
Adobe and NVIDIA plan next-generation Firefly models on NVIDIA computing
Adobe and NVIDIA said Adobe will build its next generation of Firefly foundation models on NVIDIA computing, including CUDA-X and NeMo.
Adobe agrees to $150M settlement with DOJ over subscription and cancellation practices
The Justice Department said Adobe agreed to a $150 million package to resolve claims under the Restore Online Shoppers' Confidence Act.
Adobe posts record Q1 FY2026 revenue of $6.40B and holds full-year targets
Adobe reported fiscal Q1 2026 revenue of $6.40 billion, up 12% year over year (11% in constant currency), with GAAP diluted EPS of $4.60 and non-GAAP EPS of $6.06.
CEO Shantanu Narayen to step down once a successor is appointed
Adobe said Shantanu Narayen will step down as chief executive after the board appoints a successor, and he will remain chair of the board.
Adobe becomes pilot advertiser in OpenAI's ChatGPT ad test
Adobe joined OpenAI's ad pilot in ChatGPT, which tests ads for logged-in U.S.
SEC filings
| Sep 22, 26 | 10-Q | 10-Q: Quarterly report for the period ended Aug 28, 2026 | sec.gov ↗ |
| Sep 18, 26 | 4 | Form 4: NARAYEN SHANTANU (Chair and CEO, Director) — open-market sale 125,000 sh | sec.gov ↗ |
| Sep 17, 26 | 4 | Form 4: Pentland Adele Louise (Chief Legal Officer & EVP) — option exercise 1,949 sh, tax withholding 966 sh | sec.gov ↗ |
| Sep 17, 26 | 4 | Form 4: Forusz Jillian (SVP & CAO) — option exercise 3,085 sh, tax withholding 1,528 sh | sec.gov ↗ |
| Sep 17, 26 | 4 | Form 4: Day Steven (Interim CFO and SVP) — option exercise 1,741 sh, tax withholding 862 sh | sec.gov ↗ |
| Sep 16, 26 | 144 | Form 144: Notice of proposed insider sale | sec.gov ↗ |
| Sep 10, 26 | 8-K | 8-K: Results of Operations (Item 2.02) | sec.gov ↗ |
| Sep 8, 26 | 8-K | 8-K: Director/Officer Change, Regulation FD Disclosure (Items 5.02, 7.01) | sec.gov ↗ |
| Sep 8, 26 | 144 | Form 144: Notice of proposed insider sale | sec.gov ↗ |
| Aug 17, 26 | 4 | Form 4: Day Steven (Interim CFO and SVP) — option exercise 58 sh, tax withholding 28 sh | sec.gov ↗ |
| Aug 7, 26 | SCHEDULE 13G | SCHEDULE 13G: Passive ownership report (5%+) | sec.gov ↗ |
| Jul 31, 26 | 4 | Form 4: Forusz Jillian (SVP & CAO) — open-market sale 416 sh | sec.gov ↗ |
| Jul 29, 26 | 144 | Form 144: Notice of proposed insider sale | sec.gov ↗ |
| Jul 27, 26 | SCHEDULE 13G/A | SCHEDULE 13G/A: Passive ownership report (5%+) (amended) | sec.gov ↗ |
| Jul 17, 26 | 4 | Form 4: NARAYEN SHANTANU (Chair and CEO, Director) — option exercise 8,298 sh, tax withholding 4,112 sh | sec.gov ↗ |
| Jul 17, 26 | 4 | Form 4: Balazs Lara (Chief Marketing Officer & EVP) — option exercise 2,538 sh, tax withholding 1,257 sh | sec.gov ↗ |
| Jul 17, 26 | 4 | Form 4: Pentland Adele Louise (Chief Legal Officer & EVP) — option exercise 1,308 sh, tax withholding 648 sh | sec.gov ↗ |
| Jul 17, 26 | 4 | Form 4: Chen Gloria (EVP, Chief People Officer) — option exercise 3,245 sh, tax withholding 1,607 sh | sec.gov ↗ |
| Jul 17, 26 | 4 | Form 4: Wadhwani David (President, C&P) — option exercise 3,024 sh, tax withholding 1,498 sh | sec.gov ↗ |
| Jul 17, 26 | 4 | Form 4: Forusz Jillian (SVP & CAO) — option exercise 692 sh, tax withholding 276 sh | sec.gov ↗ |
| Jul 17, 26 | 4 | Form 4: Chakravarthy Anil (President, CXO) — option exercise 3,024 sh, tax withholding 1,498 sh | sec.gov ↗ |
| Jul 17, 26 | 4 | Form 4: Day Steven (Interim CFO and SVP) — option exercise 690 sh, tax withholding 340 sh | sec.gov ↗ |
| Jul 17, 26 | 8-K | 8-K: Director/Officer Change (Item 5.02) | sec.gov ↗ |
| Jun 26, 26 | 4 | Form 4: Ricks David A (Director) — open-market buy 10,000 sh | sec.gov ↗ |
| Jun 17, 26 | 4 | Form 4: Day Steven (Interim CFO and SVP) — option exercise 546 sh, tax withholding 270 sh | sec.gov ↗ |
Insider trades, 12 months
| Date | Insider | Type | Shares | Price | Value |
|---|---|---|---|---|---|
| 2026-09-17 | NARAYEN SHANTANU Chair and CEO, Director | Sale | 50.5K | $249.57 | $12.6M |
| 2026-09-16 | NARAYEN SHANTANU Chair and CEO, Director | Sale | 74.5K | $251.56 | $18.7M |
| 2026-07-29 | Forusz Jillian SVP & CAO | Sale | 416 | $264.33 | $110.0K |
| 2026-06-25 | Ricks David A Director | Buy | 10.0K | $194.51 | $1.9M |
| 2026-04-30 | Forusz Jillian SVP & CAO | Sale | 755 | $246.25 | $185.9K |
| 2026-04-28 | NARAYEN SHANTANU Chair and CEO, Director | Sale | 75.0K | $243.54 | $18.3M |
| 2026-04-20 | Durn Daniel EVP & CFO | Sale | 1.3K | $248.02 | $331.4K |
| 2026-01-27 | Durn Daniel EVP & CFO | Sale | 1.6K | $294.85 | $485.3K |