
Adobe (ADBE) Stock Forecast & Price Target
Adobe (ADBE) Analyst Ratings
Bulls say
Adobe's strong financial performance is underscored by total revenue of $6,194 million for the year, which represented an 11% year-over-year increase that exceeded both internal estimates and consensus expectations. Digital media annual recurring revenue (ARR) grew 11.5% year-over-year to reach $19.2 billion, with over 75% of net new ARR attributed to strategic subscription enhancements and cross-selling initiatives. Additionally, the company's total remaining performance obligations (RPO) rose to $25.2 billion, reflecting a 13% year-over-year increase, indicating healthy demand and future revenue visibility.
Bears say
Adobe's recent financial outlook presents concerns due to anticipated declines in operating margins, with a projected Non-GAAP operating margin of 45% for FY26, a decrease from the previous year. The company's guidance, while above expectations, indicates a broader range of metrics that could lead to ambiguity in performance consistency, raising concerns over subscription renewals amid competitive pressures. Additionally, Adobe faces significant risk related to its ability to integrate acquisitions and adapt to evolving technology trends, which could hinder its long-term growth potential and negatively affect future revenue performance.
This aggregate rating is based on analysts' research of Adobe and is not a guaranteed prediction by Public.com or investment advice.
Adobe (ADBE) Analyst Forecast & Price Prediction
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