Longfellow Investment Management Co. LLC Makes New Investment in Adobe Inc. $ADBE

Longfellow Investment Management Co. LLC acquired a new stake in Adobe Inc. (NASDAQ:ADBE) during the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund acquired 12,646 shares of the software company’s stock, valued at approximately $2,593,000.

Other institutional investors and hedge funds have also made changes to their positions in the company. Nicholas Company Inc. lifted its holdings in shares of Adobe by 7.6% during the fourth quarter. Nicholas Company Inc. now owns 174,626 shares of the software company’s stock worth $61,117,000 after purchasing an additional 12,400 shares during the period. Teacher Retirement System of Texas increased its stake in Adobe by 13.4% in the 4th quarter. Teacher Retirement System of Texas now owns 215,611 shares of the software company’s stock valued at $75,462,000 after buying an additional 25,435 shares during the period. Wealthfront Advisers LLC increased its stake in Adobe by 13.2% in the 4th quarter. Wealthfront Advisers LLC now owns 55,179 shares of the software company’s stock valued at $19,312,000 after buying an additional 6,426 shares during the period. Orange Investment Advisors Inc. raised its position in Adobe by 21.6% during the 4th quarter. Orange Investment Advisors Inc. now owns 29,541 shares of the software company’s stock worth $10,339,000 after buying an additional 5,254 shares during the last quarter. Finally, Milestone Asset Management LLC raised its position in Adobe by 426.2% during the 4th quarter. Milestone Asset Management LLC now owns 7,478 shares of the software company’s stock worth $2,617,000 after buying an additional 6,057 shares during the last quarter. 81.79% of the stock is owned by hedge funds and other institutional investors.

Insider Activity

In related news, Director David A. Ricks acquired 10,000 shares of the business’s stock in a transaction that occurred on Thursday, June 25th. The stock was purchased at an average cost of $194.51 per share, for a total transaction of $1,945,100.00. Following the transaction, the director directly owned 17,655 shares of the company’s stock, valued at approximately $3,434,074.05. This trade represents a 130.63% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. Also, CAO Jillian Forusz sold 416 shares of the company’s stock in a transaction that occurred on Wednesday, July 29th. The shares were sold at an average price of $264.33, for a total value of $109,961.28. Following the completion of the sale, the chief accounting officer directly owned 3,824 shares in the company, valued at approximately $1,010,797.92. The trade was a 9.81% decrease in their position. The SEC filing for this sale provides additional information. 0.20% of the stock is owned by corporate insiders.

Wall Street Analysts Forecast Growth

ADBE has been the topic of several analyst reports. Robert W. Baird lowered their target price on shares of Adobe from $270.00 to $230.00 and set a “neutral” rating on the stock in a report on Friday, June 12th. Piper Sandler cut their price target on shares of Adobe from $280.00 to $240.00 and set a “neutral” rating for the company in a report on Friday, June 12th. Stifel Nicolaus reaffirmed a “hold” rating and issued a $200.00 price objective (down from $350.00) on shares of Adobe in a report on Friday, June 12th. Sanford C. Bernstein dropped their target price on Adobe from $447.00 to $379.00 and set an “outperform” rating on the stock in a research report on Friday, June 12th. Finally, JPMorgan Chase & Co. cut their target price on Adobe from $420.00 to $340.00 and set an “overweight” rating for the company in a research note on Friday, June 12th. Seven investment analysts have rated the stock with a Buy rating, twenty-one have issued a Hold rating and five have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $269.81.

Key Adobe News

Here are the key news stories impacting Adobe this week:

• Positive Sentiment: Adobe’s AI business is showing stronger traction: the company has reported a series of record earnings, while AI-related revenue has reportedly tripled. That performance is helping challenge the view that generative AI will permanently weaken Adobe’s creative-software franchise. Adobe Stock Eyes Rebound. Is This a Golden AI Opportunity?
• Positive Sentiment: ADBE has recovered substantially from its 2026 low as investors rotate back into beaten-down software stocks. The rebound suggests some investors believe Adobe’s earnings power and AI product expansion are being undervalued. Adobe stock is taking off: Could a rumored Workday buyout push it higher?
• Neutral Sentiment: A rumored potential acquisition of Workday is being discussed as a possible catalyst, but there is no confirmed transaction. Any deal could expand Adobe’s enterprise software reach, while also introducing execution, financing, and integration risks. Adobe stock is taking off: Could a rumored Workday buyout push it higher?
• Neutral Sentiment: One strategy article recommends selling options to collect income while setting a lower potential purchase price for Adobe. This may appeal to bullish, income-oriented investors, but it is not a fundamental catalyst and reflects continued caution about the stock’s near-term path. ADBE Stock: Collect 12% While Setting A 30%-Off Buy Price
• Negative Sentiment: Adobe remains one of the most heavily punished large-cap software stocks after losing roughly one-third from its peak. Investors continue to question whether generative AI could erode demand for its core creative products, even as recent results have been strong. That unresolved concern likely helps explain the pressure on ADBE today. Adobe Stock Eyes Rebound. Is This a Golden AI Opportunity?

Adobe Stock Performance

NASDAQ:ADBE opened at $264.02 on Monday. The company has a market capitalization of $104.95 billion, a PE ratio of 15.10, a price-to-earnings-growth ratio of 0.89 and a beta of 1.40. The company has a quick ratio of 0.75, a current ratio of 0.75 and a debt-to-equity ratio of 0.42. Adobe Inc. has a 52-week low of $190.12 and a 52-week high of $370.86. The stock has a fifty day simple moving average of $228.64 and a 200-day simple moving average of $245.62.

Adobe (NASDAQ:ADBE) last released its quarterly earnings data on Thursday, June 11th. The software company reported $5.96 EPS for the quarter, topping the consensus estimate of $5.82 by $0.14. The business had revenue of $6.62 billion for the quarter, compared to analyst estimates of $6.45 billion. Adobe had a net margin of 28.69% and a return on equity of 65.11%. The business’s revenue for the quarter was up 12.7% compared to the same quarter last year. During the same period in the previous year, the firm earned $5.06 EPS. Adobe has set its FY 2026 guidance at 24.350-24.450 EPS and its Q3 2026 guidance at 6.050-6.100 EPS. On average, equities research analysts expect that Adobe Inc. will post 19.81 earnings per share for the current fiscal year.

Adobe declared that its board has authorized a share buyback program on Tuesday, April 21st that authorizes the company to repurchase $25.00 billion in shares. This repurchase authorization authorizes the software company to repurchase up to 24.9% of its shares through open market purchases. Shares repurchase programs are typically an indication that the company’s leadership believes its stock is undervalued.

About Adobe

Adobe Inc, founded in 1982 by John Warnock and Charles Geschke and headquartered in San Jose, California, is a global software company that develops tools and services for creative professionals, marketers and enterprises. Under the leadership of CEO Shantanu Narayen, who has led the company since 2007, Adobe has evolved from a provider of desktop publishing tools into a cloud-centric provider of digital media and digital experience solutions.

The company’s core offerings are organized around digital media and digital experience.