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Adobe Systems (ADBE) Stock Moves -0.68%: What You Should Know
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Adobe Systems (ADBE - Free Report) closed the most recent trading day at $224.65, moving -0.68% from the previous trading session. This change was narrower than the S&P 500's daily loss of 1.54%. Meanwhile, the Dow lost 1.49%, and the Nasdaq, a tech-heavy index, lost 2.17%.
Prior to today's trading, shares of the software maker had gained 2.94% over the past month. This has outpaced the Computer and Technology sector's loss of 4.64% and the S&P 500's loss of 6.77% in that time.
Wall Street will be looking for positivity from ADBE as it approaches its next earnings report date. This is expected to be March 21, 2019. In that report, analysts expect ADBE to post earnings of $1.63 per share. This would mark year-over-year growth of 5.16%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.54 billion, up 22.3% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.76 per share and revenue of $11.15 billion. These totals would mark changes of +14.79% and +23.43%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for ADBE. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 5.9% lower. ADBE currently has a Zacks Rank of #3 (Hold).
Investors should also note ADBE's current valuation metrics, including its Forward P/E ratio of 29.14. Its industry sports an average Forward P/E of 28.16, so we one might conclude that ADBE is trading at a premium comparatively.
We can also see that ADBE currently has a PEG ratio of 1.78. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Computer - Software industry currently had an average PEG ratio of 2.05 as of yesterday's close.
The Computer - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 57, which puts it in the top 22% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Adobe Systems (ADBE) Stock Moves -0.68%: What You Should Know
Adobe Systems (ADBE - Free Report) closed the most recent trading day at $224.65, moving -0.68% from the previous trading session. This change was narrower than the S&P 500's daily loss of 1.54%. Meanwhile, the Dow lost 1.49%, and the Nasdaq, a tech-heavy index, lost 2.17%.
Prior to today's trading, shares of the software maker had gained 2.94% over the past month. This has outpaced the Computer and Technology sector's loss of 4.64% and the S&P 500's loss of 6.77% in that time.
Wall Street will be looking for positivity from ADBE as it approaches its next earnings report date. This is expected to be March 21, 2019. In that report, analysts expect ADBE to post earnings of $1.63 per share. This would mark year-over-year growth of 5.16%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.54 billion, up 22.3% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.76 per share and revenue of $11.15 billion. These totals would mark changes of +14.79% and +23.43%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for ADBE. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 5.9% lower. ADBE currently has a Zacks Rank of #3 (Hold).
Investors should also note ADBE's current valuation metrics, including its Forward P/E ratio of 29.14. Its industry sports an average Forward P/E of 28.16, so we one might conclude that ADBE is trading at a premium comparatively.
We can also see that ADBE currently has a PEG ratio of 1.78. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Computer - Software industry currently had an average PEG ratio of 2.05 as of yesterday's close.
The Computer - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 57, which puts it in the top 22% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.