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Adobe Systems (ADBE) Gains But Lags Market: What You Should Know
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Adobe Systems (ADBE - Free Report) closed the most recent trading day at $258.10, moving +0.11% from the previous trading session. This change lagged the S&P 500's 0.18% gain on the day. Meanwhile, the Dow gained 0.24%, and the Nasdaq, a tech-heavy index, added 0.03%.
Heading into today, shares of the software maker had gained 5.72% over the past month, outpacing the Computer and Technology sector's gain of 5.62% and the S&P 500's gain of 4.28% in that time.
Investors will be hoping for strength from ADBE as it approaches its next earnings release. On that day, ADBE is projected to report earnings of $1.61 per share, which would represent year-over-year growth of 3.87%. Meanwhile, our latest consensus estimate is calling for revenue of $2.54 billion, up 22.28% from the prior-year quarter.
ADBE's full-year Zacks Consensus Estimates are calling for earnings of $7.77 per share and revenue of $11.15 billion. These results would represent year-over-year changes of +14.94% and +23.44%, respectively.
Investors might also notice recent changes to analyst estimates for ADBE. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. ADBE is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, ADBE is holding a Forward P/E ratio of 33.18. Its industry sports an average Forward P/E of 28.58, 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 2.02. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Computer - Software was holding an average PEG ratio of 2.15 at yesterday's closing price.
The Computer - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 64, putting it in the top 26% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Adobe Systems (ADBE) Gains But Lags Market: What You Should Know
Adobe Systems (ADBE - Free Report) closed the most recent trading day at $258.10, moving +0.11% from the previous trading session. This change lagged the S&P 500's 0.18% gain on the day. Meanwhile, the Dow gained 0.24%, and the Nasdaq, a tech-heavy index, added 0.03%.
Heading into today, shares of the software maker had gained 5.72% over the past month, outpacing the Computer and Technology sector's gain of 5.62% and the S&P 500's gain of 4.28% in that time.
Investors will be hoping for strength from ADBE as it approaches its next earnings release. On that day, ADBE is projected to report earnings of $1.61 per share, which would represent year-over-year growth of 3.87%. Meanwhile, our latest consensus estimate is calling for revenue of $2.54 billion, up 22.28% from the prior-year quarter.
ADBE's full-year Zacks Consensus Estimates are calling for earnings of $7.77 per share and revenue of $11.15 billion. These results would represent year-over-year changes of +14.94% and +23.44%, respectively.
Investors might also notice recent changes to analyst estimates for ADBE. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. ADBE is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, ADBE is holding a Forward P/E ratio of 33.18. Its industry sports an average Forward P/E of 28.58, 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 2.02. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Computer - Software was holding an average PEG ratio of 2.15 at yesterday's closing price.
The Computer - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 64, putting it in the top 26% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.