CloudAlpha Capital Management Limited Hong Kong Has $38.35 Million Stake in Adobe Inc. (NASDAQ:ADBE)

CloudAlpha Capital Management Limited Hong Kong raised its stake in Adobe Inc. (NASDAQ:ADBE) by 179.5% during the fourth quarter, HoldingsChannel.com reports. The fund owned 64,275 shares of the software company’s stock after purchasing an additional 41,275 shares during the quarter. Adobe comprises approximately 3.5% of CloudAlpha Capital Management Limited Hong Kong’s holdings, making the stock its 5th biggest position. CloudAlpha Capital Management Limited Hong Kong’s holdings in Adobe were worth $38,346,000 as of its most recent filing with the SEC.

Other hedge funds have also bought and sold shares of the company. KLCM Advisors Inc. purchased a new stake in Adobe in the fourth quarter worth about $1,077,000. Rakuten Securities Inc. purchased a new position in shares of Adobe in the fourth quarter worth $308,000. Prosperity Wealth Management Inc. acquired a new stake in shares of Adobe during the fourth quarter worth $376,000. Sfmg LLC grew its holdings in shares of Adobe by 3.5% during the fourth quarter. Sfmg LLC now owns 680 shares of the software company’s stock valued at $406,000 after buying an additional 23 shares during the last quarter. Finally, Quantum Private Wealth LLC increased its position in shares of Adobe by 16.4% in the 4th quarter. Quantum Private Wealth LLC now owns 1,165 shares of the software company’s stock valued at $695,000 after acquiring an additional 164 shares during the period. Hedge funds and other institutional investors own 81.79% of the company’s stock.

Analyst Upgrades and Downgrades

Several research firms have weighed in on ADBE. BMO Capital Markets reiterated an “outperform” rating and set a $610.00 price target on shares of Adobe in a research note on Wednesday, March 27th. Mizuho reiterated a “buy” rating and issued a $680.00 price target on shares of Adobe in a report on Wednesday, March 27th. HSBC reduced their price target on shares of Adobe from $557.00 to $511.00 and set a “hold” rating for the company in a research report on Friday, March 15th. UBS Group dropped their price objective on shares of Adobe from $600.00 to $540.00 and set a “neutral” rating on the stock in a report on Friday, March 15th. Finally, Piper Sandler reiterated an “overweight” rating and set a $700.00 price objective on shares of Adobe in a research note on Wednesday, March 27th. Two analysts have rated the stock with a sell rating, six have given a hold rating and twenty have issued a buy rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $620.72.

Adobe Price Performance

Shares of NASDAQ:ADBE traded down $1.77 during trading on Wednesday, reaching $474.45. The stock had a trading volume of 2,033,924 shares, compared to its average volume of 3,592,026. The company has a debt-to-equity ratio of 0.14, a quick ratio of 1.05 and a current ratio of 1.05. Adobe Inc. has a 1-year low of $331.89 and a 1-year high of $638.25. The stock has a market cap of $212.55 billion, a PE ratio of 45.36, a PEG ratio of 2.55 and a beta of 1.28. The business has a fifty day moving average price of $536.02 and a 200-day moving average price of $567.62.

Adobe (NASDAQ:ADBE) last announced its earnings results on Thursday, March 14th. The software company reported $4.48 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.38 by $0.10. Adobe had a net margin of 24.08% and a return on equity of 39.12%. The company had revenue of $5.18 billion for the quarter, compared to analysts’ expectations of $5.14 billion. During the same quarter in the previous year, the company posted $2.97 EPS. The firm’s quarterly revenue was up 11.3% on a year-over-year basis. On average, equities analysts forecast that Adobe Inc. will post 14.55 earnings per share for the current fiscal year.

Adobe announced that its board has authorized a stock repurchase plan on Thursday, March 14th that permits the company to repurchase $25.00 billion in shares. This repurchase authorization permits the software company to reacquire up to 10.8% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company’s board of directors believes its stock is undervalued.

Insider Activity at Adobe

In other news, CAO Mark S. Garfield sold 788 shares of the business’s stock in a transaction that occurred on Thursday, January 25th. The stock was sold at an average price of $615.42, for a total transaction of $484,950.96. Following the transaction, the chief accounting officer now directly owns 4,055 shares in the company, valued at approximately $2,495,528.10. The sale was disclosed in a legal filing with the SEC, which is available at the SEC website. In other news, EVP Scott Belsky sold 2,191 shares of Adobe stock in a transaction on Wednesday, January 24th. The stock was sold at an average price of $601.71, for a total transaction of $1,318,346.61. Following the transaction, the executive vice president now owns 23,508 shares in the company, valued at approximately $14,144,998.68. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, CAO Mark S. Garfield sold 788 shares of the business’s stock in a transaction dated Thursday, January 25th. The shares were sold at an average price of $615.42, for a total transaction of $484,950.96. Following the transaction, the chief accounting officer now directly owns 4,055 shares in the company, valued at approximately $2,495,528.10. The disclosure for this sale can be found here. 0.15% of the stock is owned by corporate insiders.

Adobe Company Profile

Adobe Inc, together with its subsidiaries, operates as a diversified software company worldwide. It operates through three segments: Digital Media, Digital Experience, and Publishing and Advertising. The Digital Media segment offers products, services, and solutions that enable individuals, teams, and enterprises to create, publish, and promote content; and Document Cloud, a unified cloud-based document services platform.