Castle Wealth Management LLC Acquires New Holdings in Adobe Inc. (NASDAQ:ADBE)

Castle Wealth Management LLC acquired a new stake in Adobe Inc. (NASDAQ:ADBE) during the 4th quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund acquired 349 shares of the software company’s stock, valued at approximately $208,000.

A number of other institutional investors and hedge funds also recently bought and sold shares of the business. Geneva Partners LLC purchased a new stake in Adobe during the fourth quarter worth about $1,220,000. Wetzel Investment Advisors Inc. purchased a new stake in Adobe during the fourth quarter worth about $35,000. Resonant Capital Advisors LLC increased its stake in Adobe by 215.9% during the fourth quarter. Resonant Capital Advisors LLC now owns 2,559 shares of the software company’s stock worth $1,527,000 after purchasing an additional 1,749 shares during the period. Zhang Financial LLC increased its stake in Adobe by 58.7% during the fourth quarter. Zhang Financial LLC now owns 2,287 shares of the software company’s stock worth $1,364,000 after purchasing an additional 846 shares during the period. Finally, Ninepoint Partners LP purchased a new stake in Adobe during the fourth quarter worth about $646,000. 81.79% of the stock is currently owned by hedge funds and other institutional investors.

Adobe Price Performance

NASDAQ:ADBE traded down $8.16 during trading hours on Friday, hitting $465.02. The company’s stock had a trading volume of 3,280,642 shares, compared to its average volume of 3,572,111. The business’s 50-day moving average is $527.09 and its two-hundred day moving average is $565.93. The company has a market capitalization of $208.33 billion, a PE ratio of 44.46, a PEG ratio of 2.57 and a beta of 1.28. 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 52-week low of $331.89 and a 52-week high of $638.25.

Adobe (NASDAQ:ADBE) last released its quarterly earnings data 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. The firm had revenue of $5.18 billion during the quarter, compared to analysts’ expectations of $5.14 billion. Adobe had a return on equity of 39.12% and a net margin of 24.08%. Adobe’s revenue was up 11.3% compared to the same quarter last year. During the same quarter in the prior year, the business posted $2.97 earnings per share. As a group, research analysts anticipate that Adobe Inc. will post 14.55 EPS for the current fiscal year.

Adobe announced that its board has approved a share repurchase plan on Thursday, March 14th that authorizes the company to buyback $25.00 billion in outstanding shares. This buyback authorization authorizes the software company to buy up to 10.8% of its shares through open market purchases. Shares buyback plans are typically an indication that the company’s leadership believes its shares are undervalued.

Wall Street Analyst Weigh In

A number of brokerages have issued reports on ADBE. KeyCorp initiated coverage on shares of Adobe in a research note on Thursday, March 21st. They set an “underweight” rating and a $445.00 price target on the stock. TD Cowen cut their target price on shares of Adobe from $650.00 to $640.00 and set an “outperform” rating on the stock in a research note on Friday, March 15th. TheStreet lowered shares of Adobe from a “b-” rating to a “c+” rating in a research note on Tuesday, March 19th. Piper Sandler restated an “overweight” rating and set a $700.00 target price on shares of Adobe in a research note on Wednesday, March 27th. Finally, Mizuho restated a “buy” rating and set a $680.00 target price on shares of Adobe in a research note on Wednesday, March 27th. Two equities research analysts have rated the stock with a sell rating, six have assigned a hold rating and twenty have issued a buy rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average price target of $620.72.

Insider Activity

In other news, EVP Scott Belsky sold 2,191 shares of the firm’s stock in a transaction on Wednesday, January 24th. The stock was sold at an average price of $601.71, for a total value of $1,318,346.61. Following the completion of the transaction, the executive vice president now owns 23,508 shares in the company, valued at $14,144,998.68. The sale was disclosed in a document filed with the SEC, which is available at this link. In other news, EVP Scott Belsky sold 2,191 shares of the firm’s stock in a transaction on Wednesday, January 24th. The stock was sold at an average price of $601.71, for a total value of $1,318,346.61. Following the completion of the transaction, the executive vice president now owns 23,508 shares in the company, valued at $14,144,998.68. The sale was disclosed in a document filed with the SEC, which is available at this link. Also, CAO Mark S. Garfield sold 788 shares of the firm’s stock in a transaction on Thursday, January 25th. The shares were sold at an average price of $615.42, for a total value of $484,950.96. Following the completion of the transaction, the chief accounting officer now owns 4,055 shares of the company’s stock, valued at approximately $2,495,528.10. The disclosure for this sale can be found here. Insiders sold a total of 3,075 shares of company stock worth $1,848,418 over the last 90 days. 0.15% of the stock is currently owned by corporate insiders.

About Adobe

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.