Adobe Shares Drop 4.6% After 14.1% Monthly Slide Ahead of Q1 Results
Adobe shares slid 4.61% on February 23, extending a 14.1% decline over the past month versus a 0.34% sector gain. Investors await March 12 earnings, with Q1 EPS forecast at $5.88 (+15.8%) on revenues of $6.28 billion (+9.9%).
1. Stock Performance Slide
On February 23, Adobe shares dropped 4.61%, underperforming the S&P 500 (−1.04%), Nasdaq (−1.13%) and Dow (−1.66%). The stock has fallen 14.1% over the past month while the Computer & Technology sector gained 0.34% and the S&P 500 gained 1.75%.
2. Q1 Earnings Preview
Adobe will report fiscal Q1 results on March 12 with EPS estimated at $5.88, up 15.75% year over year, on revenue of $6.28 billion, a 9.92% increase. Full-year consensus forecasts call for EPS of $23.47 (+12.08%) and sales of $26.04 billion (+9.54%).
3. Valuation and Analyst Ratings
The company trades at a forward P/E of 11.02 versus the industry’s 16.72, with a PEG of 0.82 compared to an industry average of 1.5. Adobe holds a neutral Zacks Rank #3 rating, reflecting flat estimate revisions over the past 30 days.