Adobe Systems Stock Analysis, Valuation (NASDAQ:ADBE)
Adobe Systems Stock Analysis
View Adobe Systems stock analysis video. This is our analyst opinion covering the buy and sell arguments for ADBE stock.
Adobe Systems Incorporated Stock Rating 3.6/5
Our Adobe Systems stock opinion is based on fundamentals of the company. This Adobe Systems stock analysis is based on latest 2017 Q3 earnings. The stock price analysis takes into account the company's valuation metrics.
Should you buy ADBE stock?
- Adobe Systems's revenue growth came in at 25.8% in 2017 Q3.
- Adobe Systems's average operating margin of 28.8% was exceptional.
- Net margins came in at average 23.1% for Adobe Systems over the last twelve months.
- Adobe Systems generates a high return on invested capital of 32.4%.
- Return On Equity (ROE) which is a measure of the company's profitability, looks great for Adobe Systems at 20.8%.
Should you sell ADBE stock?
- The ADBE stock currently trades at a PE of 59.8, which is expensive, compared to the industry average of 26.
- The company is trading at a price to sales multiple of 10.4, which is higher in comparison to the Computer-Software industry average of 2.6, making ADBE stock expensive.