Adobe Systems Incorporated (ADBE) Fair Value & Analysis
Technology · US · Market cap $88.9B · ISIN US00724F1012
What is Adobe Systems Incorporated really worth?
Adobe Systems Incorporated
ADBE · US
A strong business, trading 37% below our fair value of $454.04.
Strengths
Fair value as of: Aug 29, 2026
From 26 valuation models · updated 6 days ago
Share price +11.0% over the past month.
What runs behind every stock
69 individual criteria per stock, every one traceable See the method →
What matters now
- The rarer combination: high quality (94/100) AND below fair value. That earns a closer look rather than a quick verdict.
- The price is below even our cautious bear case ($300.34). The market is more pessimistic than our downside scenario.
- A fairly wide model range ($300.34 to $590.25) leaves room in how you read the outcome.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 29, 2026.
How to read this chart
60‑month range $193.41 – $688.37 · fair‑value band $300.34 – $590.25 · the $285.75 price screens below the $454.04 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 29, 2026.
Analysis
Adobe Systems Incorporated (ADBE) currently trades at $285.75, while our model-based Fair Value estimate is $454.04, implying the stock looks roughly 37.1% undervalued today. The Quality Score stands at 94/100 (high quality), in the Technology sector. Bull case: the DCF Models group reads highest at a median of $579.63 per share, and 17 of the 26 models we run sit above the $285.75 price. Bear case: the Economic Profit group reads lowest at $239.15, and 9 of the 26 models stay below the price. Evidence for this calculation is high.
Over the trailing twelve months, Adobe Systems Incorporated generated revenue of $24.5B at a net margin of 29.5%. Revenue grew 12.0% year over year. It earns a return on equity of 58.8%. Net debt stands at $1.2B. Fundamentals as of Aug 29, 2026
Our scenario range runs from $300.34 (bear case) to $590.25 (bull case); at $285.75, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 32% below its 52-week high and 27% above its 52-week low, currently below its 200-day average. For context, the median of 10 Technology peers we cover trades at −43% fair-value upside, at 59%, ADBE screens cheaper than that median.
Fair Value models
This estimate rests on fiscal year 2025 figures, and about 9 months have passed since. In that time the company retained roughly $13.32 per share, which is 2.9 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.
All 26 models by family
Widest divergence: DCF Models ($579.63) versus Dividend Discount ($0.1200). Highest evidence: FCF DCF (76).
Notify me when ADBE reaches fair value
Put ADBE on your watchlist. We get in touch as soon as price and fair value meet or the trend turns.
Set up alert →Free, no payment details. Unsubscribe anytime in one click.
Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 29, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 88 · Market factors (momentum, volatility) 35
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.
About the company
Adobe Inc. operates as a technology company worldwide. The Digital Media segment offers products and services that enable individuals, teams, and enterprises to create, publish, and promote content.
Full company description
Adobe Inc. operates as a technology company worldwide. The Digital Media segment offers products and services that enable individuals, teams, and enterprises to create, publish, and promote content. This segment serves photographers, video editors, graphic and experience designers, game developers, content creators, students, marketers, business owners, knowledge workers, and consumers. The Digital Experience segment provides an integrated platform; and products, services, and solutions that enable brands and businesses to create, manage, execute, measure, monetize, and optimize customer experiences from analytics to commerce. This segment serves marketers, advertisers, agencies, publishers, merchandisers, merchants, web analysts, data scientists, developers, and executives across the C-suite. The Publishing and Advertising segment offers e-learning, technical document publishing, web conferencing, document and forms platform, web application development, printing, and Adobe Advertising solutions. It also provides consulting, training, customer management, technical support, and learning services. The company offers its solutions to enterprise customers, and businesses and consumers; and licenses its products to end-user customers through app stores and website at adobe.com. It markets and distributes its products through distributors, retailers, software developers, mobile app stores, systems integrators, independent software vendors, value-added resellers, and original equipment and hardware manufacturers. The company also provides an online visibility management and content marketing software-as-a-service platform. The company has a strategic alliance with HUMAIN for the development of generative AI models and AI-powered applications. The company was formerly known as Adobe Systems Incorporated and changed its name to Adobe Inc. in October 2018. Adobe Inc. was founded in 1982 and is headquartered in San Jose, California.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
Adobe Systems Incorporated reported revenue of $23.8B in FY2025 versus $15.8B in FY2021, a compound +10.8%/yr. Reported net income was $7.1B in FY2025, compounding +10.3%/yr from FY2021.
of which total revenue +17.8 % · buybacks/dilution +1.4 %
Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).
Watch ADBE: get an alert when its fair value changes →
Recent news
External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.
- Jim Cramer Flagged Another Risk For Adobe Inc. (NASDAQ:ADBE)
- Adobe Stock Sinks After Company Names Insider as New CEO
- Adobe Picks an Insider to Lead Its AI Fight
Peer Group
Software - Application · 691 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Software - Application median · lower = cheaper
Strength profile in five axes (Snowflake)
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
Insider activity: 46/100
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Software - Application stocks, each showing price versus our Fair Value estimate (as of Aug 29, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| SAP SE SAP | €191.32 | €169.59 | −11% |
| Shopify Inc SHOP | C$209.78 | C$28.76 | −86% |
| Uber Technologies, Inc UBER | $78.82 | $43.66 | −45% |
| Salesforce, Inc CRM | $252.05 | $249.28 | −1% |
| ServiceNow, Inc NOW | $138.43 | $43.73 | −68% |
| Cadence Design Systems, Inc CDNS | $340.39 | $112.57 | −67% |
| Snowflake Inc SNOW | $329.11 | $42.27 | −87% |
| Automatic Data Processing, Inc ADP | $284.68 | $177.51 | −38% |
| Intuit Inc INTU | $348.00 | $363.46 | +4% |
| Autodesk, Inc ADSK | $260.66 | $149.05 | −43% |
Compare Adobe Systems Incorporated with another stock
Price, fair value, quality and upside side by side.
Explore undervalued stocks
More undervalued Technology stocks →
Try a ready-made strategy
Pick a strategy and jump into the live analysis with that exact screen applied.
Discover tools
Frequently asked questions
Is Adobe Systems Incorporated (ADBE) overvalued or undervalued?
What is the fair value of ADBE?
What is the quality score of ADBE?
What is the revenue of Adobe Systems Incorporated (ADBE)?
What is the net profit margin of ADBE?
Watch Adobe Systems Incorporated in the live analysis
One click puts Adobe Systems Incorporated on your watchlist: fair value and trend at a glance, plus comparison, the diversification check and the 35,000+ stock screener. You can also try 14 days of Pro there, no card.
Watch for free →Zero risk: nothing is ever charged. Your watchlist is yours, with or without an account.