Adobe Inc.
We build innovative platforms and tools that unleash creativity, productivity and personalized customer experiences. For over four decades, our innovations have transformed how people everywhere engage across all types of media.
$245.20
-$6.47 (-2.57%)
EOD Oct 16, 2026
Margins and capital returns are both well above average: 36.63% operating margin, ROIC at 36.96%. Consistent with durable pricing power, though that alone doesn't make it a buy.
Revenue up 10.5% YoY with margins expanding 5.3pp.
Even for strong businesses, today's 14x P/E means the stock needs to keep delivering. There's no margin of safety if growth disappoints.
13.7x earnings, 9.0x FCF. The multiple is below average. Either the market is pricing in deterioration you should investigate, or there's genuine value here.
Price History
Valuation & Multiples
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
$25.97B
▲ +10.5% YoY
Net Income (TTM)
$7.28B
▲ +28.2% YoY
Op. Margin
35.70%
▲ +5.3pp YoY
ROIC
39.60%
▲ +10.6pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
$10.59B
▲ +25.1% YoY
Op. Cash Flow (TTM)
$10.81B
▲ +24.5% YoY
Net Debt
$1.12B
Cash & Equiv.
$5.64B
5Y CAGR: +13.1%
5Y CAGR: +13.2%
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SourceComputed from the 10-Q filed 18 Sept 2026, covering the period ending 28 Aug 2026, as reported to the SEC. Data last refreshed 23 Sept 2026. How this is calculated.
Price from market data, last close as of 16 Oct 2026. Fiscal year ends Nov. Sector medians are approximate S&P 500 benchmarks and update periodically.
Is Adobe (ADBE) overvalued?
At a P/E of 13.7 and a price-to-free-cash-flow of 9.0, Adobe (ADBE) trades below a two-stage DCF intrinsic value of about $705.27 per share, so at $245.20 the stock looks undervalued (187.6% below estimated intrinsic value). A high multiple is not the same as overvalued: fast-growing, high-quality businesses can deserve a premium. See the general approach in how to tell if a stock is overvalued.
On quality, Adobe scores 93/100 on Intrinsiqq's quality scorecard (a high-quality business on these measures), weighing growth, margins, returns on capital, share count, and balance-sheet strength. All figures are computed from SEC filings; read the full methodology, or see how the market compares in our US profitability statistics. This is analysis, not investment advice.
Frequently asked
What is Adobe's fair value?+
Intrinsiqq's two-stage DCF estimates an intrinsic value of about $705.27 per share for ADBE, projecting its recent free cash flow forward with a growth rate that fades toward a long-run rate and discounting it back to today. Applying a 25% margin of safety gives a more conservative fair-value entry around $528.95. At today's $245.20, that puts the stock about 187.6% below estimated intrinsic value. The result is sensitive to the growth and discount-rate inputs, so it is best to run conservative, base and optimistic cases. You can adjust all of them yourself with the sliders on the DCF tab.
Is Adobe a high-quality business?+
Adobe scores 93 out of 100 on Intrinsiqq's quality score, a weighted blend of 8 metrics each scored 0 to 100, which makes it a high-quality business on these measures. Recent fundamentals include a 35.7% operating margin and a 39.6% return on invested capital. The score weighs revenue and free-cash-flow growth, operating margins, return on invested capital, share-count change, and balance-sheet strength, all computed from SEC filings, not opinion. Because valuation only means something relative to quality, the full metric-by-metric breakdown is on the quality scorecard.
Is Adobe a good stock to buy right now?+
That depends on valuation and quality together, not either alone. ADBE currently trades below its estimated intrinsic value and scores 93/100 on quality (high-quality). A cheap price is only a bargain if the business is durable, and a premium can be justified by genuine quality, so the two questions, "is it cheap?" and "is it good?", only make sense side by side. Read the valuation against the quality scorecard, run the DCF on your own assumptions, and decide for yourself. This is analysis from SEC filings, not investment advice.
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Data sourced from SEC EDGAR filings and third-party price providers. Scores, valuations, and metrics are algorithmic estimates. This is not investment advice. See our Terms and Methodology.