ADOBE INC (1ADBE.MI) Fundamental Analysis & Valuation
BIT:1ADBE • US00724F1012
Current stock price
208.25 EUR
+2.2 (+1.07%)
Last:
This 1ADBE.MI fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. 1ADBE.MI Profitability Analysis
1.1 Basic Checks
- 1ADBE had positive earnings in the past year.
- In the past year 1ADBE had a positive cash flow from operations.
- In the past 5 years 1ADBE has always been profitable.
- In the past 5 years 1ADBE always reported a positive cash flow from operatings.
1.2 Ratios
- 1ADBE's Return On Assets of 24.27% is amongst the best of the industry. 1ADBE outperforms 96.43% of its industry peers.
- 1ADBE's Return On Equity of 63.05% is amongst the best of the industry. 1ADBE outperforms 97.32% of its industry peers.
- 1ADBE has a Return On Invested Capital of 39.60%. This is amongst the best in the industry. 1ADBE outperforms 98.21% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for 1ADBE is significantly above the industry average of 12.32%.
- The 3 year average ROIC (31.10%) for 1ADBE is below the current ROIC(39.60%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 24.27% | ||
| ROE | 63.05% | ||
| ROIC | 39.6% |
ROA(3y)20.26%
ROA(5y)19.2%
ROE(3y)44.54%
ROE(5y)40.01%
ROIC(3y)31.1%
ROIC(5y)28.47%
1.3 Margins
- 1ADBE has a better Profit Margin (29.48%) than 94.64% of its industry peers.
- In the last couple of years the Profit Margin of 1ADBE has declined.
- Looking at the Operating Margin, with a value of 36.65%, 1ADBE belongs to the top of the industry, outperforming 96.43% of the companies in the same industry.
- In the last couple of years the Operating Margin of 1ADBE has remained more or less at the same level.
- 1ADBE has a Gross Margin of 89.40%. This is amongst the best in the industry. 1ADBE outperforms 85.71% of its industry peers.
- In the last couple of years the Gross Margin of 1ADBE has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 36.65% | ||
| PM (TTM) | 29.48% | ||
| GM | 89.4% |
OM growth 3Y1.88%
OM growth 5Y1.28%
PM growth 3Y3.55%
PM growth 5Y-6%
GM growth 3Y0.59%
GM growth 5Y0.6%
2. 1ADBE.MI Health Analysis
2.1 Basic Checks
- 1ADBE has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- 1ADBE has less shares outstanding than it did 1 year ago.
- 1ADBE has less shares outstanding than it did 5 years ago.
- The debt/assets ratio for 1ADBE is higher compared to a year ago.
2.2 Solvency
- An Altman-Z score of 7.24 indicates that 1ADBE is not in any danger for bankruptcy at the moment.
- The Altman-Z score of 1ADBE (7.24) is better than 90.18% of its industry peers.
- 1ADBE has a debt to FCF ratio of 0.60. This is a very positive value and a sign of high solvency as it would only need 0.60 years to pay back of all of its debts.
- 1ADBE's Debt to FCF ratio of 0.60 is amongst the best of the industry. 1ADBE outperforms 82.14% of its industry peers.
- A Debt/Equity ratio of 0.47 indicates that 1ADBE is not too dependend on debt financing.
- 1ADBE has a worse Debt to Equity ratio (0.47) than 64.29% of its industry peers.
- Although 1ADBE's pure debt/equity ratio does not look good, it has limited outstanding debt compared to the Free Cash Flow. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 0.6 | ||
| Altman-Z | 7.24 |
ROIC/WACC3.66
WACC10.83%
2.3 Liquidity
- A Current Ratio of 0.91 indicates that 1ADBE may have some problems paying its short term obligations.
- Looking at the Current ratio, with a value of 0.91, 1ADBE is doing worse than 75.89% of the companies in the same industry.
- A Quick Ratio of 0.91 indicates that 1ADBE may have some problems paying its short term obligations.
- The Quick ratio of 1ADBE (0.91) is worse than 75.00% of its industry peers.
- 1ADBE does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.91 |
3. 1ADBE.MI Growth Analysis
3.1 Past
- The Earnings Per Share has grown by an nice 15.30% over the past year.
- The Earnings Per Share has been growing by 15.87% on average over the past years. This is quite good.
- The Revenue has grown by 10.96% in the past year. This is quite good.
- The Revenue has been growing by 13.06% on average over the past years. This is quite good.
EPS 1Y (TTM)15.3%
EPS 3Y15.15%
EPS 5Y15.87%
EPS Q2Q%19.29%
Revenue 1Y (TTM)10.96%
Revenue growth 3Y10.52%
Revenue growth 5Y13.06%
Sales Q2Q%11.97%
3.2 Future
- 1ADBE is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.65% yearly.
- The Revenue is expected to grow by 9.93% on average over the next years. This is quite good.
EPS Next Y14.67%
EPS Next 2Y13.37%
EPS Next 3Y12.96%
EPS Next 5Y9.65%
Revenue Next Year9.92%
Revenue Next 2Y9.34%
Revenue Next 3Y9.01%
Revenue Next 5Y9.93%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. 1ADBE.MI Valuation Analysis
4.1 Price/Earnings Ratio
- 1ADBE is valuated reasonably with a Price/Earnings ratio of 11.11.
- Based on the Price/Earnings ratio, 1ADBE is valued cheaply inside the industry as 91.96% of the companies are valued more expensively.
- 1ADBE is valuated cheaply when we compare the Price/Earnings ratio to 26.77, which is the current average of the S&P500 Index.
- With a Price/Forward Earnings ratio of 9.05, the valuation of 1ADBE can be described as very reasonable.
- Compared to the rest of the industry, the Price/Forward Earnings ratio of 1ADBE indicates a rather cheap valuation: 1ADBE is cheaper than 91.96% of the companies listed in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 21.75. 1ADBE is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.11 | ||
| Fwd PE | 9.05 |
4.2 Price Multiples
- 1ADBE's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. 1ADBE is cheaper than 79.46% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, 1ADBE is valued cheaply inside the industry as 90.18% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.55 | ||
| EV/EBITDA | 9.99 |
4.3 Compensation for Growth
- 1ADBE's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- The excellent profitability rating of 1ADBE may justify a higher PE ratio.
- A more expensive valuation may be justified as 1ADBE's earnings are expected to grow with 12.96% in the coming years.
PEG (NY)0.76
PEG (5Y)0.7
EPS Next 2Y13.37%
EPS Next 3Y12.96%
5. 1ADBE.MI Dividend Analysis
5.1 Amount
- 1ADBE does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
1ADBE.MI Fundamentals: All Metrics, Ratios and Statistics
BIT:1ADBE (4/28/2026, 7:00:00 PM)
208.25
+2.2 (+1.07%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Industry Strength6.83
Industry Growth64.6
Earnings (Last)03-12 2026-03-12/amc
Earnings (Next)06-10 2026-06-10/amc
Inst Owners88.63%
Inst Owner ChangeN/A
Ins Owners0.19%
Ins Owner ChangeN/A
Market Cap84.17B
Revenue(TTM)24.45B
Net Income(TTM)7.21B
Analysts72.44
Price Target281.86 (35.35%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.56%
Min EPS beat(2)-0.04%
Max EPS beat(2)1.17%
EPS beat(4)2
Avg EPS beat(4)0.4%
Min EPS beat(4)-0.06%
Max EPS beat(4)1.17%
EPS beat(8)6
Avg EPS beat(8)0.46%
EPS beat(12)10
Avg EPS beat(12)0.6%
EPS beat(16)12
Avg EPS beat(16)0.52%
Revenue beat(2)0
Avg Revenue beat(2)-0.32%
Min Revenue beat(2)-0.59%
Max Revenue beat(2)-0.05%
Revenue beat(4)0
Avg Revenue beat(4)-0.45%
Min Revenue beat(4)-0.6%
Max Revenue beat(4)-0.05%
Revenue beat(8)0
Avg Revenue beat(8)-0.81%
Revenue beat(12)0
Avg Revenue beat(12)-0.99%
Revenue beat(16)0
Avg Revenue beat(16)-1.13%
PT rev (1m)-21.47%
PT rev (3m)-25.12%
EPS NQ rev (1m)0.07%
EPS NQ rev (3m)2.77%
EPS NY rev (1m)0.24%
EPS NY rev (3m)0.26%
Revenue NQ rev (1m)0.03%
Revenue NQ rev (3m)0.53%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)0.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.11 | ||
| Fwd PE | 9.05 | ||
| P/S | 4.03 | ||
| P/FCF | 9.55 | ||
| P/OCF | 9.37 | ||
| P/B | 8.62 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.99 |
EPS(TTM)18.74
EY9%
EPS(NY)23.01
Fwd EY11.05%
FCF(TTM)21.81
FCFY10.47%
OCF(TTM)22.21
OCFY10.67%
SpS51.7
BVpS24.17
TBVpS-4
PEG (NY)0.76
PEG (5Y)0.7
Graham Number100.955 (-51.52%)
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 24.27% | ||
| ROE | 63.05% | ||
| ROCE | 48.93% | ||
| ROIC | 39.6% | ||
| ROICexc | 63.48% | ||
| ROICexgc | N/A | ||
| OM | 36.65% | ||
| PM (TTM) | 29.48% | ||
| GM | 89.4% | ||
| FCFM | 42.19% |
ROA(3y)20.26%
ROA(5y)19.2%
ROE(3y)44.54%
ROE(5y)40.01%
ROIC(3y)31.1%
ROIC(5y)28.47%
ROICexc(3y)49.26%
ROICexc(5y)43.65%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)38.43%
ROCE(5y)35.18%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y13.31%
ROICexc growth 5Y14.65%
OM growth 3Y1.88%
OM growth 5Y1.28%
PM growth 3Y3.55%
PM growth 5Y-6%
GM growth 3Y0.59%
GM growth 5Y0.6%
F-Score8
Asset Turnover0.82
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 0.6 | ||
| Debt/EBITDA | 0.55 | ||
| Cap/Depr | 24.52% | ||
| Cap/Sales | 0.78% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 107.92% | ||
| Profit Quality | 143.13% | ||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.91 | ||
| Altman-Z | 7.24 |
F-Score8
WACC10.83%
ROIC/WACC3.66
Cap/Depr(3y)28.17%
Cap/Depr(5y)36.06%
Cap/Sales(3y)1.15%
Cap/Sales(5y)1.63%
Profit Quality(3y)135.89%
Profit Quality(5y)141.18%
High Growth Momentum
Growth
EPS 1Y (TTM)15.3%
EPS 3Y15.15%
EPS 5Y15.87%
EPS Q2Q%19.29%
EPS Next Y14.67%
EPS Next 2Y13.37%
EPS Next 3Y12.96%
EPS Next 5Y9.65%
Revenue 1Y (TTM)10.96%
Revenue growth 3Y10.52%
Revenue growth 5Y13.06%
Sales Q2Q%11.97%
Revenue Next Year9.92%
Revenue Next 2Y9.34%
Revenue Next 3Y9.01%
Revenue Next 5Y9.93%
EBIT growth 1Y12.05%
EBIT growth 3Y12.6%
EBIT growth 5Y14.5%
EBIT Next Year13.91%
EBIT Next 3Y8.56%
EBIT Next 5Y9.31%
FCF growth 1Y59.04%
FCF growth 3Y10.03%
FCF growth 5Y13.17%
OCF growth 1Y54.9%
OCF growth 3Y8.57%
OCF growth 5Y11.86%
ADOBE INC / 1ADBE.MI Fundamental Analysis FAQ
What is the ChartMill fundamental rating of ADOBE INC (1ADBE.MI) stock?
ChartMill assigns a fundamental rating of 7 / 10 to 1ADBE.MI.
What is the valuation status of ADOBE INC (1ADBE.MI) stock?
ChartMill assigns a valuation rating of 9 / 10 to ADOBE INC (1ADBE.MI). This can be considered as Undervalued.
Can you provide the profitability details for ADOBE INC?
ADOBE INC (1ADBE.MI) has a profitability rating of 9 / 10.
How financially healthy is ADOBE INC?
The financial health rating of ADOBE INC (1ADBE.MI) is 7 / 10.
What is the earnings growth outlook for ADOBE INC?
The Earnings per Share (EPS) of ADOBE INC (1ADBE.MI) is expected to grow by 14.67% in the next year.