Adobe Inc.

SWX:ADBE Stock Report

Market Cap: CHF 118.5b

Adobe Valuation

Is ADBE undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of ADBE when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ADBE (CHF318.66) is trading below our estimate of fair value (CHF533.88)

Significantly Below Fair Value: ADBE is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ADBE?

Key metric: As ADBE is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for ADBE. This is calculated by dividing ADBE's market cap by their current earnings.
What is ADBE's PE Ratio?
PE Ratio20.9x
EarningsUS$7.13b
Market CapUS$148.96b

Price to Earnings Ratio vs Peers

How does ADBE's PE Ratio compare to its peers?

The above table shows the PE ratio for ADBE vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average41.7x
TEMN Temenos
21.6x-10.43%CHF 5.4b
INTU Intuit
45.4x14.29%US$186.8b
CRM Salesforce
33.7x12.60%US$243.5b
SNPS Synopsys
66.2x15.79%US$87.4b
ADBE Adobe
20.9x7.09%CHF 149.0b

Price-To-Earnings vs Peers: ADBE is good value based on its Price-To-Earnings Ratio (20.9x) compared to the peer average (45.4x).

Price to Earnings Ratio vs Industry

How does ADBE's PE Ratio compare vs other companies in the European Software Industry?

10 CompaniesPrice / EarningsEstimated GrowthMarket Cap
ADBE 20.9xIndustry Avg. 26.3xNo. of Companies16PE020406080100+
10 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: ADBE is good value based on its Price-To-Earnings Ratio (20.9x) compared to the European Software industry average (26.3x).

Price to Earnings Ratio vs Fair Ratio

What is ADBE's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ADBE PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio20.9x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate ADBE's Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst ADBE forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Currentn/a
CHF 342.25
0%
18.45%CHF 480.45CHF 214.42n/a36
Dec ’26n/a
CHF 362.20
0%
18.46%CHF 486.93CHF 217.31n/a34
Nov ’26n/a
CHF 364.31
0%
17.85%CHF 486.81CHF 225.30n/a35
Oct ’26n/a
CHF 363.37
0%
17.72%CHF 484.03CHF 224.01n/a35
Sep ’26n/a
CHF 382.12
0%
16.75%CHF 484.23CHF 224.11n/a34
Aug ’26n/a
CHF 390.37
0%
15.39%CHF 491.42CHF 227.43n/a35
Jul ’26n/a
CHF 394.64
0%
11.46%CHF 483.88CHF 303.92n/a35
Jun ’26n/a
CHF 401.70
0%
14.05%CHF 518.56CHF 312.78n/a34
May ’26n/a
CHF 401.52
0%
14.00%CHF 516.99CHF 311.84n/a34
Apr ’26n/a
CHF 461.28
0%
13.20%CHF 566.09CHF 360.00n/a35
Mar ’26n/a
CHF 507.34
0%
12.20%CHF 592.14CHF 376.82n/a36
Feb ’26n/a
CHF 524.61
0%
11.13%CHF 603.90CHF 388.88n/a35
Jan ’26n/a
CHF 527.73
0%
10.29%CHF 630.40CHF 382.74n/a35
Dec ’25n/a
CHF 543.34
0%
10.67%CHF 624.38CHF 389.93n/a34
Nov ’25n/a
CHF 522.77
0%
10.58%CHF 601.81CHF 375.83n/a35
Oct ’25n/a
CHF 520.12
0%
10.52%CHF 596.61CHF 381.06n/a35
Sep ’25n/a
CHF 537.75
0%
10.49%CHF 622.66CHF 400.28n/a35
Aug ’25n/a
CHF 537.75
0%
10.49%CHF 622.66CHF 400.28n/a35
Jul ’25CHF 428.10
CHF 540.36
+26.22%
10.97%CHF 623.85CHF 401.04n/a33
Jun ’25CHF 428.10
CHF 562.39
+31.37%
11.57%CHF 651.79CHF 407.38n/a34
May ’25CHF 428.10
CHF 554.42
+29.51%
11.52%CHF 639.39CHF 399.62n/a34
Apr ’25CHF 428.10
CHF 554.42
+29.51%
11.52%CHF 639.39CHF 399.62n/a34
Mar ’25CHF 428.10
CHF 568.29
+32.75%
9.49%CHF 663.93CHF 408.98n/a33
Feb ’25CHF 428.10
CHF 556.10
+29.90%
9.52%CHF 650.46CHF 400.68n/a33
Jan ’25CHF 428.10
CHF 543.95
+27.06%
9.19%CHF 627.26CHF 396.84n/a33
Dec ’24CHF 428.10
CHF 534.54
+24.86%
10.95%CHF 621.94CHF 380.27n/a33
CHF 385.91
Fair Value
17.4% undervalued intrinsic discount
36
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/12/20 22:09
End of Day Share Price 2025/12/02 00:00
Earnings2025/11/28
Annual Earnings2025/11/28

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Adobe Inc. is covered by 56 analysts. 35 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Joseph BonnerArgus Research Company
Robert OliverBaird
Saket KaliaBarclays