Deutsche Bank Maintains Buy, $35 Target on Adobe Systems

Deutsche Bank reiterates its Buy rating and $35 target price on Adobe Systems (NASDAQ: ADBE) as the company posts a strong finish to the year and setts up for CS6.

Deutsche Bank comments, "Adobe reported revenue of $1.152b that beat our/Street estimates of $1.1b/$1.087b. EPS of $0.67 also exceeded us/Street at $0.61/$0.60. Guidance for revenue growth for the year was reiterated at 4%-6%, as R&D tax credit expiration increased tax rates by 1ppt. Performance in the quarter was driven by all business segments and geographies, with Day, Omniture and Europe being the highlights. We are encouraged by subscription uptake and believe that possible revenue cannibalization is already baked into numbers."

ADBE closed at $26.46 per share on Thursday.