Market Overview

Jefferies Initiates Coverage On Adobe Systems

Related ADBE
Analyst: ServiceNow Shares Make The Perfect Children's Gift
Is Adobe (ADBE) a Great Growth Stock?

Jefferies released an industry note Thursday on software and initiated coverage on Adobe Systems Incorporated (NASDAQ: ADBE) with a Buy rating and $83 price target.

Analysts led by John DiFucci commented that they “seek to invest in companies with a compelling combination of growth and operational discipline, and where a company may be under-monetizing or over-investing relative to its potential.

“We look for other structural advantages, and ultimately consider the future FCF potential, and through the lens of switching costs and resulting pricing power. We also pay particular attention to the business model and ability to scale, and create financial leverage.”

For Adobe, the analysts “see value beyond the Creative Cloud transformation that appears to be well understood by investors at this point. Our thesis is rooted in the dominance of Adobe's creative tools and extends to include Adobe's unique advantage in digital marketing, as well as the virtuous relationship between these two businesses.”

Adobe Systems closed at $70.44 Thursday, down 0.54 percent.

Latest Ratings for ADBE

Jun 2017Pivotal ResearchDowngradesHoldSell
May 2017BarclaysInitiates Coverage OnOverweight
Apr 2017GuggenheimInitiates Coverage OnBuy

View More Analyst Ratings for ADBE
View the Latest Analyst Ratings

Posted-In: Jefferies John DiFucciAnalyst Color Price Target Initiation Analyst Ratings


Related Articles (ADBE)

View Comments and Join the Discussion!