Adobe Stock Is Falling Thursday: What's Going On? - Adobe (NASDAQ:ADBE)

Adobe Inc ADBE shares are trading lower Thursday after the company reported quarterly results and issued soft guidance. Here’s a rundown of the report

  • Q4 Revenue: $5.05 billion beat estimates of $5.03 billion
  • Q4 EPS: $4.27 beat estimates of $4.14

Total revenues were up 12% on a year-over-year basis. Remaining performance obligations were $17.22 billion at the end of the quarter. Cash flows from operations totaled $1.6 billion in the fourth quarter. 

“Adobe drove record revenue of $19.41 billion in FY23 and 17 percent year-over-year EPS growth, with strong momentum across Creative Cloud, Document Cloud and Experience Cloud,” said Shantanu Narayen, chair and CEO of Adobe.

“Adobe’s strategy, category leadership, ground-breaking innovation, exceptional talent and global customer base position us well for 2024 and beyond.”

Outlook: Adobe sees fiscal first-quarter revenue of $5.1 billion to $5.15 billion versus estimates of $5.19 billion. The company anticipates first-quarter adjusted earnings of $4.35 to $4.40 per share versus estimates of $4.26 per share. 

Adobe expects full-year 2024 revenue to be between $21.3 billion and $21.5 billion versus estimates of $21.73 billion. The company expects full-year adjusted earnings to be between $17.60 and $18 per share versus estimates of $18 per share. 

Adobe shares may also be facing selling pressure after the company announced in a new regulatory filing that it has been cooperating with the FTC since June 2022 in response to a civil investigative demand seeking information regarding disclosure and subscription cancellation practices relative to the Restore Online Shoppers’ Confidence Act. 

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ADBE Price Action: Adobe shares were down 3.62% at $601.65 at the time of publication, according to Benzinga Pro.

Photo: Joshua Woroniecki from Pixabay.



Image and article originally from www.benzinga.com. Read the original article here.