Barclays Downgrades Adobe Inc. (ADBE) Stock to Equal Weight

Adobe Inc. (NASDAQ:ADBE) is one of the Most Undervalued Stocks to Buy According to Analysts. On March 13, Barclays downgraded the company’s stock to “Equal Weight” from “Overweight” with a price objective of $275, down from the prior target of $335, as reported by The Fly. As per the analyst, the company’s net new annual recurring revenue was below the estimates. The firm believes that the biggest news is that Adobe Inc. (NASDAQ:ADBE)’s long-time CEO is transitioning out.

Barclays Downgrades Adobe Inc. (ADBE) Stock to Equal Weight

As per the firm, faster growth in freemium users for products such as Firefly and Express has been impacting ARPU. That being said, this can act in the company’s favour, considering Adobe Inc. (NASDAQ:ADBE)’s success with Acrobat Reader, which was its original freemium product, added Barclays.

In a separate release, Adobe Inc. (NASDAQ:ADBE) saw 13% subscription revenue growth and a strong Q1 2026 cash flow of $2.96 billion. For Q2 2026, the company expects total revenue of between $6.43 billion – $6.48 billion and EPS (GAAP) of between $4.35 to $4.40.

Adobe Inc. (NASDAQ:ADBE) delivers digital marketing, media, and customer experience solutions across its Digital Media, Digital Experience, and Publishing/Advertising segments. The company is based in San Jose, California.

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