Should I Buy Adobe Stock in 2025?

What is Adobe?

How much is Adobe stock?

The price of Adobe stock is falling this week. As of now, Adobe is trading at $407.69, down $6.64 or 1.60% in the past 24 hours and showing a weekly decrease of 2.26%.

The company holds a market capitalization of $173.76 billion, with an average daily trading volume over the past three months of 3.87 million shares.

Its current price-to-earnings (P/E) ratio stands at 26.95, with no dividend yield, and the stock beta is 1.55, indicating moderate market volatility.

Given these recent moves and Adobe’s strong presence in tech, PH investors should keep an eye on short-term fluctuations while considering the long-term growth outlook in digital solutions.

Our full analysis on Adobe stock

Having reviewed Adobe’s latest financial performance, alongside the stock’s evolution over the past three years, we leveraged a robust, data-driven approach—synthesizing financial metrics, technical indicators, sectoral dynamics, and peer comparisons using proprietary algorithms. The result is an insightful perspective on one of the most influential players in digital media and marketing software. So, why might Adobe stock once again become a strategic entry point into the global technology sector in 2025?

Recent Performance and Market Context

Adobe (NASDAQ: ADBE) currently trades at $407.69 per share (as of May 26, 2025). The past year saw the stock retrace by -15.65%, with a six-month slide of -20.40%. However, these corrections follow an extraordinary multi-year rally and must be interpreted within the context of broader sector rotations and cyclical normalization, particularly after the 2023–2024 tech surge. The stock’s average 3-month daily trading volume stands at 3.87 million shares—an indicator of continued institutional and retail attention.

Several favorable developments have recently buoyed sentiment. In its Q1 FY2025 report, Adobe posted revenue of $5.71 billion, up 10% year-over-year (or 11% in constant currency), surpassing analyst expectations and reaffirming FY2025 targets. The subsequent announcement of price increases for Creative Cloud in May 2025 injects additional revenue optimism, as consensus views guidance as conservative given new pricing and sustained demand. On the sectoral front, the broader software industry continues to demonstrate resilience, with ongoing digitalization trends, secular cloud adoption, and mounting demand for creative and marketing automation tools across a burgeoning Southeast Asian digital economy—trends highly relevant to investors in the Philippines, where digital transformation in enterprise and SMB segments remains on an upward trajectory.

Technical Analysis

From a technical standpoint, Adobe presents a nuanced yet increasingly constructive setup. The Relative Strength Index (RSI-14) sits at 62.12, signaling a neutral bias but approaching the threshold that often triggers breakout momentum. The MACD indicator (12,26,9) reads 10.92, registering a minor sell signal—yet the momentum here is less significant given recent price stabilizations and is offset by other signals.

Moving Averages Overview

Current support rests firmly at $406.54, which has held through several recent retests and provides an appealing technical entry for value-seeking investors. Resistance is established at $417.32—a decisive breakout above this level could validate a new intermediate bullish phase. The composite of short- and medium-term momentum arguably outweighs the residual downward pressure from the protracted 2024–2025 correction, suggesting that the stock may be entering a consolidation-to-recovery cycle.

Fundamental Analysis

Fundamental strength remains Adobe’s defining quality. Q1 FY2025 delivered $5.71 billion in revenue (10% YoY growth), an operating income of $2.16 billion (GAAP), and net income at $1.81 billion (GAAP), with EBITDA for the trailing twelve months standing at a robust $8.66 billion. Earnings per share reached $4.14 (GAAP), or $5.08 on a non-GAAP basis, comfortably above consensus. Operating cash flow was reported at a healthy $2.48 billion, underscoring the company’s cash-generative capability.

Adobe’s forward P/E ratio sits at 26.95—moderate by growth tech standards given the expected 10%+ revenue CAGR and durable profitability. Moreover, the fundamental value proposition is reinforced by:

• Ongoing expansion of subscription-based offerings (Creative Cloud, Document Cloud, Experience Cloud)
• High margins powered by software scalability and a predominantly recurring revenue base
• Sustained competitive moat driven by unrivaled brand equity and user lock-in, yielding industry-leading retention rates
• A robust innovation roadmap, demonstrated by rapid integration of AI-first features and expanding addressable markets

Peer comparisons (relative to application software majors) increasingly support Adobe’s valuation after the recent corrective phase, especially as upside potential to the analyst consensus price target (+20%) puts the risk/reward equation in favorable territory for new entrants.

Volume and Liquidity

Healthy trading volume—averaging 3.87 million shares per day—confirms continued participation from major funds and sophisticated investors, reinforcing liquidity and precluding undue volatility. Adobe’s public float of 424.72 million shares enables efficient price discovery and dynamic valuation adjustments post-earnings or on the back of sectoral news.

This liquidity profile is especially relevant for investors in emerging and fast-moving markets like the Philippines, providing assurance of seamless entry and exit points without notable slippage—crucial for portfolio agility.

Catalysts and Positive Outlook

Looking ahead, several clear catalysts could propel Adobe into a new phase of expansion:

• AI-Powered Innovation: The rollout of AI-driven Creative Cloud and Document Cloud features not only deepens customer engagement but also drives incremental ARR (Annualized Recurring Revenue), already contributing over $125 million in Q1 FY2025.
• Subscription Pricing Power: Recent price increases are expected to amplify revenue momentum, with guidance now seen as potentially conservative.
• Digital Transformation: The global shift—strongly reflected in Southeast Asia—towards digitized content, remote workflows, and automated marketing bolsters Adobe’s addressable opportunity.
• Expanded Segment Reporting: Enhanced revenue transparency by user segment offers better visibility for institutional funds and could support rerating.
• M&A and Partnerships: Adobe’s balance sheet enables opportunistic acquisitions or strategic partnerships, further reinforcing its ecosystem.
• ESG Commitment: Growing attention on ESG (Environmental, Social, Governance) practices attracts institutional capital, particularly with Adobe’s leadership in responsible AI and data privacy.

Sector sentiment has notably stabilized, with major brokers (e.g., Morgan Stanley) projecting as much as 21% upside from current levels, reinforcing the optimism underlying the stock’s medium-term outlook.

Investment Strategies

For both active traders and long-term investors in the PH and broader ASEAN region, Adobe presents a range of compelling entry scenarios:

• Short-Term: Current consolidation just above strong support ($406.54) combined with bullish short-term SMAs positions the stock for a potential technical rebound, especially if resistance ($417.32) is challenged.
• Medium-Term: Anticipation of further AI-driven features and the impact of recent price increases could drive multiple expansion ahead of upcoming quarterly results.
• Long-Term: Most compelling is Adobe’s durable business model—recurring revenues, global leadership, and a robust innovation pipeline make it a cornerstone for any growth-orientated portfolio aiming to capitalize on continued digital disruption.

Investors could initiate partial positions at recent lows, scaling further allocation on confirmation of breakout above resistance or in anticipation of key earnings releases and product launches.

Is It the Right Time to Buy Adobe?

Adobe currently displays an enviable array of strengths: best-in-class profitability, consistent revenue acceleration, sticky and expanding customer base, a dominant global brand, and high free cash flow—all at a valuation which, after the recent pullback, seems to represent an excellent opportunity to gain exposure to a world-class innovator at a discount to its historic highs.

With major upward catalysts on the horizon—AI innovation, pricing power, and secular digital growth—the technical and fundamental backdrop justifies renewed interest. Momentum indicators, robust participation from institutional investors, and favorable analyst targets all suggest Adobe may be entering a new bullish phase.

For investors in the Philippines seeking diversified USD-denominated technology exposure, Adobe stands out as a structurally sound, resilient, and dynamic asset. The current technical consolidation—paired with sound business fundamentals and upcoming growth drivers—should be viewed as an ideal intersection of risk and opportunity.

Adobe’s positioning in the digital transformation arena, combined with ongoing innovation and proven operational excellence, makes the present an attractive window to consider adding this technology leader to a strategic portfolio. The coming quarters are poised to be pivotal, and the upside potential appears particularly compelling for those prepared to capitalize on sector-leading performance.

How to buy Adobe stock in PH?

Buying Adobe stock (ADBE) online from the Philippines is both simple and secure when done through a regulated broker. You have two main methods to access Adobe shares: making a spot (cash) purchase where you become a direct shareholder, or trading Contracts for Difference (CFDs), which let you trade on price movements with added flexibility. Both approaches can be initiated entirely online, often in just minutes after account verification. Each route has its own advantages—read on below to discover how they work, then compare PH-friendly brokers further down the page.

Spot buying (Cash purchase)

A cash purchase means you buy actual shares of Adobe and become a partial owner of the company. To do this as a Filipino resident, simply open an international investment account with a regulated broker, deposit funds (usually in USD), then place a buy order for Adobe (ADBE: NASDAQ). Typical brokerage fees for spot buying range from $2–$7 per transaction, often quoted in USD since most PH brokers offer access to US markets.

Example: Spot buying Adobe

If Adobe shares are trading at $407.69 and your investment amount is $1,000, you could buy approximately 2 shares (2 × $407.69 = $815.38), with $184.62 uninvested, minus a standard brokerage fee of $5.

• Gain scenario: If the share price rises by 10% to around $448.46, the value of your 2 shares equals $896.92.
• Result: Gross gain of $81.54, or +10% on your invested amount (excluding fees and uninvested cash).

Trading via CFD

CFD trading allows you to speculate on Adobe’s price movement without owning the underlying shares. With CFDs, you trade on margin—using leverage to amplify gains or losses. Fees here are typically the spread (the difference between buy and sell price), plus overnight financing charges for positions held longer than a day.

Example with leverage: Trading Adobe via CFD

Suppose you open a CFD position on Adobe shares using $1,000 and 5× leverage. Your effective market exposure is $5,000.

• Gain scenario: If Adobe’s share price rises by 8%, your position appreciates by 8% × 5 = 40%.
• Result: That’s a $400 gain on your initial $1,000 (excluding spreads and overnight fees).

Final advice

Before investing in Adobe stock, it’s essential to compare the fees, features, and risk controls offered by different brokers accessible from the Philippines. Both spot buying and CFDs offer unique benefits—direct ownership versus high flexibility and potential leverage. The best method for you will depend on your investment goals, risk tolerance, and market outlook. For a full comparison of leading brokers fit for PH investors, check out the detailed comparator further down the page. Happy investing!

Our 7 tips for buying Adobe stock

The latest news about Adobe

Adobe’s Q1 FY2025 results exceeded analyst expectations, reaffirming strong annual revenue growth guidance. In the most recent quarter, Adobe reported $5.71 billion in revenue, marking a 10% year-over-year increase, and beat consensus analyst forecasts, leading management to reaffirm their full-year 2025 guidance. This robust performance underscores increased demand for digital tools in creative and marketing industries, which is especially relevant for Philippine enterprises and content creators who widely use Adobe products for professional and educational purposes. The company’s enhanced disclosure of subscription revenue segments now provides deeper visibility on business performance that could help local institutional investors better assess risk and opportunity in the stock.

Price increases for Creative Cloud apps, effective May 2025, position future guidance as conservative and support longer-term growth. Adobe recently raised prices on its popular Creative Cloud applications, a move that analysts interpret as providing conservatism in current fiscal guidance. For Philippine subscribers—including design agencies, marketers, and universities—this demonstrates Adobe’s pricing power and product necessity, reinforcing the brand’s strategic strength in the local digital economy. For investors, this suggests a likely buffer for revenue and margin stability, which is important amid a backdrop of volatile global tech valuations.

AI-driven innovation remains a key growth catalyst, with new AI-first features reaching over $125 million in annualized recurring revenue in Q1. Adobe’s intensified focus on artificial intelligence has already generated more than $125 million in ARR from new AI standalone tools and add-ons by the end of Q1 2025. This innovation not only strengthens Adobe’s global leadership but also benefits Filipino professionals and businesses who increasingly rely on advanced AI-powered content creation and marketing workflows. It signals strong growth prospects and enhanced customer value, factors likely to bolster long-term investor confidence.

Short-term technical indicators for Adobe stock show mixed signals, but positive momentum is visible in the short run. There is evidence of a short-term bullish trend, as reflected by the 20-day and 50-day moving averages signaling a buy; however, the 200-day moving average and MACD indicate continued longer-term pressure on the stock. For analysts in the Philippines, this suggests the potential for near-term price consolidation or upside, especially with price targets from major brokers currently hovering around 20% above current levels, although volatility may persist amid sector rotation in technology.

Morgan Stanley and other leading analysts maintain a neutral to positive outlook, projecting a notable rally potential in the stock. Major US investment banks, including Morgan Stanley, have recently issued projections of up to 21% upside for Adobe shares from current prices. This constructive sentiment is buoyed by Adobe’s recent outperformance and innovation initiatives, which are likely to positively influence market perception among Philippine investors and global fund managers with significant exposure to US technology stocks. This favorable outlook supports the stock’s appeal in Philippine portfolios focused on digital enablement and international technology sector growth.

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P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.