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Adobe stock seen as strong buy with record growth and aggressive $25B buyback plan

Analyst Insights
27 May 2026
Seeking Alpha
View Source
Bullish
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Analyst David Desjardins reiterates a 'Strong Buy' rating on Adobe despite a 65% stock price drop, highlighting the company's record financial performance and expected 9.5% revenue growth by 2026. Adobe trades at a low forward earnings multiple of 9.3x based on 2027 EPS estimates, making it attractively valued. The company is aggressively repurchasing shares, with $2.5 billion bought back in Q1 2026 and a new $25 billion buyback authorization announced recently. Desjardins plans to add more shares on market weakness, confident that Adobe's strong cash position will support a recovery.

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