Adobe Valuation
| ADB Stock | EUR 414.75 2.25 0.55% |
At this time, the firm appears to be overvalued. Adobe Inc shows a prevailing Real Value of €354.21 per share. The current price of the firm is €414.75. Our model approximates the value of Adobe Inc from analyzing the firm fundamentals such as Price To Sales of 9.39 X, current valuation of 148.87 B, and EBITDA of 6.98 B as well as examining its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that Adobe's price fluctuation is very steady at this time. Calculation of the real value of Adobe Inc is based on 3 months time horizon. Increasing Adobe's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Adobe stock is determined by what a typical buyer is willing to pay for full or partial control of Adobe Inc. Since Adobe is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Adobe Stock. However, Adobe's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 414.75 | Real 354.21 | Hype 414.75 | Naive 432.03 |
The intrinsic value of Adobe's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Adobe's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Adobe Inc helps investors to forecast how Adobe stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Adobe more accurately as focusing exclusively on Adobe's fundamentals will not take into account other important factors: Adobe Total Value Analysis
Adobe Inc is presently forecasted to have takeover price of 148.87 B with market capitalization of 238.57 B, debt of 3.63 B, and cash on hands of . Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Adobe fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
148.87 B | 238.57 B | 3.63 B |
Adobe Asset Utilization
The concept of asset utilization usually refers to the revenue earned for every dollar of assets a company currently reports. The recent return on assets of Adobe suggests not a very effective usage of assets in January.Adobe Profitability Analysis
The company reported the revenue of 17.61 B. Net Income was 4.76 B with profit before overhead, payroll, taxes, and interest of 0.About Adobe Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Adobe Inc. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Adobe Inc based exclusively on its fundamental and basic technical indicators. By analyzing Adobe's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Adobe's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Adobe. We calculate exposure to Adobe's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Adobe's related companies.8 Steps to conduct Adobe's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Adobe's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Adobe's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Adobe's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Adobe's revenue streams: Identify Adobe's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Adobe's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Adobe's growth potential: Evaluate Adobe's management, business model, and growth potential.
- Determine Adobe's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Adobe's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Other Information on Investing in Adobe Stock
Adobe financial ratios help investors to determine whether Adobe Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Adobe with respect to the benefits of owning Adobe security.