Shares of Adobe Systems (Nasdaq: ADBE) are higher in Tuesday
afternoon trade as the company will report its second-quarter 2012
results after the market closes. Adobe will be holding a conference
call at 5:00pm EDT. To listen in on the webcast,
The Street is looking for 7.3 percent year-over-year EPS growth to
59 cents on revs of $1.11 billion. With its previous earnings
report, Adobe guided sales to $1.09 billion to $1.14 billion and
EPS to 57 cents to 61 cents.
Over the last six quarters, Adobe has bested consensus expectations
by an average of 5.3 percent.
Adding to sentiment Tuesday was Oracle's early
, which showed some strong numbers and a boosted stock repurchase
Shares of Adobe moved 5.6 percent lower through the quarter, to
$31.05 at the end of May. The drop compares to the modest 0.4
percent gain realized in the same period last year. Over the last
52 weeks, Adobe shares have traded within a range of $22.67 to
Analyst data from Bloomberg shows 11 analysts at Buy, 14 with a
Hold, and three at Sell. The Street's price target average is $35,
ranging from $24 to $41.
Adobe shares are breaking above the 50- and 100-day SMAs at $32.32
and $32.69, respectively. Volatility is lower, but still 131
percent above its trailing annual average.
- Goldman Sachs is modeling non-GAAP EPS of 59 cents on revs of
$1.11 billion, seeing less of an impact from currency than when
Adobe first issued guidance. The firm noted channel checks which
point to results coming in at the upper-end of guidance, given
CS6 launch data, Efficient Frontier acquisition, and currency
- Wells Fargo is looking for EPS of 59 cents and revs of $1.1
billion. The firm attributed the outlook to "the gradual nature
of transitioning from a product license model to a subscription
model." Keys to the transition are deployment methods which
differ (SaaS versus on-premise), CS licenses which are being
offered for another year, and a digital marketing industry which
is still fragmented.
Stay tuned to StreetInsider.com's
section to see our analysis of the highly-anticipated quarterly
results within seconds of their release. You can also check out
Adobe's past performance at Streetinsider's
Adobe's Income Statement