Here's What to Expect From Adobe's Next Earnings Report

With a market cap of $99.2 billion, Adobe Inc. (ADBE) is a global technology company that provides digital media, digital experience, and publishing solutions for individuals, businesses, and enterprises to create, manage, and optimize content and customer experiences. It delivers its products through various channels, including app stores, its website, and a wide partner ecosystem.

The San Jose, California-based is slated to announce its fiscal Q2 2026 results soon. Ahead of this event, analysts forecast ADBE to post an EPS of $4.74, a 15.6% growth from $4.10 in the year-ago quarter. It has exceeded Wall Street's earnings expectations in three of the past four quarters while missing on another occasion.

For fiscal 2026, analysts predict the creative software giant to report EPS of $19.14, a rise of 11.3% from $17.20 in fiscal 2025. Moreover, EPS is projected to increase 14.2% year-over-year to $21.85 in fiscal 2027.

Shares of Adobe have decreased nearly 32% over the past 52 weeks, lagging behind the broader S&P 500 Index's ($SPX) 30.6% gain and the State Street Technology Select Sector SPDR ETF's (XLK) nearly 56% return over the same period.

Shares of Adobe tumbled 7.6% following its Q1 2026 report on Mar. 12, mainly due to the surprise announcement that the CEO will step down once a successor is named, creating leadership uncertainty during a critical AI transition phase. Investor concerns were amplified by ongoing skepticism about Adobe’s ability to monetize its AI investments, especially as new AI-driven competitors threaten its traditional subscription model. 

Despite this, Adobe reported better-than-expected Q1 revenue of $6.40 billion, adjusted EPS of $6.06, and Creative subscription revenue of $4.39 billion, along with Q2 guidance of $6.43 billion - $6.48 billion, roughly in line with forecasts.

Analysts' consensus view on ADBE stock remains cautiously optimistic, with a "Moderate Buy" rating overall. Out of 38 analysts covering the stock, 14 recommend a "Strong Buy," two "Moderate Buys," 18 "Holds," and four "Strong Sells." The average analyst price target for Adobe is $323.83, suggesting a potential upside of 31.9% from current levels.