Adobe Systems (ADBE) closed at $456.99 in the latest trading session, marking a -1.53% move from the prior day. The stock's change was less than the S&P 500's daily gain of 0.24%. Meanwhile, the Dow gained 0.16%, and the Nasdaq, a tech-heavy index, added 0.08%.

The software maker's shares have seen an increase of 6.36% over the last month, surpassing the Computer and Technology sector's gain of 1.76% and the S&P 500's gain of 2.37%.

The investment community will be paying close attention to the earnings performance of Adobe Systems in its upcoming release. The company is slated to reveal its earnings on March 12, 2025. The company's earnings per share (EPS) are projected to be $4.97, reflecting a 10.94% increase from the same quarter last year. In the meantime, our current consensus estimate forecasts the revenue to be $5.65 billion, indicating a 9.11% growth compared to the corresponding quarter of the prior year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $20.39 per share and a revenue of $23.45 billion, representing changes of +10.69% and +9.04%, respectively, from the prior year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Adobe Systems. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Adobe Systems presently features a Zacks Rank of #3 (Hold).

Looking at valuation, Adobe Systems is presently trading at a Forward P/E ratio of 22.76. This expresses a discount compared to the average Forward P/E of 29.78 of its industry.

One should further note that ADBE currently holds a PEG ratio of 1.83. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. By the end of yesterday's trading, the Computer - Software industry had an average PEG ratio of 2.2.

The Computer - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 138, which puts it in the bottom 46% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.

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