Investing.com -- Adobe on Thursday beat quarterly top- and bottom-line estimates and raised annual targets for profit and revenue. Meanwhile, annualized recurring revenue tied to its artificial intelligence offerings tripled from a year ago.

However, shares of the company fell 5.6% in extended trading after the firm announced the departure of its chief financial officer. This marked a second straight quarter with a top-level executive change, after Adobe in March said top boss Shantanu Narayen would step down.

ADBE reported adjusted earnings of $5.96 per share on revenue of $6.62 billion for its fiscal Q2 2026. Analysts had expected a profit of $5.82 per share on revenue of $6.46 billion.

The company also provided guidance for Q3. It sees adjusted earnings of $6.05 per share to $6.10 per share on revenue of $6.67 billion to $6.72 billion. Consensus estimates call for a profit of $5.77 per share on revenue of $6.51 billion.

Additionally, Adobe raised its fiscal full-year targets for revenue and adjusted earnings per share. It now anticipates earning $24.35 per share to $24.45 per share on revenue of $26.50 billion to $26.60 billion, versus expectations of a profit of $23.56 per share on revenue of $26.09 billion.

This is a developing story, please check back for updates

Is ADBE a bargain right now?

The fastest way to find out is with our Fair Value calculator. We use a mix of 17 proven industry valuation models for maximum accuracy.
Get the bottom line for ADBE plus thousands of other stocks and find your next hidden gem with massive upside.