Adobe (ADBE) Posts Positive Creative Cloud Subscriber Surprise in Q2 - Jefferies

Jefferies reiterated a Hold rating but bumped its price target on Adobe (NASDAQ: ADBE) from $43 to $45 following Q2 results after the close which included a positive creative cloud subscriber surprise.

Analyst Ross MacMillan said, "Following our mixed survey results from 5/28, ADBE positively surprised on Creative Cloud (CC) subscribers, posting 221K net adds v us at 200K and Street at ~185K for F2Q. The 1.25M CC end-year sub target for FY13 seems more achievable/ beatable and ADBE is ramping more promotions (e.g. $20/ month for CS6 users) to drive conversions. We see the merits of the biz model shift, but are loathe to chase off this print. Hold, PT to $45."

The firm maintained its FY 2013 EPS estimate of $1.45, but trimmed FY 2014 EPS estimate from $1.81 to $1.60.

For an analyst ratings summary and ratings history on Adobe click here. For more ratings news on Adobe click here.

Shares of Adobe closed at $43.36 yesterday.

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