30 years of historical data (1995–2024) · Technology · Software - Infrastructure
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
Adobe Inc. trades at 21.2x earnings, 54% below its 5-year average of 46.6x, sitting at the 20th percentile of its historical range. Compared to the Technology sector median P/E of 25.2x, the stock trades at a discount of 16%. On a free-cash-flow basis, the stock trades at 14.8x P/FCF, 59% below the 5-year average of 35.7x.
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 | FY 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $115.7B | $232.2B | $281.1B | $160.9B | $296.6B | $231.4B | $152.2B | $124.9B | $90.0B | $50.3B | $46.7B |
| Enterprise Value | $114.2B | $230.6B | $278.1B | $161.3B | $297.4B | $231.6B | $153.6B | $127.4B | $89.5B | $51.2B | $47.8B |
| P/E Ratio → | 21.23 | 41.74 | 51.77 | 33.81 | 61.53 | 44.05 | 51.59 | 48.25 | 53.11 | 42.99 | 74.33 |
| P/S Ratio | 5.38 | 10.80 | 14.48 | 9.14 | 18.79 | 17.98 | 13.62 | 13.83 | 12.32 | 8.59 | 9.75 |
| P/B Ratio | 8.37 | 16.46 | 17.02 | 11.45 | 20.04 | 17.44 | 14.45 | 13.34 | 10.63 | 6.77 | 6.68 |
| P/FCF | 14.79 | 29.67 | 40.50 | 21.75 | 43.02 | 43.59 | 37.23 | 33.20 | 32.90 | 25.20 | 36.39 |
| P/OCF | 14.36 | 28.82 | 38.50 | 20.52 | 41.06 | 40.40 | 34.41 | 31.00 | 30.88 | 22.86 | 31.81 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
Adobe Inc.'s enterprise value stands at 15.0x EBITDA, 59% below its 5-year average of 36.2x. This is roughly in line with the Technology sector median of 15.7x.
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 | FY 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 10.72 | 14.33 | 9.16 | 18.84 | 18.00 | 13.75 | 14.11 | 12.26 | 8.74 | 9.96 |
| EV / EBITDA | 15.03 | 30.35 | 36.97 | 22.92 | 44.63 | 46.37 | 38.37 | 39.97 | 35.90 | 28.04 | 38.45 |
| EV / EBIT | 16.94 | 32.48 | 40.23 | 26.44 | 51.15 | 53.96 | 45.72 | 44.18 | 41.30 | 34.26 | 50.94 |
| EV / FCF | — | 29.47 | 40.06 | 21.80 | 43.14 | 43.63 | 37.59 | 33.85 | 32.74 | 25.64 | 37.19 |
Margins and return-on-capital ratios measuring operating efficiency
Adobe Inc. earns an operating margin of 31.3%. Operating margins have compressed from 34.6% to 31.3% over the past 3 years, signaling potential cost pressures or competitive headwinds. Return on equity of 36.3% is exceptionally high. ROIC of 38.9% represents excellent returns on invested capital.
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 | FY 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 89.0% | 89.0% | 87.9% | 87.7% | 88.2% | 86.6% | 85.0% | 86.8% | 86.2% | 86.0% | 84.5% |
| Operating Margin | 31.3% | 31.3% | 34.3% | 34.6% | 36.8% | 32.9% | 29.3% | 31.5% | 29.7% | 25.5% | 18.8% |
| Net Profit Margin | 25.9% | 25.9% | 28.0% | 27.0% | 30.5% | 40.9% | 26.4% | 28.7% | 23.2% | 20.0% | 13.1% |
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 | FY 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 36.3% | 36.3% | 35.5% | 33.0% | 34.4% | 44.2% | 29.7% | 29.1% | 21.3% | 16.2% | 9.1% |
| ROA | 18.5% | 18.5% | 19.1% | 17.5% | 18.7% | 23.4% | 14.9% | 15.6% | 12.4% | 9.6% | 5.6% |
| ROIC | 38.9% | 38.9% | 35.7% | 30.4% | 29.9% | 24.9% | 20.5% | 21.4% | 19.9% | 13.7% | 8.9% |
| ROCE | 32.7% | 32.7% | 32.8% | 31.0% | 29.7% | 27.0% | 24.2% | 22.3% | 20.8% | 15.4% | 10.1% |
Solvency and debt-coverage ratios — lower is generally safer
Adobe Inc. carries a Debt/EBITDA ratio of 0.8x, which is very conservative (73% below the sector average of 3.0x). The company holds a net cash position — cash of $7.6B exceeds total debt of $6.1B, providing substantial financial flexibility for buybacks, acquisitions, or weathering downturns. Interest coverage of 41.1x signals virtually no risk of debt distress — earnings comfortably cover interest obligations.
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 | FY 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.43 | 0.43 | 0.25 | 0.33 | 0.32 | 0.35 | 0.39 | 0.44 | 0.22 | 0.25 | 0.27 |
| Debt / EBITDA | 0.80 | 0.80 | 0.54 | 0.66 | 0.70 | 0.94 | 1.03 | 1.29 | 0.75 | 1.04 | 1.53 |
| Net Debt / Equity | — | -0.11 | -0.19 | 0.03 | 0.06 | 0.02 | 0.14 | 0.27 | -0.05 | 0.12 | 0.15 |
| Net Debt / EBITDA | -0.20 | -0.20 | -0.41 | 0.06 | 0.12 | 0.05 | 0.37 | 0.78 | -0.17 | 0.48 | 0.83 |
| Debt / FCF | — | -0.20 | -0.44 | 0.05 | 0.12 | 0.04 | 0.36 | 0.66 | -0.16 | 0.44 | 0.80 |
| Interest Coverage | 41.10 | 41.10 | 58.85 | 54.45 | 51.35 | 36.53 | 20.82 | 31.91 | 29.14 | 21.20 | 14.07 |
Net cash position: cash ($7.6B) exceeds total debt ($6.1B)
Short-term solvency ratios and asset-utilisation metrics
A current ratio of 1.07x means Adobe Inc. can comfortably meet its short-term obligations, though there is limited excess liquidity.
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 | FY 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.07 | 1.07 | 1.34 | 1.11 | 1.25 | 1.48 | 0.79 | 1.13 | 2.05 | 2.08 | 2.18 |
| Quick Ratio | 1.07 | 1.07 | 1.34 | 1.11 | 1.25 | 1.48 | 0.79 | 1.13 | 2.05 | 2.08 | 2.18 |
| Cash Ratio | 0.75 | 0.75 | 0.95 | 0.75 | 0.84 | 1.09 | 0.51 | 0.75 | 1.65 | 1.69 | 1.80 |
| Asset Turnover | — | 0.71 | 0.65 | 0.65 | 0.58 | 0.53 | 0.54 | 0.48 | 0.50 | 0.46 | 0.41 |
| Inventory Turnover | 17.91 | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | 35.17 | 41.82 | 42.81 | 43.43 | 39.65 | 50.15 | 53.18 | 60.89 | 51.94 | 51.15 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Adobe Inc. returns 8.2% to shareholders annually primarily through share buybacks. The earnings yield of 4.7% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 | FY 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 | FY 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.7% | 2.4% | 1.9% | 3.0% | 1.6% | 2.3% | 1.9% | 2.1% | 1.9% | 2.3% | 1.3% |
| FCF Yield | 6.8% | 3.4% | 2.5% | 4.6% | 2.3% | 2.3% | 2.7% | 3.0% | 3.0% | 4.0% | 2.7% |
| Buyback Yield | 8.2% | 4.1% | 1.6% | 4.1% | 1.3% | 1.3% | 1.8% | 1.6% | 1.2% | 2.1% | 1.3% |
| Total Shareholder Yield | 8.2% | 4.1% | 1.6% | 4.1% | 1.3% | 1.3% | 1.8% | 1.6% | 1.2% | 2.1% | 1.3% |
| Shares Outstanding | — | $450M | $459M | $471M | $481M | $485M | $492M | $498M | $501M | $504M | $507M |
Compare ADBE with 5 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
| ADBEYou | $116B | 21.2 | 15.0 | 14.8 | 89.0% | 31.3% | 36.3% | 38.9% | 0.8 |
| BOX | $3B | 17.3 | 34.3 | 10.3 | 79.1% | 7.3% | 189.4% | 25.8% | 7.1 |
| DBX | $2B | 17.9 | 5.8 | 2.2 | 82.5% | 19.1% | — | 33.7% | 4.8 |
| CCSI | $633M | 6.9 | 6.7 | 6.0 | 79.8% | 43.0% | 613.7% | 22.2% | 3.4 |
| KLTR | $216M | -6.6 | — | 18.5 | 66.6% | -13.5% | -114.5% | -39.2% | — |
| SNCR | $104M | 20.9 | 6.6 | 7.8 | 67.7% | 14.7% | 8.8% | 8.3% | 4.9 |
| Technology Median | — | 25.2 | 15.7 | 17.3 | 49.8% | -0.9% | 1.1% | 2.9% | 3.0 |
Peers based on L4 peer group classification. Compare multiple stocks →
Includes 30+ ratios · 30 years · Updated daily
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Start ComparisonAdobe Inc.'s current P/E ratio is 21.2x. The historical average is 44.9x. This places it at the 20th percentile of its historical range.
Adobe Inc.'s current EV/EBITDA is 15.0x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 26.8x.
Adobe Inc.'s return on equity (ROE) is 36.3%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 24.4%.
Based on historical data, Adobe Inc. is trading at a P/E of 21.2x. This is at the 20th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Adobe Inc. has 89.0% gross margin and 31.3% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Adobe Inc.'s Debt/EBITDA ratio is 0.8x, indicating low leverage. A ratio below 2x is generally considered financially healthy.