Adobe price target lowered to $605 from $640 at BofA

BofA lowered the firm’s price target on Adobe (ADBE) to $605 from $640 and keeps a Buy rating on the shares. The Q4 results and outlook were “mixed,” though the firm sees “some encouraging leading indicators” for reacceleration as heading into next year, the analyst tells investors. Q4 “wraps up a year of delayed gratification for AI,” adds the analyst, whose new target is is based on a lower multiple applied to the firm’s calendar year 2026 free cash flow estimate to reflect the lowered FY25 outlook.