What Is ADBE Fair Value?
Adobe Inc. (ADBE) fair value estimate using multiple valuation models, updated daily.
As of October 31, 2026, Adobe Inc. (ADBE) has a composite fair value estimate of $397.90 based on four valuation models: DCF (41% weight), Graham Number (29% weight), PEG (29% weight), and DDM (0% weight). The current market price is $250.23, suggesting the stock is undervalued by 59.0%.
Data as of October 31, 2026 (today)
Composite Fair Value
Undervalued3 of 4 models$397.90
vs. current price of $250.23(+59.0%)
How Is ADBE Fair Value Calculated?
Four independent models estimate what ADBE is worth. Each uses different inputs and assumptions. The composite blends them by weight.
ADBE Intrinsic Value
Forward-looking models based on future cash flows
DCF (Discounted Cash Flow)
41% weightEstimates how much cash the company will generate over the next 10 years, then calculates what all that future cash is worth in today's dollars. Includes a 15% safety cushion. Try the standalone DCF calculator →
$525.66
+110.1%Undervalued
Inputs used
DDM (Dividend Discount Model)
0% weightIf a company pays you dividends, this model asks: how much are all those future dividend payments worth today? Only works for stocks that pay dividends. Try the intrinsic value calculator →
N/A
This stock does not pay a dividend, so the DDM cannot be applied. The composite adjusts by redistributing this weight to the other models.
ADBE Fair Value
Current fundamentals: earnings, assets, and growth rate
Graham Number (Value Investing)
29% weightCreated by legendary investor Benjamin Graham. It looks at two things: how much the company earns (EPS) and what its assets are worth (Book Value), then calculates the maximum price a careful investor should pay. Try the fair value calculator →
$128.72
-48.6%Overvalued
Inputs used
PEG (Price/Earnings to Growth)
29% weightChecks if you're paying a fair price for the company's growth. A fast-growing company deserves a higher price than a slow one. This model finds the right price based on how fast earnings are growing.
$358.33
+43.2%Undervalued
Inputs used
What If You Change the Assumptions?
Drag the sliders to test different scenarios. Tap the ? buttons to learn what each input means.
Your DCF Fair Value
Current price $250.23 is 110.1% below this estimate
View 10-year cash flow projections
| Year | Projected FCF (Free Cash Flow) | Present Value |
|---|---|---|
| Year 1 | $10.71B | $9.59B |
| Year 2 | $12.28B | $9.84B |
| Year 3 | $14.08B | $10.09B |
| Year 4 | $16.14B | $10.35B |
| Year 5 | $18.50B | $10.62B |
| Year 6 | $21.21B | $10.90B |
| Year 7 | $24.32B | $11.18B |
| Year 8 | $27.88B | $11.47B |
| Year 9 | $31.96B | $11.77B |
| Year 10 | $36.64B | $12.07B |
| Terminal Value | $406.46B | $133.95B |
What Are ADBE's Key Financial Metrics?
Earnings & Growth
Current Price
$250.23
EPS (TTM)
$17.91
Forward P/E
9.1
Profit Margin
28.0%
Cash & Balance Sheet
Free Cash Flow
9.3B
EBITDA
9.9B
Book Value
$30.09
Total Debt
6.8B
What Do Analysts Say About ADBE?
Low
$195.00
Average
$272.31
High
$373.00
Upside
+8.8%
ADBE Fair Value FAQ
What is the fair value of ADBE?
Based on our composite model (DCF 35%, Graham 25%, PEG 25%, DDM 15%), ADBE's estimated fair value is $397.90. The stock is currently trading at $250.23, which makes it undervalued by our analysis.
How is ADBE's fair value calculated?
We use four valuation methods: Discounted Cash Flow (DCF), Graham Number, PEG-based Fair Value, and Dividend Discount Model (for dividend-paying stocks). The composite score weights DCF at 35%, Graham and PEG at 25% each, and DDM at 15%. When a model can't be applied, its weight is redistributed proportionally.
Is ADBE overvalued or undervalued?
Based on our analysis, ADBE is undervalued. The current price of $250.23 is 59.0% below our estimated fair value of $397.90.
What do Wall Street analysts say about ADBE?
32 analysts cover Adobe Inc. with a consensus rating of "Hold." The average price target is $272.31, ranging from $195.00 to $373.00. This implies 8.8% upside from the current price.