Shares of Adobe Inc. (symbol ‘ADBE’) have performed exceptionally well over the last 3 months, reaching a 20-month high. The company’s earnings report for the fiscal quarter ending August 2023 is due for release on Thursday 14 August, after market close. The consensus EPS is $3.17, well up from $2.63 in same quarter last year.
The company has consistently had around a 3% revenue rise quarter-over-quarter for the last 3 consecutive quarters, and if it this pattern continues, we might see the share price reflect this positive performance. The total assets as of 31 May were $27.8 billion, up 5.74% year-on-year) while total liabilities were $13 billion, up 5.34% year-on-year. That shows a ratio of assets to liabilities of more than 2:1, indicating a financially sound company and therefore an attractive addition to investor portfolios.
From the technical analysis perspective the price has been aggressively bullish, to a 20-month high. It’s currently testing the resistance of the Bollinger bands as well as the inside reaction area of mid-October 2021’s price, while the faster moving 50-day average is trading well above the slower 100-day, further validating the market’s bullish trend.
The price broke above the 61.8% weekly Fibonacci retracement level, which is now a strong technical support for the price.