- TSI Network - http://www.tsinetwork.ca -

This tech stock’s earnings jumped in the latest quarter

Posted By Jeff Walker On June 30, 2011 @ 2:00 pm In Tech Stocks | No Comments

Adobe Systems Inc., Nasdaq symbol ADBE, makes software that lets computer users create, edit and share documents in the popular PDF format. As well, graphic designers use the tech stock’s software to create print publications and web pages. The company also makes Adobe Flash, which lets web site developers make web pages more interactive by adding animation and video.

The company reports that its earnings jumped 54.4% in its 2011 second quarter, which ended June 3, 3011, to $229.4 million from $148.6 million a year earlier.

The tech stock’s earnings per share rose 60.7%, to $0.45 from $0.28, on fewer shares outstanding. If you exclude one-time items, such as restructuring charges and investment losses, the tech stock’s earnings per share would have risen 25.0%, to $0.55 from $0.44. On this basis, the latest earnings beat the consensus estimate of $0.51 a share.

The tech stock’s revenue rose 8.5%, to $1.0 billion from $943.0 million. The company recently upgraded its Creative Suite package of photo-editing and desktop-publishing programs. However, Adobe is seeing weaker demand in Europe. That caused the stock to fall 5% this week.

The company holds cash of $2.6 billion, or about $5.20 a share. Its long-term debt of $1.5 billion is a low 9% of its market cap.

We updated our advice on Adobe in our June 24, 2011 Stock Pickers Digest hotline, which you can immediately view when you take a 1-month free trial to Stock Pickers Digest [1]. Click here to get started right away. [2]

(Note: If you are a current Stock Pickers Digest subscriber, please click here to view Pat’s recommendation [3]. Be sure to log in first.)


Article printed from TSI Network: http://www.tsinetwork.ca

URL to article: http://www.tsinetwork.ca/daily/tech-stocks/tech-stocks-earnings-jumped-latest-quarter/

URLs in this post:

[1] Stock Pickers Digest: http://www.tsinetwork.ca/publications/stock-pickers-digest/stock-pickers-digest/

[2] Click here to get started right away.: http://www.tsinetwork.ca/publications/choose-newsletter-publication-format/?product_id=617

[3] click here to view Pat’s recommendation: http://www.tsinetwork.ca/hotline-back-issues/stock-pickers-digest-hotline-back-issues/stock-pickers-digest-hotline-friday-june-24-2011/

The Successful Investor Inc. is affiliated by common ownership with Successful Investor Wealth Management Inc., an Investment Counselor/Portfolio Manager. Past returns do not guarantee future results. Copyright © 2009 TSI Network. All rights reserved.