Topic: How To Invest

Stock Pickers Digest Hotline – Friday, December 16, 2016

Article Excerpt

ADOBE SYSTEMS INC., $103.52, symbol ADBE on Nasdaq, makes software that lets computer users create, edit and share documents in the popular PDF format. Graphic designers also use its programs to create print publications and webpages. The company continues to benefit from strong demand for its subscription services, particularly the Creative Cloud package of photo-editing and desktop-publishing programs. In its fiscal 2016 fourth quarter, ended December 2, 2016, Adobe earned $0.90 a share. That beat the consensus estimate of $0.86. The latest earnings are also up 45.2% from $0.62 a share a year earlier. Revenue jumped 23.1%, to a record $1.61 billion from $1.31 billion. That also beat the consensus forecast of $1.59 billion. Adobe continues to move away from selling software as a one-time purchase; it now gets 82% of its revenue from recurring sources (subscriptions). In the latest quarter, revenue from the company’s Creative Cloud service jumped 33% from a year earlier. As well, revenue from its Marketing Cloud service—software to make online…