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Compare Stocks › ADBE vs EA

Adobe Inc. (ADBE) vs Electronic Arts Inc. (EA)

ADBE
Adobe Inc.
$245.99
VS
EA
Electronic Arts Inc.
$200.69

Rewards

ADBE
  • ★Adobe Inc. has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
  • ★Gross margin of 89.4% indicates strong pricing power — typical of businesses with significant intellectual property or brand strength.
  • ★Adobe Inc. scores 100/100 on the Economic Moat Score (Wide Moat), with roic consistency as the strongest competitive dimension.
EA
  • ★Gross margin of 78.3% indicates strong pricing power — typical of businesses with significant intellectual property or brand strength.
  • ★Electronic Arts Inc. scores 90/100 on the Economic Moat Score (Wide Moat), with reinvestment efficiency as the strongest competitive dimension.
  • ★Each dollar of retained earnings has created $6.72 of market value — management is an exceptional capital allocator.

Risks

ADBE
    EA
    • ⚠Trailing P/E of 75.2x is 77% above the historical average of 42.5x — the stock trades at a premium to its own history.
    • ⚠27 insider sales with no purchases over the past 12 months — a persistent pattern of insider selling.

    Key Valuation Metrics

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    ADBE
    EA
    Valuation
    $9.29B
    Free Cash Flow
    $2.21B
    9.20%
    FCF Yield
    4.40%
    14.33
    Trailing P/E
    75.16
    9.33
    Forward P/E
    21.74
    Quality & Moat
    40.36%
    ROIC
    5.90%
    62.36%
    ROE
    18.22%
    89.40%
    Gross Margin
    78.26%
    1.29
    PEG Ratio
    N/A
    Balance Sheet Safety
    0.58
    Debt / Equity
    0.36
    N/A
    Interest Coverage
    N/A
    -0.02
    Net Debt / EBITDA
    -0.49
    N/A
    Dividend Yield
    0.38%
    ADBE: 7Ties: 1EA: 2
    ADBEEA

    Historical Fundamentals

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    ADBE

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

    EA

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

    $1 Retained Earnings Test

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    ADBE
    $-0.60
    created per $1 retained over 3 years
    Market Cap Declined
    Σ Retained
    $18.12B
    Δ Market Cap
    $-10.93B
    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
    EA
    $6.72
    created per $1 retained over 3 years
    Exceptional Value Creator
    Σ Retained
    $2.58B
    Δ Market Cap
    +$17.35B
    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

    Discounted Cash Flow (DCF) Analysis

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    ADBE
    48.4% Margin of Safety
    Price is 48.4% below estimated fair value
    Current Price: $245.99
    Fair Value: $477.11
    Strongly undervalued
    Undervalued
    Fairly valued
    Overvalued
    Strongly overvalued
    EA
    111.2% Overvalued
    Price is 111.2% above estimated fair value
    Current Price: $200.69
    Fair Value: $95.03
    Strongly undervalued
    Undervalued
    Fairly valued
    Overvalued
    Strongly overvalued

    Reverse DCF — Market-Implied Growth

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    ADBE

    What growth rate is the market pricing in at $246?

    +3.0%
    Market-Implied Owner Earnings Growth
    Standard FCF implies -0.7%

    The market implies +3.0% Owner Earnings growth, below historical trends — potential opportunity.

    Standard FCF implies a more demanding -0.7%, reflecting heavy growth investment expected to generate future returns.

    EA

    What growth rate is the market pricing in at $201?

    +18.5%
    Market-Implied Owner Earnings Growth
    Standard FCF implies +9.3%

    The market implies +18.5% Owner Earnings growth, above historical trends.

    Standard FCF implies a demanding +9.3%, reflecting heavy growth investment.

    Economic Moat Score

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    ADBE
    100/100
    Wide Moat
    70+ Wide · 40-69 Narrow · <40 None

    Wide moat with strength across all dimensions. ROIC Consistency is the standout factor.

    Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
    EA
    90/100
    Wide Moat
    70+ Wide · 40-69 Narrow · <40 None

    Wide moat with strength across all dimensions. Reinvestment Efficiency is the standout factor.

    Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 5 years of fundamental data.

    Forensic Accounting

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    ADBE
    -2.85
    Unlikely Manipulator
    Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

    M-Score Trend

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
    EA
    -2.66
    Unlikely Manipulator
    Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

    M-Score Trend

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

    Ownership Breakdown

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    ADBE
    Insiders 0.2%Institutions 87.8%Retail & Other 11.9%
    No. of Institutional Holders3,534
    High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
    EA
    Insiders 0.2%Institutions 95.3%Retail & Other 4.5%
    No. of Institutional Holders1,514
    High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.

    High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.

    Insider Buying Activity

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    ADBE
    0
    Buys (3M)
    0
    Buys (12M)
    DURN DANIEL J
    Chief Financial Officer
    $507,758
    @ $390.58 · 2025-03-20
    RICKS DAVID A
    Director
    $998,946
    @ $443.98 · 2025-01-28
    Open market purchases · includes direct & indirect ownership · excludes option exercises
    EA
    0
    Buys (3M)
    0
    Buys (12M)
    No open market insider purchases found.
    Open market purchases · includes direct & indirect ownership · excludes option exercises

    Open market purchases · includes direct & indirect ownership · excludes option exercises.

    Insider Selling Activity

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    ADBE
    1
    Sells (3M)
    3
    Sells (12M)
    Total value (12M): $711,495
    DURN DANIEL J
    Chief Financial Officer
    $485,323
    @ $294.85 · 2026-01-27
    FORUSZ JILLIAN
    Officer
    $50,344
    @ $337.88 · 2025-10-31
    FORUSZ JILLIAN
    Officer
    $175,828
    @ $380.58 · 2025-05-02
    FORUSZ JILLIAN
    Officer
    $145,567
    @ $435.83 · 2025-01-28
    BELSKY SCOTT K
    Officer
    $2.05M
    @ $431.61 · 2025-01-27
    BANSE AMY L
    Director
    $333,300
    @ $550.00 · 2024-12-06
    FORUSZ JILLIAN
    Officer
    $327,987
    @ $485.19 · 2024-10-29
    BELSKY SCOTT K
    Officer
    $232,525
    @ $483.42 · 2024-10-25
    BELSKY SCOTT K
    Officer
    $1.14M
    @ $511.48 · 2024-10-16
    DURN DANIEL J
    Chief Financial Officer
    $3.35M
    @ $515.44 · 2024-09-17
    GARFIELD MARK S.
    Officer
    $52,089
    @ $537.00 · 2024-07-25
    BELSKY SCOTT K
    Officer
    $258,297
    @ $537.00 · 2024-07-25
    GARFIELD MARK S.
    Officer
    $85,255
    @ $564.60 · 2024-07-16
    BELSKY SCOTT K
    Officer
    $1.25M
    @ $561.60 · 2024-07-16
    RAO DANA J.D.
    General Counsel
    $3.56M
    @ $525.51 · 2024-06-17
    GARFIELD MARK S.
    Officer
    $138,735
    @ $525.51 · 2024-06-17
    GARFIELD MARK S.
    Officer
    $265,644
    @ $447.97 · 2024-06-03
    GARFIELD MARK S.
    Officer
    $389,630
    @ $490.10 · 2024-05-06
    BELSKY SCOTT K
    Officer
    $1.29M
    @ $474.30 · 2024-05-02
    GARFIELD MARK S.
    Officer
    $45,436
    @ $468.41 · 2024-04-25
    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
    EA
    4
    Sells (3M)
    27
    Sells (12M)
    Total value (12M): $11.21M
    MIELE LAURA KAREN
    Officer
    $499,884
    @ $199.95 · 2026-03-16
    CANFIELD STUART
    Chief Financial Officer
    $299,842
    @ $199.89 · 2026-02-17
    MIELE LAURA KAREN
    Officer
    $498,825
    @ $199.53 · 2026-02-17
    MIELE LAURA KAREN
    Officer
    $510,667
    @ $204.27 · 2026-01-15
    MIELE LAURA KAREN
    Officer
    $510,284
    @ $204.11 · 2025-12-15
    CANFIELD STUART
    Chief Financial Officer
    $302,475
    @ $201.65 · 2025-11-20
    MIELE LAURA KAREN
    Officer
    $502,643
    @ $201.06 · 2025-11-17
    KELLY ERIC CHARLES
    Officer
    $802,049
    @ $200.51 · 2025-11-07
    SCHATZ JACOB J
    Officer
    $240,961
    @ $200.80 · 2025-10-15
    MIELE LAURA KAREN
    Officer
    $504,477
    @ $201.79 · 2025-10-01
    CANFIELD STUART
    Chief Financial Officer
    $1.98M
    @ $197.94 · 2025-09-29
    SCHATZ JACOB J
    Officer
    $205,824
    @ $171.52 · 2025-09-15
    MIELE LAURA KAREN
    Officer
    $429,234
    @ $171.69 · 2025-09-02
    UBINAS LUIS A.
    Director
    $297,707
    @ $170.51 · 2025-08-21
    CANFIELD STUART
    Chief Financial Officer
    $171,059
    @ $171.06 · 2025-08-20
    SCHATZ JACOB J
    Officer
    $209,580
    @ $174.65 · 2025-08-15
    MIELE LAURA KAREN
    Officer
    $388,733
    @ $155.49 · 2025-08-01
    SCHATZ JACOB J
    Officer
    $222,486
    @ $148.32 · 2025-07-15
    MIELE LAURA KAREN
    Officer
    $398,744
    @ $159.50 · 2025-07-01
    SCHATZ JACOB J
    Officer
    $223,035
    @ $148.69 · 2025-06-16
    MIELE LAURA KAREN
    President
    $363,803
    @ $145.52 · 2025-06-02
    CANFIELD STUART
    Chief Financial Officer
    $151,320
    @ $151.32 · 2025-05-20
    KELLY ERIC CHARLES
    Officer
    $302,090
    @ $151.04 · 2025-05-16
    SCHATZ JACOB J
    Officer
    $224,462
    @ $149.64 · 2025-05-15
    MIELE LAURA KAREN
    Officer
    $388,929
    @ $155.57 · 2025-05-08
    SCHATZ JACOB J
    Officer
    $218,468
    @ $145.65 · 2025-04-15
    MIELE LAURA KAREN
    Officer
    $362,764
    @ $145.11 · 2025-04-01
    SCHATZ JACOB J
    Officer
    $208,470
    @ $138.98 · 2025-03-17
    MIELE LAURA KAREN
    Officer
    $325,837
    @ $130.33 · 2025-03-03
    CANFIELD STUART
    Chief Financial Officer
    $130,108
    @ $130.11 · 2025-02-20
    SCHATZ JACOB J
    Officer
    $192,900
    @ $128.60 · 2025-02-18
    MIELE LAURA KAREN
    Officer
    $327,078
    @ $130.83 · 2025-02-06
    SCHATZ JACOB J
    Officer
    $215,175
    @ $143.45 · 2025-01-15
    MIELE LAURA KAREN
    Officer
    $365,371
    @ $146.15 · 2025-01-02
    CANFIELD STUART
    Chief Financial Officer
    $148,180
    @ $148.18 · 2024-12-26
    SCHATZ JACOB J
    Officer
    $234,409
    @ $156.27 · 2024-12-16
    SCHATZ JACOB J
    Officer
    $244,950
    @ $163.30 · 2024-11-15
    MIELE LAURA KAREN
    Officer
    $395,086
    @ $158.03 · 2024-11-06
    SCHATZ JACOB J
    Officer
    $217,080
    @ $144.72 · 2024-10-15
    SCHATZ JACOB J
    Officer
    $219,870
    @ $146.58 · 2024-09-16
    SCHATZ JACOB J
    Officer
    $223,980
    @ $149.32 · 2024-08-28
    CANFIELD STUART
    Chief Financial Officer
    $186,950
    @ $148.37 · 2024-08-19
    UBINAS LUIS A.
    Director
    $312,042
    @ $146.77 · 2024-08-02
    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives

    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.

    🎭 Mr. Market's Mood

    Learn more →
    ADBE
    FearGreed
    😨Fear(27/100)

    "Market is pessimistic — investigate whether fears are temporary or structural"

    Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
    EA
    FearGreed
    😏Greed(67/100)

    "Market is optimistic — be cautious and ensure you have a margin of safety"

    Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

    Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

    ⚖️ Buffett Signal

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    ADBE
    ⚪Awaiting DCF Data

    The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

    DCF Margin of Safety: N/AMr. Market's Mood: Fear (27)
    EA
    ⚪Awaiting DCF Data

    The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

    DCF Margin of Safety: N/AMr. Market's Mood: Greed (67)
    View ADBE Full AnalysisView EA Full Analysis