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Compare Stocks › ADBE vs L

Adobe Inc. (ADBE) vs Loews Corporation (L)

ADBE
Adobe Inc.
$245.99
VS
L
Loews Corporation
$105.65

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.
L
  • ★Share count has been reduced by 13% over the past 4 years through buybacks, increasing each share's claim on earnings.
  • ★Each dollar of retained earnings has created $1.82 of market value — management is creating shareholder value.
  • ★FCF yield of 12.4% is historically attractive — the business generates significant cash relative to its price.

Risks

ADBE
    L
    • ⚠Altman Z-Score of 0.69 places the company in the distress zone — financial patterns resemble those of companies that experienced bankruptcy.
    • ⚠17 insider sales with no purchases over the past 12 months — a persistent pattern of insider selling.

    Key Valuation Metrics

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    ADBE
    L
    Valuation
    $9.29B
    Free Cash Flow
    $2.70B
    9.20%
    FCF Yield
    12.37%
    14.33
    Trailing P/E
    13.26
    9.33
    Forward P/E
    36.43
    Quality & Moat
    40.36%
    ROIC
    6.46%
    62.36%
    ROE
    -4.74%
    89.40%
    Gross Margin
    36.50%
    1.29
    PEG Ratio
    0.11
    Balance Sheet Safety
    0.58
    Debt / Equity
    0.50
    N/A
    Interest Coverage
    N/A
    -0.02
    Net Debt / EBITDA
    0.83
    N/A
    Dividend Yield
    0.24%
    ADBE: 6Ties: 1L: 4
    ADBEL

    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.

    L

    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
    L
    $1.82
    created per $1 retained over 3 years
    Value Creator
    Σ Retained
    $4.35B
    Δ Market Cap
    +$7.93B
    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

    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
    L
    81.6% Margin of Safety
    Price is 81.6% below estimated fair value
    Current Price: $105.65
    Fair Value: $573.43
    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.

    L

    What growth rate is the market pricing in at $106?

    +3.5%
    Market-Implied Owner Earnings Growth
    Standard FCF implies -3.2%

    The market implies +3.5% Owner Earnings growth, below historical trends — potential opportunity.

    Standard FCF implies a more demanding -3.2%, reflecting heavy growth investment expected to generate future returns.

    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.
    L
    39/100
    No Moat
    70+ Wide · 40-69 Narrow · <40 None

    No durable moat detected, though revenue predictability shows some competitive positioning. The business lacks consistent evidence of sustainable advantages.

    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.

    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.
    L
    -2.53
    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.
    L
    Insiders 19.0%Institutions 60.4%Retail & Other 20.6%
    No. of Institutional Holders1,049
    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
    L
    0
    Buys (3M)
    0
    Buys (12M)
    LOCKER JONATHAN C.
    Director
    $499,896
    @ $80.63 · 2024-07-30
    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
    L
    3
    Sells (3M)
    17
    Sells (12M)
    Total value (12M): $3.46M
    SCHWARTZ MARK S
    Officer and Treasurer
    $346,500
    @ $110.00 · 2026-02-17
    ALPERT MARC A
    General Counsel
    $383,983
    @ $109.87 · 2026-02-10
    BERMAN ANN E
    Director
    $211,728
    @ $110.16 · 2026-02-10
    SCOTT RICHARD WALDO
    Chief Investment Officer
    $104,740
    @ $104.74 · 2025-12-11
    FRIBOURG PAUL J
    Director
    $155,923
    @ $108.13 · 2025-12-01
    BERMAN ANN E
    Director
    $156,096
    @ $108.10 · 2025-12-01
    HARRIS WALTER L
    Director
    $155,563
    @ $107.88 · 2025-12-01
    DIKER CHARLES M
    Director
    $155,635
    @ $107.93 · 2025-12-01
    FRIBOURG PAUL J
    Director
    $137,493
    @ $96.69 · 2025-09-02
    BERMAN ANN E
    Director
    $137,465
    @ $96.67 · 2025-09-02
    HARRIS WALTER L
    Director
    $137,396
    @ $96.69 · 2025-09-02
    DIKER CHARLES M
    Director
    $137,593
    @ $96.76 · 2025-09-02
    FRIBOURG PAUL J
    Director
    $113,068
    @ $88.82 · 2025-06-03
    BERMAN ANN E
    Director
    $113,068
    @ $88.82 · 2025-06-02
    HARRIS WALTER L
    Director
    $113,157
    @ $88.82 · 2025-06-02
    DIKER CHARLES M
    Director
    $112,583
    @ $88.37 · 2025-06-02
    SCOTT RICHARD WALDO
    Chief Investment Officer
    $792,950
    @ $87.92 · 2025-05-08
    FRIBOURG PAUL J
    Director
    $104,007
    @ $86.89 · 2025-03-03
    BERMAN ANN E
    Director
    $104,019
    @ $86.90 · 2025-03-03
    WELTERS ANTHONY
    Director
    $103,983
    @ $86.87 · 2025-03-03
    DIKER CHARLES M
    Director
    $103,816
    @ $86.73 · 2025-03-03
    HARRIS WALTER L
    Director
    $103,983
    @ $86.87 · 2025-03-03
    SCOTT RICHARD WALDO
    Chief Investment Officer
    $689,405
    @ $84.60 · 2025-02-25
    ALPERT MARC A
    General Counsel
    $382,680
    @ $85.04 · 2025-02-11
    TISCH JONATHAN M.
    Retired
    $639,494
    @ $86.81 · 2025-02-07
    TISCH ANDREW H
    Divisional Officer
    $1.37M
    @ $84.67 · 2025-01-03
    TISCH JONATHAN M.
    Divisional Officer
    $1.38M
    @ $84.86 · 2025-01-02
    BERMAN ANN E
    Director
    $99,106
    @ $86.48 · 2024-12-02
    WELTERS ANTHONY
    Director
    $99,484
    @ $86.81 · 2024-12-02
    HARRIS WALTER L
    Director
    $99,278
    @ $86.63 · 2024-12-02
    DIKER CHARLES M
    Director
    $99,507
    @ $86.83 · 2024-12-02
    FRIBOURG PAUL J
    Director
    $99,484
    @ $86.81 · 2024-12-02
    FRIBOURG PAUL J
    Director
    $88,574
    @ $81.41 · 2024-09-03
    BERMAN ANN E
    Director
    $88,460
    @ $81.38 · 2024-09-03
    WELTERS ANTHONY
    Director
    $88,574
    @ $81.41 · 2024-09-03
    HARRIS WALTER L
    Director
    $88,574
    @ $81.41 · 2024-09-03
    DIKER CHARLES M
    Director
    $88,531
    @ $81.37 · 2024-09-03
    SIEGEL KENNETH I
    Officer
    $560,909
    @ $80.21 · 2024-08-23
    ALPERT MARC A
    General Counsel
    $540,470
    @ $77.21 · 2024-08-12
    ALPERT MARC A
    General Counsel
    $217,083
    @ $80.79 · 2024-07-30
    SCHWARTZ MARK S
    Officer and Treasurer
    $212,553
    @ $80.88 · 2024-07-30
    FRIBOURG PAUL J
    Director
    $72,995
    @ $75.80 · 2024-06-03
    BERMAN ANN E
    Director
    $72,995
    @ $75.80 · 2024-06-03
    WELTERS ANTHONY
    Director
    $72,995
    @ $75.80 · 2024-06-03
    HARRIS WALTER L
    Director
    $72,995
    @ $75.80 · 2024-06-03
    DIKER CHARLES M
    Director
    $72,987
    @ $75.79 · 2024-06-03
    SCOTT RICHARD WALDO
    Chief Investment Officer
    $690,495
    @ $76.34 · 2024-05-21
    TISCH JONATHAN M.
    President
    $3.88M
    @ $77.60 · 2024-05-17
    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

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    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.
    L
    FearGreed
    😐Neutral(55/100)

    "Market is pricing this stock without strong emotion in either direction"

    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)
    L
    ⚪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: Neutral (55)
    View ADBE Full AnalysisView L Full Analysis