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Compare Stocks › ADBE vs STLD

Adobe Inc. (ADBE) vs Steel Dynamics, Inc. (STLD)

ADBE
Adobe Inc.
$245.99
VS
STLD
Steel Dynamics, Inc.
$167.56

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.
STLD
  • ★Share count has been reduced by 16% over the past 4 years through buybacks, increasing each share's claim on earnings.
  • ★Each dollar of retained earnings has created $1.77 of market value — management is creating shareholder value.
  • ★PEG ratio of 0.60 suggests the stock is undervalued relative to its growth rate — paying less than 1x for each unit of earnings growth.

Risks

ADBE
    STLD
    • ⚠ROIC has declined by 29.5 percentage points over the observed period, which may signal competitive erosion.
    • ⚠Gross margin of 13.2% is low, suggesting a competitive or commodity-like market with limited pricing power.
    • ⚠Buybacks have been poorly timed — 3 out of 4 years involved repurchases at relatively expensive valuations.

    Key Valuation Metrics

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    ADBE
    STLD
    Valuation
    $9.29B
    Free Cash Flow
    $-109.41M
    9.20%
    FCF Yield
    -0.45%
    14.33
    Trailing P/E
    20.97
    9.33
    Forward P/E
    10.68
    Quality & Moat
    40.36%
    ROIC
    7.58%
    62.36%
    ROE
    13.28%
    89.40%
    Gross Margin
    13.16%
    1.29
    PEG Ratio
    0.60
    Balance Sheet Safety
    0.58
    Debt / Equity
    0.49
    N/A
    Interest Coverage
    N/A
    -0.02
    Net Debt / EBITDA
    1.78
    N/A
    Dividend Yield
    1.21%
    ADBE: 8Ties: 1STLD: 2
    ADBESTLD

    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.

    STLD

    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
    STLD
    $1.77
    created per $1 retained over 3 years
    Value Creator
    Σ Retained
    $4.33B
    Δ Market Cap
    +$7.66B
    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
    STLD
    31.5% Margin of Safety
    Price is 31.5% below estimated fair value
    Current Price: $167.56
    Fair Value: $244.56
    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.

    STLD

    Requires positive FCF to compute implied growth rate.

    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.
    STLD
    52/100
    Narrow Moat
    70+ Wide · 40-69 Narrow · <40 None

    Narrow moat with roic consistency as the key competitive advantage. Improving margin stability would strengthen the moat.

    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.
    STLD
    -2.41
    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.
    STLD
    Insiders 6.5%Institutions 86.1%Retail & Other 7.4%
    No. of Institutional Holders1,303
    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
    STLD
    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
    STLD
    0
    Sells (3M)
    4
    Sells (12M)
    Total value (12M): $4.05M
    ALVAREZ MIGUEL
    Officer
    $1.34M
    @ $162.79 · 2025-10-29
    GRAHAM CHRISTOPHER A.
    Officer
    $1.52M
    @ $126.70 · 2025-07-30
    SHAHEEN GABRIEL L
    Director
    $168,174
    @ $134.11 · 2025-06-06
    ALVAREZ MIGUEL
    Officer
    $1.01M
    @ $135.26 · 2025-05-20
    PUSHIS GLENN A
    Officer
    $3.18M
    @ $134.67 · 2025-02-11
    POINSATTE RICHARD A
    Officer
    $277,500
    @ $138.75 · 2024-11-15
    ALVAREZ MIGUEL
    Officer
    $950,950
    @ $143.00 · 2024-11-13
    BICKFORD CHAD
    Officer
    $269,720
    @ $134.86 · 2024-10-28
    ANDERSON JAMES STANLEY
    Officer
    $1.30M
    @ $129.54 · 2024-10-22
    PUSHIS GLENN A
    Officer
    $2.39M
    @ $133.09 · 2024-10-21
    POINSATTE RICHARD A
    Officer
    $212,994
    @ $118.33 · 2024-09-19
    SHAHEEN GABRIEL L
    Director
    $236,848
    @ $129.78 · 2024-07-30
    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.
    STLD
    FearGreed
    😐Neutral(44/100)

    "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)
    STLD
    ⚪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 (44)
    View ADBE Full AnalysisView STLD Full Analysis