Compare StocksADBE vs TER

Adobe Inc. (ADBE) vs Teradyne, Inc. (TER)

ADBE
Adobe Inc.
$253.23
VS
TER
Teradyne, Inc.
$339.56

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.
TER
  • Teradyne, Inc. has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
  • PEG ratio of 0.20 suggests the stock is undervalued relative to its growth rate — paying less than 1x for each unit of earnings growth.
  • Altman Z-Score of 14.86 indicates very low bankruptcy risk — the company is firmly in the safe zone.

Risks

ADBE
    TER
    • FCF yield of 0.8% is below 3%, meaning the market is pricing in substantial future growth to justify the current price.
    • Trailing P/E of 63.0x is 69% above the historical average of 37.3x — the stock trades at a premium to its own history.
    • 6 insider sales with no purchases in the past 3 months — insiders are reducing their exposure.

    Key Valuation Metrics

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    ADBE
    TER
    Valuation
    $9.32B
    Free Cash Flow
    $450.41M
    9.11%
    FCF Yield
    0.85%
    14.77
    Trailing P/E
    63.00
    9.58
    Forward P/E
    35.69
    Quality & Moat
    41.36%
    ROIC
    34.88%
    62.36%
    ROE
    17.62%
    89.40%
    Gross Margin
    58.70%
    1.33
    PEG Ratio
    0.20
    Balance Sheet Safety
    0.58
    Debt / Equity
    0.03
    N/A
    Interest Coverage
    N/A
    -0.02
    Net Debt / EBITDA
    -0.14
    N/A
    Dividend Yield
    0.15%
    ADBE: 7Ties: 1TER: 3
    ADBETER

    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.

    TER

    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
    TER
    $12.54
    created per $1 retained over 3 years
    Exceptional Value Creator
    Σ Retained
    $1.32B
    Δ Market Cap
    +$16.61B
    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
    49.5% Margin of Safety
    Price is 49.5% below estimated fair value
    Current Price: $253.23
    Fair Value: $501.89
    Strongly undervalued
    Undervalued
    Fairly valued
    Overvalued
    Strongly overvalued
    TER
    31.4% Overvalued
    Price is 31.4% above estimated fair value
    Current Price: $339.56
    Fair Value: $258.33
    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 $253?

    +3.1%
    Market-Implied Owner Earnings Growth
    Standard FCF implies -0.6%

    The market implies +3.1% Owner Earnings growth, below historical trends — potential opportunity.

    Standard FCF implies a more demanding -0.6%, reflecting heavy growth investment expected to generate future returns.

    TER

    What growth rate is the market pricing in at $340?

    +29.3%
    Market-Implied Owner Earnings Growth
    Standard FCF implies +32.2%

    The market implies +29.3% Owner Earnings growth, above historical trends.

    Standard FCF implies a demanding +32.2%, 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.
    TER
    69/100
    Narrow Moat
    70+ Wide · 40-69 Narrow · <40 None

    Narrow moat with margin stability as the key competitive advantage. Improving revenue predictability 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.
    TER
    -2.76
    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 0.3%Institutions 87.7%Retail & Other 12.0%
    No. of Institutional Holders3,316
    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.
    TER
    Insiders 0.2%Institutions 97.6%Retail & Other 2.2%
    No. of Institutional Holders1,536
    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
    TER
    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
    2
    Sells (3M)
    4
    Sells (12M)
    Total value (12M): $1.05M
    FORUSZ JILLIAN
    Officer
    $185,915
    @ $246.25 · 2026-04-30
    DURN DANIEL J
    Chief Financial Officer
    $331,355
    @ $248.02 · 2026-04-20
    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
    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
    TER
    6
    Sells (3M)
    20
    Sells (12M)
    Total value (12M): $2.52M
    MILLS REGAN
    Officer
    $5,475
    @ $342.19 · 2026-04-08
    JOHNSON MERCEDES
    Director
    $195,125
    @ $312.20 · 2026-04-06
    MILLS REGAN
    Officer
    $73,302
    @ $290.88 · 2026-04-02
    JOHNSON MERCEDES
    Director
    $187,000
    @ $299.20 · 2026-03-05
    MILLS REGAN
    Officer
    $262,302
    @ $332.87 · 2026-02-25
    JOHNSON MERCEDES
    Director
    $166,862
    @ $266.98 · 2026-02-05
    JOHNSON MERCEDES
    Director
    $132,406
    @ $211.85 · 2026-01-05
    SMITH GREGORY STEPHEN
    Chief Executive Officer
    $223,051
    @ $201.31 · 2025-12-12
    JOHNSON MERCEDES
    Director
    $125,000
    @ $200.00 · 2025-12-05
    SMITH GREGORY STEPHEN
    Chief Executive Officer
    $199,662
    @ $180.20 · 2025-11-12
    JOHNSON MERCEDES
    Director
    $110,656
    @ $177.05 · 2025-11-05
    SMITH GREGORY STEPHEN
    Chief Executive Officer
    $160,926
    @ $145.24 · 2025-10-10
    JOHNSON MERCEDES
    Director
    $92,438
    @ $147.90 · 2025-10-06
    SMITH GREGORY STEPHEN
    Chief Executive Officer
    $70,020
    @ $126.39 · 2025-09-22
    SMITH GREGORY STEPHEN
    Chief Executive Officer
    $63,710
    @ $115.00 · 2025-09-12
    JOHNSON MERCEDES
    Director
    $75,038
    @ $120.06 · 2025-09-05
    SMITH GREGORY STEPHEN
    Chief Executive Officer
    $58,724
    @ $106.00 · 2025-08-12
    JOHNSON MERCEDES
    Director
    $66,250
    @ $106.00 · 2025-08-05
    JOHNSON MERCEDES
    Director
    $198,244
    @ $105.73 · 2025-07-30
    SMITH GREGORY STEPHEN
    Chief Executive Officer
    $58,574
    @ $105.73 · 2025-07-30
    JOHNSON MERCEDES
    Director
    $69,350
    @ $110.96 · 2025-03-03
    MEHTA SANJAY
    Chief Financial Officer
    $154,302
    @ $111.49 · 2025-02-04
    DRISCOLL RYAN E
    General Counsel
    $24,082
    @ $111.49 · 2025-02-04
    BURNS RICHARD JOHN
    Officer
    $49,613
    @ $111.49 · 2025-02-04
    JOHNSON MERCEDES
    Director
    $70,362
    @ $112.58 · 2025-02-03
    MEHTA SANJAY
    Chief Financial Officer
    $62,628
    @ $102.00 · 2025-01-30
    DRISCOLL RYAN E
    Officer
    $44,574
    @ $102.00 · 2025-01-30
    MEHTA SANJAY
    Chief Financial Officer
    $656,040
    @ $122.90 · 2025-01-29
    DRISCOLL RYAN E
    General Counsel
    $9,340
    @ $122.89 · 2025-01-29
    BURNS RICHARD JOHN
    Officer
    $181,523
    @ $122.90 · 2025-01-29
    MEHTA SANJAY
    Chief Financial Officer
    $215,592
    @ $120.51 · 2025-01-28
    DRISCOLL RYAN E
    General Counsel
    $12,895
    @ $120.51 · 2025-01-28
    BURNS RICHARD JOHN
    Officer
    $49,048
    @ $120.51 · 2025-01-28
    BURNS RICHARD JOHN
    Officer
    $49,048
    @ $120.51 · 2025-01-28
    SMITH GREGORY STEPHEN
    Chief Executive Officer
    $400,400
    @ $130.00 · 2025-01-03
    JOHNSON MERCEDES
    Director
    $79,225
    @ $126.76 · 2025-01-02
    SMITH GREGORY STEPHEN
    Chief Executive Officer
    $400,400
    @ $130.00 · 2024-12-16
    JOHNSON MERCEDES
    Director
    $68,775
    @ $110.04 · 2024-12-02
    JOHNSON MERCEDES
    Director
    $69,638
    @ $111.42 · 2024-11-07
    BURNS RICHARD JOHN
    Officer
    $129,548
    @ $132.19 · 2024-10-02
    JOHNSON MERCEDES
    Director
    $83,000
    @ $132.80 · 2024-10-01
    SMITH GREGORY STEPHEN
    Chief Executive Officer
    $409,024
    @ $132.80 · 2024-10-01
    SMITH GREGORY STEPHEN
    Chief Executive Officer
    $400,400
    @ $130.00 · 2024-09-11
    JOHNSON MERCEDES
    Director
    $83,431
    @ $133.49 · 2024-09-03
    MEHTA SANJAY
    Chief Financial Officer
    $818,718
    @ $133.06 · 2024-08-20
    JOHNSON MERCEDES
    Director
    $80,481
    @ $128.77 · 2024-08-01
    JOHNSON MERCEDES
    Director
    $92,500
    @ $148.00 · 2024-07-01
    JOHNSON MERCEDES
    Director
    $89,900
    @ $143.84 · 2024-06-03
    BURNS RICHARD JOHN
    Officer
    $688,880
    @ $137.64 · 2024-05-20
    JOHNSON MERCEDES
    Director
    $75,750
    @ $121.20 · 2024-05-06
    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(38/100)

    "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.
    TER
    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 (38)
    TER
    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 TER Full Analysis
    ADBE vs TER: Which Is the Better Buy? | SafetyMargin.io