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Another $Adbe post… but this time is different

u/Street-Broccoli-968 · Reddit — r/ValueInvesting · April 25, 2026 at 02:25 · ⬆ 21 pts · 💬 40 comments  | View on Reddit ↗
AI Summary

Summary

  • The post analyzes Adobe (ADBE) governance issues: CFO sold shares just before buyback announcement, CEO excessive compensation with minimal ownership, no insider buying at lows, and stalled CEO search.
  • Author’s thesis is bearish: management appears misaligned with shareholders, buybacks are value-destructive, and only an activist could turn things around.
  • Quality assessment: Reasonably well-researched DD focusing on insider behavior and capital allocation, though speculative on activist catalyst.
Score 21
Comments 40
Upvote % 77%
Full Post Text
Ideas
u/Street-Broccoli-968 Reddit r/ValueInvesting
CFO sold 331k shares day before $25B buyback announcement; CEO owns only 0.11% with $51M comp; no insider buying at 30% YTD low. Insider actions signal lack of confidence in near-term value, and the stalled CEO search suggests internal dysfunction—creating downside risk if no activist intervenes. Short Adobe as management appears to be burning cash on buybacks while insiders exit, pointing to further price erosion. An activist filing a 13D could catalyze a turnaround; strong product moat (Creative Cloud) may support valuation; market rotation could lift tech.
More from Reddit — r/ValueInvesting

This Reddit post, published April 25, 2026, features u/Street-Broccoli-968 discussing ADBE. 1 trade idea extracted by AI with direction and confidence scoring.

Speakers: u/Street-Broccoli-968  · Tickers: ADBE