Adobe (ADBE) Cash Conversion Cycle: -30.42 (As of May. 2026)


ADBE Adobe Inc ADBE
86 GF Score
Price $208.13
GF Value $595.80
Valuation Significantly Undervalued
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What is Adobe Cash Conversion Cycle?

Adobe ADBE +2.66% 86 Cash Conversion Cycle is -30.42 as of May. 2026. GuruFocus rates ADBE with a GF Score™ of 86/100 and a GF Value™ of $595.80 (Significantly Undervalued).

Cash Conversion Cycle is one of several measures of management effectiveness. It equals Days Sales Outstanding + Days Inventory - Days Payable.

Adobe's Days Sales Outstanding for the three months ended in May. 2026 was 28.16.
Adobe's Days Inventory for the three months ended in May. 2026 was 0.
Adobe's Days Payable for the three months ended in May. 2026 was 58.58.
Therefore, Adobe's Cash Conversion Cycle (CCC) for the three months ended in May. 2026 was -30.42.


Adobe  (NAS:ADBE) Cash Conversion Cycle Explanation

Generally, the lower this number is, the better for the company. Although it should be combined with other metrics (such as ROE % and ROA %), it can be especially useful for comparing close competitors, because the company with the lowest CCC is often the one with better management.


Be Aware

CCC is most effective with retail-type companies, which have inventories that are sold to customers. Consulting businesses, software companies and insurance companies are all examples of companies for whom this metric is meaningless.

The CCC is one of several tools that can help you evaluate management, especially if it is calculated for several consecutive time periods and for several competitors. Decreasing or steady CCCs are good, while rising ones should motivate you to dig a bit deeper.


Adobe Cash Conversion Cycle Related Terms


Adobe Cash Conversion Cycle Historical Data

* Premium members only.

The historical data trend for Adobe's Cash Conversion Cycle can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Adobe Cash Conversion Cycle Chart

Adobe Annual Data
Trend Nov16 Nov17 Nov18 Nov19 Nov20 Nov21 Nov22 Nov23 Nov24 Nov25
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only -22.59 -17.38 -13.40 -15.78 -21.75

Adobe Quarterly Data
Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26 May26
Cash Conversion Cycle Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -20.25 -20.36 -20.33 -25.81 -30.42

ADBE vs DDOG, SNOW, INTU: Cash Conversion Cycle Comparison

For the Software - Application subindustry, Adobe's Cash Conversion Cycle, along with its competitors' market caps and Cash Conversion Cycle data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Adobe Cash Conversion Cycle vs Software Industry

For the Software industry and Technology sector, Adobe's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Adobe's Cash Conversion Cycle falls into.


ADBE
86GF Score
Adobe Inc ADBE
Cash Conversion Cycle is just one metric. See GF Score™, valuation, warning signs, and more.
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Adobe Cash Conversion Cycle Calculation

Cash Conversion Cycle (CCC) measures how fast a company can convert cash on hand into even more cash on hand. This metric looks at the amount of time needed to sell inventory, the amount of time needed to collect receivables and the length of time the company is afforded to pay its bills without incurring penalties.

Cash Conversion Cycle is one of several measures of management effectiveness.

Adobe's Cash Conversion Cycle for the fiscal year that ended in Nov. 2025 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=33.91+0-55.66
=-21.75

Adobe's Cash Conversion Cycle for the quarter that ended in May. 2026 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=28.16+0-58.58
=-30.42

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Cash Conversion Cycle →
What does a Cash Conversion Cycle of -30.42 mean?
Adobe (ADBE) has a Cash Conversion Cycle of -30.42 as of May. 2026. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Adobe and its competitors.
Is Adobe's Cash Conversion Cycle too high?
Adobe's current Cash Conversion Cycle is -30.42. Overall, Adobe has a GF Score™ of 86/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Adobe's Cash Conversion Cycle compare to DDOG and SNOW?
Adobe's Cash Conversion Cycle of -30.42 can be compared against companies in the Software industry. The industry median Cash Conversion Cycle is 32.25. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Conversion Cycle for a Software company?
The median Cash Conversion Cycle among Software companies is 32.25, based on 2,803 companies in the industry. Companies in the top quartile (top 25%) have a Cash Conversion Cycle significantly above this median, while those in the bottom quartile fall well below. However, Cash Conversion Cycle should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Conversion Cycle mean?
A high Cash Conversion Cycle can signal that a stock is expensive relative to its fundamentals. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Adobe and its competitors. For the Software industry, the median Cash Conversion Cycle is 32.25 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Adobe's current Cash Conversion Cycle is -30.42. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Adobe stock overvalued right now?
Based on GuruFocus' analysis, Adobe (ADBE) is currently considered Significantly Undervalued. The stock's GF Value™ is $595.80, compared to a current price of $208.13 — trading 65.1% below its estimated fair value. The current Cash Conversion Cycle is -30.42. Adobe's overall GF Score™ is 86/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Conversion Cycle calculated?
Cash Conversion Cycle is calculated from a company's financial statements. For Adobe (ADBE), the current Cash Conversion Cycle is -30.42 as of May. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Adobe (ADBE) Overvalued in 2026?

Based on GuruFocus' analysis, Adobe stock appears to be undervalued. The current stock price of $208.13 is trading 65.1% below its estimated GF Value™ of $595.80. GuruFocus considers Adobe to be Significantly Undervalued.

Key valuation signals for ADBE:

  • Cash Conversion Cycle: -30.42
  • GF Value™: $595.80 vs. price of $208.13 (65.1% below fair value)
  • GF Score™: 86/100

No single metric tells the full story. See the ADBE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Adobe Business Description

Address 345 Park Avenue, San Jose, CA, USA, 95110-2704
Adobe provides content creation, document management, and digital marketing and advertising software and services to creative professionals and marketers for creating, managing, delivering, measuring, optimizing, and engaging with compelling content multiple operating systems, devices, and media. The company operates with three segments: digital media content creation, digital experience for marketing solutions, and publishing for legacy products (less than 5% of revenue).
86GF Score

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Cash Conversion Cycle is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$208.13
Price
$595.80
GF Value