Adobe (XSWX:ADBE) EV-to-EBIT: 10.34 (As of Jul. 21, 2026) — 73% Below Median

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XSWX:ADBE Adobe Inc XSWX:ADBE
82 GF Score
Price CHF187.48
GF Value CHF465.81
View Full Analysis

What is Adobe EV-to-EBIT?

Adobe XSWX:ADBE -0.03% 82 EV-to-EBIT is 10.34 as of Jul. 21, 2026, which is 73% below its 10-year median of 38.30. GuruFocus rates XSWX:ADBE with a GF Score™ of 82/100 and a GF Value™ of CHF465.81. Among 1,770 Software companies, Adobe ranks better than 63.56% on this metric.

EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, Adobe's Enterprise Value is CHF76,675 Mil. Adobe's EBIT for the trailing twelve months (TTM) ended in May. 2026 was CHF7,414 Mil. Therefore, Adobe's EV-to-EBIT for today is 10.34.

The historical rank and industry rank for Adobe's EV-to-EBIT or its related term are showing as below:

XSWX:ADBE' s EV-to-EBIT Range Over the Past 10 Years
Min: 8.52   Med: 38.3   Max: 65.18
Current: 10.11

During the past 13 years, the highest EV-to-EBIT of Adobe was 65.18. The lowest was 8.52. And the median was 38.30.

XSWX:ADBE's EV-to-EBIT is ranked better than
63.56% of 1770 companies
in the Software industry
Industry Median: 14.225 vs XSWX:ADBE: 10.11

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %. Adobe's Enterprise Value for the quarter that ended in May. 2026 was CHF76,702 Mil. Adobe's EBIT for the trailing twelve months (TTM) ended in May. 2026 was CHF7,414 Mil. Adobe's Earnings Yield (Joel Greenblatt) % for the quarter that ended in May. 2026 was 9.67%.


Adobe  (XSWX:ADBE) EV-to-EBIT Explanation

This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %.

Adobe's Earnings Yield (Joel Greenblatt) % for the quarter that ended in May. 2026 is calculated as:

Earnings Yield (Joel Greenblatt) % (Q: May. 2026 ) =EBIT / Enterprise Value (Q: May. 2026 )
=7413.721/76701.903
=9.67 %

Adobe's Enterprise Value for the quarter that ended in May. 2026 was CHF76,702 Mil.
Adobe's EBIT for the trailing twelve months (TTM) ended in May. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was CHF7,414 Mil.

* 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 EV-to-EBIT Related Terms


Adobe EV-to-EBIT Historical Data

* Premium members only.

The historical data trend for Adobe's EV-to-EBIT 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 EV-to-EBIT Chart

Adobe Annual Data
Trend Nov16 Nov17 Nov18 Nov19 Nov20 Nov21 Nov22 Nov23 Nov24 Nov25
EV-to-EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 54.50 25.80 39.68 31.79 14.70

Adobe Quarterly Data
Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26 May26
EV-to-EBIT 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 20.84 17.28 14.70 11.51 11.19

XSWX:ADBE vs DDOG, SNOW, INTU: EV-to-EBIT Comparison

For the Software - Application subindustry, Adobe's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT 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 EV-to-EBIT vs Software Industry

For the Software industry and Technology sector, Adobe's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Adobe's EV-to-EBIT falls into.


XSWX:ADBE
82GF Score
Adobe Inc XSWX:ADBE
EV-to-EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Adobe EV-to-EBIT Calculation

Adobe's EV-to-EBIT for today is calculated as:

EV-to-EBIT=Enterprise Value (Today)/EBIT (TTM)
=76674.940/7413.721
=10.34

Adobe's current Enterprise Value is CHF76,675 Mil.
Adobe's EBIT for the trailing twelve months (TTM) ended in May. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was CHF7,414 Mil.

* 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 EV-to-EBIT →
What does a EV-to-EBIT of 10.34 mean?
Adobe (XSWX:ADBE) has a EV-to-EBIT of 10.34 as of Jul. 21, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Adobe and its competitors. This is 73% below median its historical median of 38.30. Over the past decade, Adobe's EV-to-EBIT has ranged from 8.52 to 65.18. According to the industry distribution chart, Adobe ranks #645 out of 1770 companies in the Software industry, placing it in the top 36.4%.
Is Adobe's EV-to-EBIT too high?
Adobe's current EV-to-EBIT of 10.34 is 73% below median its 10-year median of 38.30. Over the past 10 years, this metric has ranged from a low of 8.52 to a high of 65.18. The Software industry median EV-to-EBIT is 14.23. Adobe's value of 10.34 is 27.3% below this industry median. Based on the distribution chart, Adobe ranks #645 out of 1770 companies in the Software industry, which is above the industry midpoint. Overall, Adobe has a GF Score™ of 82/100, reflecting its overall financial health beyond just this single metric.
How does Adobe's EV-to-EBIT compare to DDOG and SNOW?
According to the Software industry distribution chart, Adobe ranks #645 out of 1770 companies for EV-to-EBIT. This puts Adobe in the upper half of its industry. The industry median EV-to-EBIT is 14.23. Adobe's value of 10.34 is 27.3% below this benchmark. Historically, Adobe's own EV-to-EBIT has ranged from 8.52 to 65.18 over the past decade. While the company's 10-year median is 38.30 vs. the industry median of 14.23, Adobe has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBIT for a Software company?
The median EV-to-EBIT among Software companies is 14.23, based on 1,770 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBIT significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Adobe's current EV-to-EBIT of 10.34 is 27.3% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBIT mean?
A high EV-to-EBIT can signal that a stock is expensive relative to its fundamentals. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Adobe and its competitors. For the Software industry, the median EV-to-EBIT is 14.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Adobe's current EV-to-EBIT is 10.34, which is 73% below median its own 10-year median of 38.30. 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?
Adobe (XSWX:ADBE) has a current EV-to-EBIT of 10.34. The stock's GF Value™ is CHF465.81, compared to a current price of CHF187.48 — trading 59.8% below its estimated fair value. The current EV-to-EBIT is 10.34, which is 73% below median its 10-year median of 38.30 and 27.3% below the Software industry median of 14.23. Adobe's overall GF Score™ is 82/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBIT calculated?
EV-to-EBIT is calculated from a company's financial statements. For Adobe (XSWX:ADBE), the current EV-to-EBIT is 10.34 as of Jul. 21, 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 (XSWX:ADBE) Overvalued in 2026?

Based on GuruFocus' analysis, Adobe stock appears to be undervalued. The current stock price of CHF187.48 is trading 59.8% below its estimated GF Value™ of CHF465.81.

Key valuation signals for XSWX:ADBE:

  • EV-to-EBIT: 10.34 (73% below median its 10-year median of 38.30)
  • GF Value™: CHF465.81 vs. price of CHF187.48 (59.8% below fair value)
  • GF Score™: 82/100
  • Industry Position: 27.3% below the Software median (#645 of 1770)

No single metric tells the full story. See the XSWX: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).
82GF Score

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EV-to-EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

CHF187.48
Price
CHF465.81
GF Value