Adobe Falls Despite Earnings Beat

Adobe Systems Inc. shares declined in late trading Tuesday after the company revealed quarterly earnings that beat analysts' expectations. The Silicon Valley software company announced quarterly profit of $244.1 million, or 48 cents a share, on sales of $1.4 billion; after adjustments for stock-based compensation and other factors, Adobe claimed profit of 71 cents a share. Analysts polled by FactSet expected on average adjusted earnings of 68 cents a share on sales of $1.4 billion. "Based on our first half performance and momentum, we're on track to meet or exceed all of our annual fiscal year 2016 targets," Chief Financial Officer Mark Garrett said in Tuesday's news release. Adobe shares fell more than 4% in immediate late trading following the announcement, after closing with a 1.8% increase at $99.72.