Adobe Shares Sink On Weak Fiscal 2016 EPS Outlook

By MarketWatch Pulse

Shares of Adobe Systems Inc. sank in Tuesday's extended trade after the company released a weak earnings outlook for fiscal year 2016. Adobe projected earnings per share of $1.80 and adjusted EPS of $2.70 in fiscal 2016. Analysts surveyed by FactSet had estimated the maker of Photoshop, Illustrator design software and PDF to earn $3.21 a share on an adjusted basis. Adobe also said it is targeting revenue to grow 20% and adjusted EPS to rise 30% between fiscal 2015 to 2018. Adobe shares slumped 11% in after-hours trade.

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