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ADBE vs. WDC: A Head-to-Head Stock Comparison

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Here’s a clear look at ADBE and WDC, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolADBEWDC
Company NameAdobe Inc.Western Digital Corporation
CountryUnited StatesUnited States
GICS SectorInformation TechnologyInformation Technology
GICS IndustrySoftwareTechnology Hardware, Storage & Peripherals
Market Capitalization149.93 billion USD26.24 billion USD
ExchangeNasdaqGSNasdaqGS
Listing DateAugust 13, 1986October 31, 1978
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of ADBE and WDC by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

ADBE vs. WDC: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolADBEWDC
5-Day Price Return1.39%-0.79%
13-Week Price Return-15.99%49.13%
26-Week Price Return-23.04%48.17%
52-Week Price Return-37.24%53.77%
Month-to-Date Return-1.19%-3.88%
Year-to-Date Return-20.52%67.87%
10-Day Avg. Volume3.74M5.75M
3-Month Avg. Volume3.60M6.77M
3-Month Volatility26.08%30.47%
Beta1.511.73

Profitability

Return on Equity (TTM)

ADBE

51.65%

Software Industry

Max
59.01%
Q3
21.98%
Median
7.15%
Q1
-11.12%
Min
-51.24%

In the upper quartile for the Software industry, ADBE’s Return on Equity of 51.65% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

WDC

21.49%

Technology Hardware, Storage & Peripherals Industry

Max
47.24%
Q3
29.40%
Median
9.11%
Q1
6.06%
Min
-0.79%

WDC’s Return on Equity of 21.49% is on par with the norm for the Technology Hardware, Storage & Peripherals industry, indicating its profitability relative to shareholder equity is typical for the sector.

ADBE vs. WDC: A comparison of their Return on Equity (TTM) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Net Profit Margin (TTM)

ADBE

30.39%

Software Industry

Max
48.14%
Q3
18.23%
Median
5.60%
Q1
-9.22%
Min
-49.36%

A Net Profit Margin of 30.39% places ADBE in the upper quartile for the Software industry, signifying strong profitability and more effective cost management than most of its peers.

WDC

14.23%

Technology Hardware, Storage & Peripherals Industry

Max
13.86%
Q3
8.17%
Median
4.62%
Q1
3.65%
Min
-0.21%

WDC’s Net Profit Margin of 14.23% is exceptionally high, placing it well beyond the typical range for the Technology Hardware, Storage & Peripherals industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

ADBE vs. WDC: A comparison of their Net Profit Margin (TTM) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Operating Profit Margin (TTM)

ADBE

36.37%

Software Industry

Max
57.34%
Q3
20.60%
Median
7.84%
Q1
-8.72%
Min
-51.37%

An Operating Profit Margin of 36.37% places ADBE in the upper quartile for the Software industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

WDC

22.10%

Technology Hardware, Storage & Peripherals Industry

Max
17.80%
Q3
10.33%
Median
6.31%
Q1
4.86%
Min
2.53%

WDC’s Operating Profit Margin of 22.10% is exceptionally high, placing it well above the typical range for the Technology Hardware, Storage & Peripherals industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

ADBE vs. WDC: A comparison of their Operating Profit Margin (TTM) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Profitability at a Glance

SymbolADBEWDC
Return on Equity (TTM)51.65%21.49%
Return on Assets (TTM)23.26%9.38%
Net Profit Margin (TTM)30.39%14.23%
Operating Profit Margin (TTM)36.37%22.10%
Gross Profit Margin (TTM)89.25%38.00%

Financial Strength

Current Ratio (MRQ)

ADBE

0.99

Software Industry

Max
3.83
Q3
2.31
Median
1.45
Q1
1.03
Min
0.24

ADBE’s Current Ratio of 0.99 falls into the lower quartile for the Software industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

WDC

1.08

Technology Hardware, Storage & Peripherals Industry

Max
2.47
Q3
1.98
Median
1.40
Q1
1.26
Min
0.70

WDC’s Current Ratio of 1.08 falls into the lower quartile for the Technology Hardware, Storage & Peripherals industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

ADBE vs. WDC: A comparison of their Current Ratio (MRQ) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Debt-to-Equity Ratio (MRQ)

ADBE

0.54

Software Industry

Max
2.14
Q3
0.90
Median
0.29
Q1
0.00
Min
0.00

ADBE’s Debt-to-Equity Ratio of 0.54 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

WDC

0.85

Technology Hardware, Storage & Peripherals Industry

Max
1.47
Q3
0.93
Median
0.32
Q1
0.19
Min
0.00

WDC’s Debt-to-Equity Ratio of 0.85 is typical for the Technology Hardware, Storage & Peripherals industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

ADBE vs. WDC: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Interest Coverage Ratio (TTM)

ADBE

67.02

Software Industry

Max
67.02
Q3
19.86
Median
0.70
Q1
-12.50
Min
-53.00

ADBE’s Interest Coverage Ratio of 67.02 is in the upper quartile for the Software industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

WDC

2.04

Technology Hardware, Storage & Peripherals Industry

Max
204.63
Q3
90.22
Median
21.70
Q1
6.79
Min
-23.93

In the lower quartile for the Technology Hardware, Storage & Peripherals industry, WDC’s Interest Coverage Ratio of 2.04 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

ADBE vs. WDC: A comparison of their Interest Coverage Ratio (TTM) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Financial Strength at a Glance

SymbolADBEWDC
Current Ratio (MRQ)0.991.08
Quick Ratio (MRQ)0.850.84
Debt-to-Equity Ratio (MRQ)0.540.85
Interest Coverage Ratio (TTM)67.022.04

Growth

Revenue Growth

ADBE vs. WDC: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

ADBE vs. WDC: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

ADBE

0.00%

Software Industry

Max
0.08%
Q3
0.03%
Median
0.00%
Q1
0.00%
Min
0.00%

ADBE currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

WDC

0.00%

Technology Hardware, Storage & Peripherals Industry

Max
4.50%
Q3
3.66%
Median
1.90%
Q1
0.00%
Min
0.00%

WDC currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

ADBE vs. WDC: A comparison of their Dividend Yield (TTM) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Dividend Payout Ratio (TTM)

ADBE

0.00%

Software Industry

Max
1.32%
Q3
0.53%
Median
0.00%
Q1
0.00%
Min
0.00%

ADBE has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

WDC

15.60%

Technology Hardware, Storage & Peripherals Industry

Max
142.87%
Q3
66.07%
Median
42.79%
Q1
0.00%
Min
0.00%

WDC’s Dividend Payout Ratio of 15.60% is within the typical range for the Technology Hardware, Storage & Peripherals industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

ADBE vs. WDC: A comparison of their Dividend Payout Ratio (TTM) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Dividend at a Glance

SymbolADBEWDC
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%15.60%

Valuation

Price-to-Earnings Ratio (TTM)

ADBE

22.30

Software Industry

Max
149.35
Q3
100.21
Median
47.97
Q1
26.77
Min
11.68

In the lower quartile for the Software industry, ADBE’s P/E Ratio of 22.30 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

WDC

13.66

Technology Hardware, Storage & Peripherals Industry

Max
43.16
Q3
27.56
Median
17.85
Q1
12.48
Min
6.21

WDC’s P/E Ratio of 13.66 is within the middle range for the Technology Hardware, Storage & Peripherals industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

ADBE vs. WDC: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Price-to-Sales Ratio (TTM)

ADBE

6.78

Software Industry

Max
25.24
Q3
13.52
Median
8.15
Q1
4.87
Min
0.98

ADBE’s P/S Ratio of 6.78 aligns with the market consensus for the Software industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

WDC

1.94

Technology Hardware, Storage & Peripherals Industry

Max
4.27
Q3
1.99
Median
0.93
Q1
0.45
Min
0.04

WDC’s P/S Ratio of 1.94 aligns with the market consensus for the Technology Hardware, Storage & Peripherals industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

ADBE vs. WDC: A comparison of their Price-to-Sales Ratio (TTM) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Price-to-Book Ratio (MRQ)

ADBE

15.45

Software Industry

Max
30.95
Q3
14.91
Median
7.75
Q1
3.60
Min
0.38

ADBE’s P/B Ratio of 15.45 is in the upper tier for the Software industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

WDC

3.99

Technology Hardware, Storage & Peripherals Industry

Max
12.51
Q3
6.11
Median
1.73
Q1
1.01
Min
0.31

WDC’s P/B Ratio of 3.99 is within the conventional range for the Technology Hardware, Storage & Peripherals industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

ADBE vs. WDC: A comparison of their Price-to-Book Ratio (MRQ) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Valuation at a Glance

SymbolADBEWDC
Price-to-Earnings Ratio (TTM)22.3013.66
Price-to-Sales Ratio (TTM)6.781.94
Price-to-Book Ratio (MRQ)15.453.99
Price-to-Free Cash Flow Ratio (TTM)16.2318.27