FBR Raises Adobe's (NASDAQ:ADBE) EPS, Revenue Estimates

Better than expected results in their latest quarter and improved guidance has FBR also raising their EPS and revenue estimates on Adobe (NASDAQ:ADBE) for the first fiscal quarter of 2011.

FBR said, "Last night, Adobe reported a good quarter, with upside to revenues and EPS. Given the increasingly lowered expectations heading into earnings, we believe investors will view the results as better than feared."

"For F1Q11, we are raising our revenue and pro forma EPS estimates
from $986 million and $0.51 to $1.03 billion and $0.57. While revenues typically decline sequentially in F1Q, management expects them to be flat to slightly up sequentially due to the improvement in demand in late F4Q10. For FY11, we are raising our revenue and pro forma EPS estimates from $4.05 billion and $2.11 to $4.20 billion and $2.32."

FBR Capital maintains a "Market Perform" on Adobe, which closed Tuesday at $30.93, up $1.75, or 6.01 percent. They raised their price target on them to $33.