BMO Capital analyst Keith Bachman raised his price target on Adobe to $278 and kept his Outperform rating after "another strong quarter" in Q2. The analyst cites the company posting upside revenue and free cash flow results, along with an operating margin expansion of 280bps, even though that expansion has slowed relative to Adobe's past quarters. Bachman anticipates further operating margin expansion of 270bps in FY18 and 220bps in FY19, saying Adobe can "strike the balance" between margins and sustaining revenue growth trends through "nurturing investments".