ADTRAN (NASDAQ:ADTN) Downgraded by Wall Street Zen to "Buy"

Key Points

• ADTRAN was downgraded from a "strong-buy" to a "buy" rating by Wall Street Zen, indicating a shift in analysts' outlook on the stock.
• Despite the downgrade, ADTRAN has a consensus price target set at $12.00, with most analysts maintaining a positive rating.
• The company's latest earnings report showed a revenue increase of 17.3% year-over-year, but it missed profit expectations, reporting a loss of ($0.26) per share.

Wall Street Zen cut shares of ADTRAN (NASDAQ:ADTN - Free Report) from a strong-buy rating to a buy rating in a research note published on Sunday.

Several other equities analysts also recently issued reports on ADTN. Rosenblatt Securities decreased their price objective on shares of ADTRAN from $15.00 to $11.00 and set a "buy" rating on the stock in a report on Tuesday, April 22nd. Needham & Company LLC reduced their target price on shares of ADTRAN from $14.00 to $12.00 and set a "buy" rating on the stock in a research note on Friday, May 9th. Finally, Wolfe Research started coverage on shares of ADTRAN in a research note on Monday, July 7th. They set a "peer perform" rating on the stock. One equities research analyst has rated the stock with a hold rating and five have assigned a buy rating to the company's stock. According to data from MarketBeat, ADTRAN presently has a consensus rating of "Moderate Buy" and an average price target of $12.00.

ADTRAN Stock Down 0.4%

Shares of ADTN traded down $0.04 during mid-day trading on Friday, hitting $8.55. The company's stock had a trading volume of 876,735 shares, compared to its average volume of 1,378,800. The company's 50-day moving average is $8.81 and its 200-day moving average is $8.92. ADTRAN has a 52-week low of $4.66 and a 52-week high of $12.44. The firm has a market capitalization of $683.99 million, a price-to-earnings ratio of -6.53 and a beta of 1.30. The company has a current ratio of 1.96, a quick ratio of 1.19 and a debt-to-equity ratio of 1.12.

ADTRAN (NASDAQ:ADTN - Get Free Report) last posted its quarterly earnings data on Monday, August 4th. The communications equipment provider reported ($0.26) EPS for the quarter, missing the consensus estimate of $0.01 by ($0.27). The firm had revenue of $265.07 million for the quarter, compared to the consensus estimate of $255.57 million. ADTRAN had a negative return on equity of 10.09% and a negative net margin of 11.02%. The company's revenue was up 17.3% compared to the same quarter last year. During the same quarter last year, the firm earned ($0.24) EPS. On average, equities research analysts forecast that ADTRAN will post -0.5 EPS for the current fiscal year.

Institutional Trading of ADTRAN

Several institutional investors have recently modified their holdings of ADTN. Integrated Quantitative Investments LLC purchased a new stake in ADTRAN in the 2nd quarter valued at $290,000. SG Capital Management LLC purchased a new stake in ADTRAN in the 2nd quarter valued at $7,601,000. Creative Planning raised its position in ADTRAN by 5.7% in the 2nd quarter. Creative Planning now owns 63,774 shares of the communications equipment provider's stock valued at $572,000 after purchasing an additional 3,424 shares during the last quarter. SG Americas Securities LLC raised its position in ADTRAN by 1.4% in the 2nd quarter. SG Americas Securities LLC now owns 237,207 shares of the communications equipment provider's stock valued at $2,128,000 after purchasing an additional 3,370 shares during the last quarter. Finally, Police & Firemen s Retirement System of New Jersey raised its position in ADTRAN by 19.7% in the 2nd quarter. Police & Firemen s Retirement System of New Jersey now owns 19,531 shares of the communications equipment provider's stock valued at $175,000 after purchasing an additional 3,217 shares during the last quarter. Hedge funds and other institutional investors own 80.56% of the company's stock.

About ADTRAN

ADTRAN Holdings, Inc, through its subsidiaries, provides networking and communications platforms, software, systems, and services in the United States, Germany, the United Kingdom, and internationally. It operates through two segments, Network Solutions, and Services & Support. It offers residential gateways; ethernet passive optical network ONUs; gigabit passive optical network/XGS-PON ONTs; traditional SSE, routers, and switches; edge cloud; carrier ethernet network interface devices; Optical Line Terminals; Packet Aggregation, Copper Access, and Oscilloquartz; optical transport and engine solutions; infrastructure monitoring solution; and training, professional, software, and managed services.