ADTRAN (NASDAQ:ADTN) Lowered to Buy Rating by Wall Street Zen

Key Points

• Wall Street Zen downgraded ADTRAN from “strong buy” to “buy,” while the broader analyst consensus remains “Moderate Buy” with an average price target of $18.20.
• ADTRAN opened at $9.50, well below its 52-week high of $19.98. Recent analyst targets range from $14 to $21, though several firms reduced their price objectives.
• The company beat quarterly earnings expectations, reporting $0.14 EPS versus a $0.09 consensus and $286.09 million in revenue, up 15.5% year over year.

ADTRAN (NASDAQ:ADTN - Get Free Report) was downgraded by equities researchers at Wall Street Zen from a "strong-buy" rating to a "buy" rating in a research report issued on Tuesday.

A number of other analysts have also recently commented on ADTN. Rosenblatt Securities restated a "buy" rating and issued a $20.00 price objective on shares of ADTRAN in a research report on Thursday, July 23rd. Needham & Company LLC decreased their target price on ADTRAN from $18.00 to $14.00 and set a "buy" rating on the stock in a research report on Thursday, July 23rd. Weiss Ratings reissued a "sell (d-)" rating on shares of ADTRAN in a report on Tuesday, June 30th. Evercore started coverage on shares of ADTRAN in a research report on Tuesday, April 14th. They set an "outperform" rating and a $18.00 price objective for the company. Finally, B. Riley Financial reaffirmed a "buy" rating and set a $21.00 price objective (down from $23.00) on shares of ADTRAN in a report on Thursday, July 23rd. Four equities research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $18.20.

ADTRAN Stock Performance

NASDAQ ADTN opened at $9.50 on Tuesday. The stock has a 50-day simple moving average of $14.19 and a two-hundred day simple moving average of $12.77. The company has a debt-to-equity ratio of 1.59, a quick ratio of 1.18 and a current ratio of 1.77. The firm has a market capitalization of $773.77 million, a P/E ratio of -24.36 and a beta of 1.44. ADTRAN has a fifty-two week low of $7.11 and a fifty-two week high of $19.98.

ADTRAN (NASDAQ:ADTN - Get Free Report) last announced its quarterly earnings results on Tuesday, May 5th. The communications equipment provider reported $0.14 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.09 by $0.05. ADTRAN had a positive return on equity of 10.94% and a negative net margin of 3.18%.The company had revenue of $286.09 million during the quarter, compared to the consensus estimate of $285.48 million. During the same period in the previous year, the company posted $0.03 earnings per share. ADTRAN's revenue for the quarter was up 15.5% on a year-over-year basis. On average, equities analysts forecast that ADTRAN will post 0.38 earnings per share for the current year.

Institutional Trading of ADTRAN

A number of institutional investors have recently made changes to their positions in ADTN. Quarry LP purchased a new position in ADTRAN in the 3rd quarter valued at $36,000. Kestra Advisory Services LLC acquired a new stake in shares of ADTRAN in the fourth quarter valued at about $36,000. ST Germain D J Co. Inc. raised its position in shares of ADTRAN by 100.0% in the fourth quarter. ST Germain D J Co. Inc. now owns 5,000 shares of the communications equipment provider's stock valued at $43,000 after buying an additional 2,500 shares during the last quarter. Caitong International Asset Management Co. Ltd purchased a new stake in ADTRAN during the 4th quarter valued at about $47,000. Finally, Freestone Grove Partners LP purchased a new stake in ADTRAN during the 4th quarter valued at about $87,000. 80.56% of the stock is owned by institutional investors and hedge funds.

About ADTRAN

ADTRAN, Inc is a global provider of networking and communications equipment, specializing in broadband access solutions for service providers, enterprises and government organizations. Founded in 1985 and headquartered in Huntsville, Alabama, the company develops and delivers hardware and software platforms that enable high-speed Internet access over fiber, copper and wireless networks. Its core offerings include fiber access and aggregation equipment, Ethernet switches, customer premises equipment (CPE) and network management systems designed to support both legacy and next-generation broadband deployments.

The company's product portfolio encompasses a broad range of optical line terminals (OLTs), optical network terminals (ONTs), multiservice access gateways and virtualized access solutions.

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