ADTRAN (NASDAQ:ADTN) Earns Buy Rating from Analysts at B. Riley

Key Points

• Investment analysts at B. Riley have initiated coverage of ADTRAN with a "buy" rating and a price target of $16.00, suggesting a potential upside of 82.44% from its current stock price.
• ADTRAN's recent earnings report showed a significant revenue increase of 17.3% year-over-year, although it missed the consensus EPS estimate, reporting a loss of ($0.26) per share.
• Institutional investors have notably increased their stakes in ADTRAN, with 80.56% of the stock now owned by these investors, indicating strong institutional interest in the company.

B. Riley began coverage on shares of ADTRAN (NASDAQ:ADTN - Free Report) in a research note released on Thursday, MarketBeat Ratings reports. The firm issued a buy rating and a $16.00 target price on the communications equipment provider's stock.

Other research analysts have also recently issued reports about the stock. Wolfe Research started coverage on shares of ADTRAN in a research note on Monday, July 7th. They set a "peer perform" rating for the company. Wall Street Zen downgraded shares of ADTRAN from a "buy" rating to a "hold" rating in a research report on Saturday, August 30th. Five equities research analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $12.80.

ADTRAN Price Performance

NASDAQ:ADTN traded down $0.07 during trading hours on Thursday, hitting $9.44. 382,213 shares of the stock were exchanged, compared to its average volume of 1,215,572. ADTRAN has a 52-week low of $5.59 and a 52-week high of $12.44. The firm's fifty day moving average price is $9.29 and its 200 day moving average price is $8.64. The company has a current ratio of 1.96, a quick ratio of 1.19 and a debt-to-equity ratio of 1.12. The company has a market cap of $754.61 million, a P/E ratio of -7.19 and a beta of 1.39.

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 analysts' expectations of $255.57 million. ADTRAN had a negative return on equity of 10.09% and a negative net margin of 11.02%.ADTRAN's quarterly revenue was up 17.3% on a year-over-year basis. During the same quarter last year, the firm posted ($0.24) earnings per share. As a group, equities research analysts anticipate that ADTRAN will post -0.5 EPS for the current fiscal year.

Institutional Trading of ADTRAN

Several institutional investors and hedge funds have recently added to or reduced their stakes in ADTN. Cape Investment Advisory Inc. purchased a new position in ADTRAN during the 2nd quarter valued at $27,000. FNY Investment Advisers LLC acquired a new position in ADTRAN during the 1st quarter worth $65,000. New York State Teachers Retirement System purchased a new position in shares of ADTRAN during the 2nd quarter worth approximately $65,000. Park Avenue Securities LLC acquired a new stake in shares of ADTRAN in the 2nd quarter worth approximately $91,000. Finally, Ballentine Partners LLC purchased a new position in shares of ADTRAN in the 1st quarter worth $94,000. Institutional investors own 80.56% of the company's stock.

ADTRAN Company Profile

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.