Needham Investment Management LLC Sells 125,000 Shares of ADTRAN Holdings, Inc. $ADTN

Key Points

• Needham Investment Management LLC reduced its stake in ADTRAN Holdings, Inc. by 10%, decreasing its ownership to approximately 1.4% of the company.
• Several investors, including GAMMA Investing LLC and Invesco Ltd., significantly increased their positions in ADTRAN during the first quarter of the year.
• ADTRAN reported a loss of ($0.26) EPS in its latest earnings release, missing expectations, but also achieved a 17.3% year-over-year revenue increase to $265.07 million.

Needham Investment Management LLC trimmed its position in shares of ADTRAN Holdings, Inc. (NASDAQ:ADTN - Free Report) by 10.0% during the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 1,120,000 shares of the communications equipment provider's stock after selling 125,000 shares during the period. Needham Investment Management LLC owned about 1.40% of ADTRAN worth $9,766,000 as of its most recent SEC filing.

A number of other large investors also recently modified their holdings of ADTN. Royce & Associates LP increased its stake in ADTRAN by 188.5% in the 1st quarter. Royce & Associates LP now owns 1,406,500 shares of the communications equipment provider's stock worth $12,265,000 after purchasing an additional 919,000 shares during the period. Invesco Ltd. increased its stake in ADTRAN by 325.4% in the 1st quarter. Invesco Ltd. now owns 1,183,180 shares of the communications equipment provider's stock worth $10,317,000 after purchasing an additional 905,056 shares during the period. Vanguard Group Inc. increased its stake in ADTRAN by 7.6% in the 1st quarter. Vanguard Group Inc. now owns 7,093,931 shares of the communications equipment provider's stock worth $61,859,000 after purchasing an additional 501,512 shares during the period. Alyeska Investment Group L.P. purchased a new position in ADTRAN in the 1st quarter worth approximately $3,883,000. Finally, Apis Capital Advisors LLC purchased a new position in ADTRAN in the 1st quarter worth approximately $3,793,000. 80.56% of the stock is owned by hedge funds and other institutional investors.

ADTRAN Stock Performance

Shares of ADTN stock traded down $0.01 during trading hours on Thursday, reaching $10.34. 239,784 shares of the company traded hands, compared to its average volume of 1,081,703. ADTRAN Holdings, Inc. has a 12-month low of $5.11 and a 12-month high of $12.44. The company has a debt-to-equity ratio of 1.12, a current ratio of 1.96 and a quick ratio of 1.19. The company has a market cap of $826.59 million, a P/E ratio of -7.89 and a beta of 1.39. The firm has a 50-day moving average price of $9.26 and a 200 day moving average price of $8.70.

ADTRAN (NASDAQ:ADTN - Get Free Report) last issued its earnings results on Monday, August 4th. The communications equipment provider reported ($0.26) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.01 by ($0.27). ADTRAN had a negative net margin of 11.02% and a negative return on equity of 10.09%. The business had revenue of $265.07 million for the quarter, compared to the consensus estimate of $255.57 million. During the same period last year, the business posted ($0.24) EPS. The firm's revenue for the quarter was up 17.3% compared to the same quarter last year. As a group, sell-side analysts predict that ADTRAN Holdings, Inc. will post -0.5 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

ADTN has been the topic of a number of analyst reports. Wolfe Research initiated coverage on ADTRAN in a research note on Monday, July 7th. They issued a "peer perform" rating on the stock. Wall Street Zen cut ADTRAN from a "buy" rating to a "hold" rating in a research note on Saturday, August 30th. Four analysts have rated the stock with a Buy rating and one has given a Hold rating to the company. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $12.00.

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.