Insider Buying: ADTRAN (NASDAQ:ADTN) CEO Buys $601,500.00 in Stock

Key Points

• ADTRAN CEO Thomas Stanton was reported to have acquired 150,000 shares at an average of $4.01, a $601,500 transaction that increased his holdings by 11.9% to 1,410,890 shares. The article also says the transaction was related to tax-withholding obligations, though it describes it as a sale in that passage.
• ADTRAN beat quarterly EPS estimates, reporting $0.09 versus the expected $0.04, but revenue of $281.17 million came in below expectations; revenue was up 0.6% year over year.
• Analyst views are mixed: the consensus rating is Hold, with an average price target of $11.21, while recent reports included both a downgrade and substantial target-price cuts.

ADTRAN Holdings, Inc. (NASDAQ:ADTN - Get Free Report) CEO Thomas Stanton acquired 150,000 shares of the business's stock in a transaction on Friday, November 6th. The stock was acquired at an average cost of $4.01 per share, for a total transaction of $601,500.00. Following the transaction, the chief executive officer owned 1,410,890 shares of the company's stock, valued at approximately $5,657,668.90. The trade was a 11.90% increase in their position. The acquisition was disclosed in a filing with the SEC, which can be accessed through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards.

ADTRAN Stock Performance

NASDAQ:ADTN traded up $0.25 during trading on Monday, reaching $4.29. The company's stock had a trading volume of 3,117,281 shares, compared to its average volume of 2,012,813. ADTRAN Holdings, Inc. has a 12 month low of $3.92 and a 12 month high of $19.98. The firm has a market cap of $349.55 million, a price-to-earnings ratio of -16.50, a price-to-earnings-growth ratio of 2.47 and a beta of 1.53. The firm has a 50 day moving average of $6.83 and a 200-day moving average of $10.93. The company has a debt-to-equity ratio of 2.32, a quick ratio of 1.23 and a current ratio of 1.89.

ADTRAN (NASDAQ:ADTN - Get Free Report) last released its earnings results on Tuesday, November 3rd. The communications equipment provider reported $0.09 EPS for the quarter, topping analysts' consensus estimates of $0.04 by $0.05. The company had revenue of $281.17 million for the quarter, compared to analysts' expectations of $285.15 million. ADTRAN had a positive return on equity of 17.76% and a negative net margin of 2.20%. The business's revenue for the quarter was up .6% compared to the same quarter last year. During the same period in the previous year, the business posted $0.05 EPS. Research analysts expect that ADTRAN Holdings, Inc. will post 0.16 EPS for the current fiscal year.

Analyst Upgrades and Downgrades

A number of research firms recently issued reports on ADTN. B. Riley Financial reiterated a "buy" rating and set a $14.00 price objective (down from $21.00) on shares of ADTRAN in a research note on Wednesday, November 4th. Rosenblatt Securities downgraded ADTRAN from a "buy" rating to a "neutral" rating and cut their target price for the stock from $15.00 to $6.25 in a research note on Tuesday, November 3rd. Weiss Ratings lowered ADTRAN from a "sell (d-)" rating to a "sell (e+)" rating in a report on Wednesday, September 16th. Craig Hallum set a $12.00 price target on ADTRAN in a research report on Wednesday, August 5th. Finally, Zacks Research upgraded ADTRAN from a "strong sell" rating to a "hold" rating in a research report on Monday, October 5th. Three research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, ADTRAN currently has a consensus rating of "Hold" and an average target price of $11.21.

Institutional Investors Weigh In On ADTRAN

Several hedge funds have recently bought and sold shares of the stock. State of Alaska Department of Revenue increased its holdings in shares of ADTRAN by 44.3% in the 3rd quarter. State of Alaska Department of Revenue now owns 5,589 shares of the communications equipment provider's stock worth $38,000 after buying an additional 1,717 shares during the last quarter. Integrated Wealth Concepts LLC purchased a new position in ADTRAN in the second quarter worth $27,000. Persistent Asset Partners Ltd purchased a new position in ADTRAN in the second quarter worth $28,000. Swiss National Bank increased its stake in ADTRAN by 2.1% in the first quarter. Swiss National Bank now owns 142,600 shares of the communications equipment provider's stock valued at $1,794,000 after acquiring an additional 2,900 shares during the last quarter. Finally, Entropy Technologies LP increased its stake in ADTRAN by 53.6% in the first quarter. Entropy Technologies LP now owns 15,793 shares of the communications equipment provider's stock valued at $199,000 after acquiring an additional 5,510 shares during the last quarter. 80.56% of the stock is currently owned by institutional investors.

About ADTRAN

ADTRAN Holdings, Inc NASDAQ: ADTN is a global telecommunications equipment and networking company that provides communications infrastructure for service providers, enterprises and other organizations. The company develops solutions that help network operators deliver broadband, voice, data and cloud-connected services over fiber, copper, wireless and other access technologies.

Its portfolio includes fiber access systems, passive optical networking equipment, broadband access platforms, Ethernet and data networking products, routers, switches, Wi-Fi solutions, fixed wireless access equipment and software for network management and automation.

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