Short Interest in ADTRAN Holdings, Inc. (NASDAQ:ADTN) Increases By 15.7%

Key Points

• Short interest rose 15.7% to 9,489,805 shares as of April 15, equal to about 12.0% of shares outstanding and a short-interest ratio of 3.9 days based on average daily volume.
• Recent quarter beat estimates — ADTRAN reported $0.16 EPS (vs. $0.08 est.) and revenue of $291.6M (vs. $281.1M), with revenue up 20% year-over-year, though net margin remained negative at -4.15%.
• Analyst sentiment is mixed: four Buys, two Holds and one Sell produce a MarketBeat consensus of "Hold" with an average price target of $17.00, while institutional investors own about 80.6% of the stock.

ADTRAN Holdings, Inc. (NASDAQ:ADTN - Get Free Report) was the target of a large growth in short interest in the month of April. As of April 15th, there was short interest totaling 9,489,805 shares, a growth of 15.7% from the March 31st total of 8,203,823 shares. Currently, 12.0% of the shares of the company are short sold. Based on an average daily trading volume, of 2,407,352 shares, the short-interest ratio is presently 3.9 days.

ADTRAN Price Performance

Shares of NASDAQ:ADTN opened at $17.69 on Friday. The company has a market cap of $1.43 billion, a price-to-earnings ratio of -34.69 and a beta of 1.23. The company has a debt-to-equity ratio of 1.50, a current ratio of 1.76 and a quick ratio of 1.16. The firm has a 50 day simple moving average of $12.93 and a 200 day simple moving average of $10.33. ADTRAN has a one year low of $7.11 and a one year high of $17.99.

ADTRAN (NASDAQ:ADTN - Get Free Report) last issued its quarterly earnings data on Thursday, February 26th. The communications equipment provider reported $0.16 EPS for the quarter, beating the consensus estimate of $0.08 by $0.08. The business had revenue of $291.56 million during the quarter, compared to the consensus estimate of $281.12 million. ADTRAN had a negative net margin of 4.15% and a positive return on equity of 4.23%. The company's revenue was up 20.0% on a year-over-year basis. Research analysts predict that ADTRAN will post 0.32 earnings per share for the current fiscal year.

Analyst Ratings Changes

ADTN has been the subject of several research analyst reports. Weiss Ratings reaffirmed a "sell (d-)" rating on shares of ADTRAN in a report on Thursday, April 2nd. Needham & Company LLC set a $18.00 price objective on shares of ADTRAN and gave the company a "buy" rating in a report on Thursday, April 9th. Wall Street Zen downgraded shares of ADTRAN from a "strong-buy" rating to a "buy" rating in a report on Saturday, March 21st. Rosenblatt Securities boosted their price objective on shares of ADTRAN from $11.00 to $16.00 and gave the company a "buy" rating in a report on Friday, February 27th. Finally, Evercore assumed coverage on shares of ADTRAN in a report on Tuesday, April 14th. They issued an "outperform" rating and a $18.00 price objective for the company. Four investment analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat.com, ADTRAN presently has a consensus rating of "Hold" and an average price target of $17.00.

Hedge Funds Weigh In On ADTRAN

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. State of Alaska Department of Revenue bought a new position in ADTRAN in the 3rd quarter valued at approximately $36,000. Quarry LP bought a new position in ADTRAN in the 3rd quarter valued at approximately $36,000. Kestra Advisory Services LLC bought a new position in ADTRAN in the 4th quarter valued at approximately $36,000. ST Germain D J Co. Inc. lifted its stake in ADTRAN by 100.0% in the 4th quarter. ST Germain D J Co. Inc. now owns 5,000 shares of the communications equipment provider's stock valued at $43,000 after purchasing an additional 2,500 shares during the last quarter. Finally, Caitong International Asset Management Co. Ltd acquired a new position in ADTRAN in the 4th quarter valued at approximately $47,000. Institutional investors own 80.56% of the company's stock.

ADTRAN Company Profile

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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