ADTRAN (NASDAQ:ADTN) Trading 8.8% Higher – Should You Buy?

ADTRAN Holdings, Inc. (NASDAQ:ADTN)’s stock price traded up 8.8% during trading on Monday . The company traded as high as $16.74 and last traded at $16.7040. 665,968 shares traded hands during trading, a decline of 67% from the average session volume of 2,000,666 shares. The stock had previously closed at $15.35.

Analyst Upgrades and Downgrades

A number of equities analysts have recently commented on the stock. Wall Street Zen lowered shares of ADTRAN from a “strong-buy” rating to a “buy” rating in a research report on Sunday, May 17th. Evercore assumed coverage on shares of ADTRAN in a research report on Tuesday, April 14th. They set an “outperform” rating and a $18.00 target price on the stock. Needham & Company LLC reaffirmed a “buy” rating and set a $18.00 target price on shares of ADTRAN in a research report on Wednesday, May 6th. Rosenblatt Securities raised their target price on shares of ADTRAN from $16.00 to $20.00 and gave the stock a “buy” rating in a research report on Wednesday, May 6th. Finally, Northland Securities set a $18.00 target price on shares of ADTRAN in a research report on Wednesday, May 6th. Four research 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. According to data from MarketBeat.com, ADTRAN presently has an average rating of “Hold” and a consensus target price of $18.00.

ADTRAN Trading Down 11.0%

The company has a market capitalization of $1.16 billion, a PE ratio of -36.56 and a beta of 1.42. The company’s fifty day moving average is $15.58 and its 200-day moving average is $11.64. The company has a debt-to-equity ratio of 1.59, a current ratio of 1.77 and a quick ratio of 1.18.

ADTRAN (NASDAQ:ADTN) last issued its quarterly earnings results on Tuesday, May 5th. The communications equipment provider reported $0.14 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.09 by $0.05. The business had revenue of $286.09 million for the quarter, compared to the consensus estimate of $285.48 million. ADTRAN had a positive return on equity of 10.94% and a negative net margin of 3.18%.The business’s quarterly revenue was up 15.5% on a year-over-year basis. During the same period in the prior year, the firm posted $0.03 earnings per share. On average, analysts anticipate that ADTRAN Holdings, Inc. will post 0.43 EPS for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Bank of America Corp DE increased its stake in shares of ADTRAN by 12.4% during the first quarter. Bank of America Corp DE now owns 367,226 shares of the communications equipment provider’s stock worth $4,620,000 after purchasing an additional 40,595 shares in the last quarter. Quantinno Capital Management LP grew its holdings in shares of ADTRAN by 18.7% in the first quarter. Quantinno Capital Management LP now owns 52,455 shares of the communications equipment provider’s stock valued at $660,000 after purchasing an additional 8,281 shares during the period. Entropy Technologies LP grew its stake in shares of ADTRAN by 53.6% in the 1st quarter. Entropy Technologies LP now owns 15,793 shares of the communications equipment provider’s stock valued at $199,000 after buying an additional 5,510 shares during the period. Arrowstreet Capital Limited Partnership grew its stake in shares of ADTRAN by 60.2% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 455,647 shares of the communications equipment provider’s stock valued at $5,732,000 after buying an additional 171,145 shares during the period. Finally, Caxton Associates LLP purchased a new stake in shares of ADTRAN in the 1st quarter valued at approximately $308,000. 80.56% of the stock is currently 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.