Is ADTRAN Stock a Good Investment?
ADTRAN Investment Advice | ADTN |
- Examine ADTRAN's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research ADTRAN's leadership team and their track record. Good management can help ADTRAN navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Communications Equipment space and any emerging trends that could impact ADTRAN's business and its evolving consumer preferences.
- Compare ADTRAN's performance and market position to its competitors. Analyze how ADTRAN is positioned in terms of product offerings, innovation, and market share.
- Check if ADTRAN pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about ADTRAN's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in ADTRAN Inc stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if ADTRAN Inc is a good investment.
Sell | Buy |
Strong Sell
Market Performance | OK | Details | |
Volatility | Somewhat reliable | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Moves indifferently to market moves | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine ADTRAN Stock
Researching ADTRAN's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 84.0% of the company shares are held by institutions such as insurance companies. The book value of ADTRAN was presently reported as 1.74. The company has Price/Earnings (P/E) ratio of 405.0. ADTRAN Inc recorded a loss per share of 1.61. The entity last dividend was issued on the 18th of August 2023. The firm had 2:1 split on the 16th of December 2003.
To determine if ADTRAN is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding ADTRAN's research are outlined below:
| The company reported the previous year's revenue of 922.72 M. Net Loss for the year was (441.05 M) with profit before overhead, payroll, taxes, and interest of 349.91 M. | |
| Over 84.0% of the company shares are held by institutions such as insurance companies | |
| Latest headline from zacks.com: ADTRAN Holdings Moves 9.2 percent Higher Will This Strength Last |
ADTRAN uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in ADTRAN Inc. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to ADTRAN's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 20th of February 2024 Upcoming Quarterly Report | View | |
| 13th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 20th of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact ADTRAN's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises ADTRAN's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2024-11-06 | 2024-09-30 | -0.04 | -0.05 | -0.01 | 25 | ||
2002-04-15 | 2002-03-31 | 0.05 | 0.06 | 0.01 | 20 | ||
2002-01-14 | 2001-12-31 | 0.07 | 0.08 | 0.01 | 14 | ||
2001-10-15 | 2001-09-30 | 0.06 | 0.07 | 0.01 | 16 | ||
1996-04-16 | 1996-03-31 | 0.1 | 0.11 | 0.01 | 10 | ||
2017-04-18 | 2017-03-31 | 0.12 | 0.14 | 0.02 | 16 | ||
2016-04-12 | 2016-03-31 | 0.08 | 0.1 | 0.02 | 25 | ||
2015-04-21 | 2015-03-31 | 0.08 | 0.06 | -0.02 | 25 |
Know ADTRAN's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as ADTRAN is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading ADTRAN Inc backward and forwards among themselves. ADTRAN's institutional investor refers to the entity that pools money to purchase ADTRAN's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Morgan Stanley - Brokerage Accounts | 2025-03-31 | 1 M | Tieton Capital Management, Llc | 2025-03-31 | 960.7 K | Westerly Capital Management Llc | 2025-03-31 | 835 K | Renaissance Technologies Corp | 2025-03-31 | 818.1 K | Bank Of New York Mellon Corp | 2025-03-31 | 802.6 K | Federated Hermes Inc | 2025-03-31 | 762.5 K | Northern Trust Corp | 2025-03-31 | 744.4 K | Charles Schwab Investment Management Inc | 2025-03-31 | 704.3 K | Kovack Advisors Inc | 2025-03-31 | 691.2 K | Blackrock Inc | 2025-03-31 | 7.6 M | Vanguard Group Inc | 2025-03-31 | 7.1 M |
ADTRAN's market capitalization trends
The company currently falls under 'Small-Cap' category with a current market capitalization of 753.91 M.Market Cap |
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ADTRAN's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | (0.54) | (0.51) | |
| Return On Capital Employed | (0.14) | (0.13) | |
| Return On Assets | (0.38) | (0.36) | |
| Return On Equity | (3.35) | (3.19) |
Determining ADTRAN's profitability involves analyzing its financial statements and using various financial metrics to determine if ADTRAN is a good buy. For example, gross profit margin measures ADTRAN's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of ADTRAN's profitability and make more informed investment decisions.
ADTRAN's Earnings Breakdown by Geography
Evaluate ADTRAN's management efficiency
ADTRAN Inc has return on total asset (ROA) of (0.0288) % which means that it has lost $0.0288 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of (0.1919) %, meaning that it created substantial loss on money invested by shareholders. ADTRAN's management efficiency ratios could be used to measure how well ADTRAN manages its routine affairs as well as how well it operates its assets and liabilities. As of the 23rd of July 2025, Return On Tangible Assets is likely to grow to -0.51. In addition to that, Return On Capital Employed is likely to grow to -0.13. At this time, ADTRAN's Other Current Assets are very stable compared to the past year. As of the 23rd of July 2025, Net Tangible Assets is likely to grow to about 379.9 M, while Total Assets are likely to drop about 687.9 M.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 7.06 | 5.69 | |
| Tangible Book Value Per Share | 2.78 | 2.64 | |
| Enterprise Value Over EBITDA | (2.49) | (2.37) | |
| Price Book Value Ratio | 4.89 | 8.56 | |
| Enterprise Value Multiple | (2.49) | (2.37) | |
| Price Fair Value | 4.89 | 8.56 | |
| Enterprise Value | 1 B | 2 B |
Understanding the operational decisions made by ADTRAN management offers insights into its financial robustness. This evaluation is crucial for assessing the stock's investment potential.
Beta 1.325 |
Basic technical analysis of ADTRAN Stock
As of the 23rd of July, ADTRAN shows the risk adjusted performance of 0.1213, and Mean Deviation of 2.06. ADTRAN Inc technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices.ADTRAN's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific ADTRAN insiders, such as employees or executives, is commonly permitted as long as it does not rely on ADTRAN's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases ADTRAN insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
ADTRAN's Outstanding Corporate Bonds
ADTRAN issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. ADTRAN Inc uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most ADTRAN bonds can be classified according to their maturity, which is the date when ADTRAN Inc has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| BNP Paribas FRN Corp BondUSF1R15XK367 | View | |
| Morgan Stanley 3971 Corp BondUS61744YAL20 | View | |
| ACRISURE FINANCE INC Corp BondUS00489LAF04 | View | |
| Acrisure LLC 144A Corp BondUS00489LAH69 | View |
Understand ADTRAN's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing ADTRAN's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.1213 | |||
| Market Risk Adjusted Performance | (38.71) | |||
| Mean Deviation | 2.06 | |||
| Semi Deviation | 1.99 | |||
| Downside Deviation | 2.21 | |||
| Coefficient Of Variation | 787.23 | |||
| Standard Deviation | 2.73 | |||
| Variance | 7.46 | |||
| Information Ratio | 0.0617 | |||
| Jensen Alpha | 0.3383 | |||
| Total Risk Alpha | (0.17) | |||
| Sortino Ratio | 0.0764 | |||
| Treynor Ratio | (38.72) | |||
| Maximum Drawdown | 12.57 | |||
| Value At Risk | (3.36) | |||
| Potential Upside | 5.11 | |||
| Downside Variance | 4.86 | |||
| Semi Variance | 3.95 | |||
| Expected Short fall | (2.46) | |||
| Skewness | 0.8459 | |||
| Kurtosis | 1.41 |
| Risk Adjusted Performance | 0.1213 | |||
| Market Risk Adjusted Performance | (38.71) | |||
| Mean Deviation | 2.06 | |||
| Semi Deviation | 1.99 | |||
| Downside Deviation | 2.21 | |||
| Coefficient Of Variation | 787.23 | |||
| Standard Deviation | 2.73 | |||
| Variance | 7.46 | |||
| Information Ratio | 0.0617 | |||
| Jensen Alpha | 0.3383 | |||
| Total Risk Alpha | (0.17) | |||
| Sortino Ratio | 0.0764 | |||
| Treynor Ratio | (38.72) | |||
| Maximum Drawdown | 12.57 | |||
| Value At Risk | (3.36) | |||
| Potential Upside | 5.11 | |||
| Downside Variance | 4.86 | |||
| Semi Variance | 3.95 | |||
| Expected Short fall | (2.46) | |||
| Skewness | 0.8459 | |||
| Kurtosis | 1.41 |
Consider ADTRAN's intraday indicators
ADTRAN intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of ADTRAN stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
ADTRAN Corporate Filings
8K | 17th of July 2025 An amendment to a previously filed Form 8-K | ViewVerify |
8K | 16th of July 2025 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
F4 | 15th of July 2025 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
| 7th of July 2025 Other Reports | ViewVerify |
ADTRAN Stock media impact
There is far too much social signal, news, headlines, and media speculation about ADTRAN that are available to investors today. This information is accessible both publicly - through ADTRAN's media outlets and privately, via word of mouth or internal channels. However, regardless of the source, the sheer volume of ADTRAN-related data is difficult to distill into actionable insights, especially for investors who are not well-versed in the rapidly evolving tools and techniques of investment management.
A primary focus of ADTRAN news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of ADTRAN relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to ADTRAN's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive ADTRAN alpha.
ADTRAN Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards ADTRAN can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
ADTRAN Inc Historical Investor Sentiment
Investor biases related to ADTRAN's public news can be used to forecast risks associated with an investment in ADTRAN. The trend in average sentiment can be used to explain how an investor holding ADTRAN can time the market purely based on public headlines and social activities around ADTRAN Inc. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
ADTRAN's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for ADTRAN and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average ADTRAN news discussions. The higher the estimate score, the more favorable the investor's outlook on ADTRAN.
ADTRAN Corporate Management
| James Wilson | Sr. VP of Technology and Strategy | Profile | |
| Keith Atwell | Head Development | Profile | |
| Timothy CPA | Principal Finance | Profile | |
| Ronan Kelly | Chief Regions | Profile | |
| Christoph Glingener | Chief Officer | Profile |
Already Invested in ADTRAN Inc?
The danger of trading ADTRAN Inc is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of ADTRAN is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than ADTRAN. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile ADTRAN Inc is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
When determining whether ADTRAN Inc offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of ADTRAN's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Adtran Inc Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Adtran Inc Stock: Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in ADTRAN Inc. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in estimate. You can also try the Alpha Finder module to use alpha and beta coefficients to find investment opportunities after accounting for the risk.
Is Communications Equipment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of ADTRAN. If investors know ADTRAN will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about ADTRAN listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.60) | Earnings Share (1.61) | Revenue Per Share | Quarterly Revenue Growth 0.095 | Return On Assets |
The market value of ADTRAN Inc is measured differently than its book value, which is the value of ADTRAN that is recorded on the company's balance sheet. Investors also form their own opinion of ADTRAN's value that differs from its market value or its book value, called intrinsic value, which is ADTRAN's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because ADTRAN's market value can be influenced by many factors that don't directly affect ADTRAN's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between ADTRAN's value and its price, as these two are different measures arrived at by various means. Investors typically determine if ADTRAN is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, ADTRAN's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.