ADTRAN (NASDAQ:ADTN) Upgraded to Buy at Wall Street Zen

by · The Markets Daily

Wall Street Zen upgraded shares of ADTRAN (NASDAQ:ADTN – Free Report) from a hold rating to a buy rating in a research report report published on Saturday morning.

Other equities analysts have also issued research reports about the stock. Rosenblatt Securities increased their price target on shares of ADTRAN from $11.00 to $16.00 and gave the company a “buy” rating in a research report on Friday. Needham & Company LLC reiterated a “buy” rating and issued a $14.00 target price on shares of ADTRAN in a research note on Thursday. Three equities research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, ADTRAN presently has a consensus rating of “Hold” and an average target price of $15.33.

Read Our Latest Research Report on ADTN

ADTRAN Stock Performance

ADTN stock opened at $10.20 on Friday. The company has a quick ratio of 1.23, a current ratio of 1.96 and a debt-to-equity ratio of 1.54. The firm has a market cap of $817.22 million, a PE ratio of -20.00 and a beta of 1.39. The business has a 50 day moving average of $9.47 and a 200-day moving average of $9.12. ADTRAN has a 12-month low of $6.93 and a 12-month high of $11.18.

ADTRAN (NASDAQ:ADTN – Get Free Report) last posted its quarterly earnings data on Wednesday, February 25th. The communications equipment provider reported $0.16 earnings per share for the quarter, topping the consensus estimate of $0.08 by $0.08. The business had revenue of $291.56 million for the quarter, compared to analysts’ expectations of $281.12 million. ADTRAN had a positive return on equity of 4.20% and a negative net margin of 4.15%.The company’s quarterly revenue was up 20.0% on a year-over-year basis. As a group, sell-side analysts expect that ADTRAN will post -0.5 earnings per share for the current year.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of the business. Wolverine Asset Management LLC bought a new stake in ADTRAN during the 3rd quarter worth approximately $2,443,000. SG Capital Management LLC bought a new position in ADTRAN in the 2nd quarter valued at $7,601,000. Los Angeles Capital Management LLC purchased a new position in shares of ADTRAN during the 2nd quarter valued at $418,000. Hussman Strategic Advisors Inc. purchased a new position in shares of ADTRAN during the 3rd quarter valued at $1,379,000. Finally, Squarepoint Ops LLC increased its holdings in shares of ADTRAN by 56.4% in the second quarter. Squarepoint Ops LLC now owns 630,846 shares of the communications equipment provider’s stock worth $5,659,000 after purchasing an additional 227,448 shares during the period. 80.56% of the stock is currently owned by hedge funds and other institutional investors.

Key ADTRAN News

Here are the key news stories impacting ADTRAN this week:

  • Positive Sentiment: Q4 results beat expectations: ADTN reported $0.16 EPS vs. $0.08 expected and revenue of $291.6M (≈+20% YoY). Gross margins and operating margins improved, signaling improving profitability trends that likely boosted investor confidence. Business Wire: Q4 Results
  • Positive Sentiment: Analyst upgrade: Rosenblatt lifted its price target from $11 to $16 and initiated/maintained a “buy” stance, implying roughly ~57% upside from the recent price — a catalyst for bullish flows. Benzinga: Rosenblatt Upgrade
  • Neutral Sentiment: Q1 revenue guidance issued: ADTRAN guided Q1 revenue to roughly $275M–$297M (consensus ~ $278M) — broadly in line but with a wide range that leaves room for variability. Investors will watch execution and macro signals. Business Wire: Guidance
  • Neutral Sentiment: Earnings presentation and call materials available — useful for parsing product-level demand (cloud, fiber, AI) and management commentary on 2026 priorities. Seeking Alpha: Earnings Presentation
  • Neutral Sentiment: Short-interest report in the feed shows a “significant increase” entry but lists zero shares/NaN — the data appears unreliable, so no clear short-selling signal from that report.
  • Negative Sentiment: Still unprofitable on a GAAP basis: ADTN posted a negative net margin (~-8.4%) and negative ROE, and carries leverage (debt/equity ~1.54) — these remain risks if revenue growth slows. (Background data referenced in company and market summaries.)
  • Negative Sentiment: Zacks notes the beat but highlights macro risks in the guide and frames Q1 sales guidance as a potential headwind if market conditions deteriorate; investors may trim positions on uncertainty. Zacks: Q4 Recap & Risks

ADTRAN Company Profile

(Get Free Report)

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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