ADTRAN (NASDAQ:ADTN) Stock Price Down 7.5% After Analyst Downgrade

ADTRAN Holdings, Inc. (NASDAQ:ADTN)’s stock price fell 7.5% during trading on Wednesday after Rosenblatt Securities lowered their price target on the stock from $20.00 to $15.00. Rosenblatt Securities currently has a buy rating on the stock. ADTRAN traded as low as $8.10 and last traded at $8.10. 787,417 shares traded hands during mid-day trading, a decline of 62% from the average session volume of 2,083,624 shares. The stock had previously closed at $8.76.

ADTN has been the subject of a number of other reports. Northland Securities set a $18.00 price objective on shares of ADTRAN in a research note on Wednesday, May 6th. Wall Street Zen cut shares of ADTRAN from a “strong-buy” rating to a “buy” rating in a research note on Tuesday, July 28th. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of ADTRAN in a report on Tuesday, June 30th. B. Riley Financial reiterated a “buy” rating and issued a $21.00 price target (down from $23.00) on shares of ADTRAN in a research note on Thursday, July 23rd. Finally, Needham & Company LLC decreased their price target on ADTRAN from $18.00 to $14.00 and set a “buy” rating on the stock in a report on Thursday, July 23rd. Four analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $15.20.

ADTRAN News Roundup

Here are the key news stories impacting ADTRAN this week:

• Positive Sentiment: Rosenblatt Securities maintained a Buy rating and set a $15 price target, implying substantial upside from recent levels. However, the target was reduced from $20, indicating a more cautious valuation outlook. Benzinga analyst price target report
• Positive Sentiment: ADTRAN and Japan’s TOHKnet completed the country’s first live-network trial combining 50G PON, XGS-PON and EPON over a single fiber. The demonstration supports ADTRAN’s strategy of helping operators upgrade network capacity while preserving existing infrastructure. TOHKnet and ADTRAN 50G PON trial
• Neutral Sentiment: Second-quarter revenue increased 6.1% year over year to $281.1 million, while operating cash flow reached $25.9 million. Optical networking growth and ADTRAN’s innovation pipeline were constructive, but management’s earnings-call commentary highlighted ongoing growth constraints and caution. ADTRAN second-quarter 2026 results
• Negative Sentiment: Adjusted EPS of $0.04 fell short of the $0.10 consensus estimate, and revenue also missed expectations of approximately $290.2 million. GAAP results showed a $0.13 diluted loss per share and a negative operating margin, limiting the impact of the year-over-year sales growth. ADTRAN earnings report
• Negative Sentiment: Zacks added ADTN to its Rank #5, or Strong Sell, list, creating an additional negative technical and sentiment signal. Zacks Strong Sell list
• Negative Sentiment: A law firm issued a shareholder alert regarding potential securities-law violations. The announcement does not establish wrongdoing, but it adds headline and litigation risk for investors. ADTN shareholder alert

Institutional Trading of ADTRAN

A number of large investors have recently made changes to their positions in the business. Franklin Resources Inc. increased its position in ADTRAN by 1.6% during the fourth quarter. Franklin Resources Inc. now owns 79,692 shares of the communications equipment provider’s stock valued at $693,000 after acquiring an additional 1,263 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in shares of ADTRAN by 4.3% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 46,767 shares of the communications equipment provider’s stock worth $408,000 after acquiring an additional 1,946 shares during the last quarter. Occudo Quantitative Strategies LP boosted its stake in shares of ADTRAN by 3.2% during the 3rd quarter. Occudo Quantitative Strategies LP now owns 65,702 shares of the communications equipment provider’s stock worth $616,000 after purchasing an additional 2,016 shares during the period. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC boosted its stake in shares of ADTRAN by 1.1% during the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 187,814 shares of the communications equipment provider’s stock worth $1,632,000 after purchasing an additional 2,068 shares during the period. Finally, ST Germain D J Co. Inc. grew its holdings in ADTRAN by 100.0% during 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. 80.56% of the stock is currently owned by institutional investors.

ADTRAN Price Performance

The company has a debt-to-equity ratio of 1.59, a quick ratio of 1.18 and a current ratio of 1.77. The company has a market capitalization of $659.75 million, a P/E ratio of -20.77 and a beta of 1.47. The firm’s fifty day moving average is $13.39 and its 200 day moving average is $12.76.

ADTRAN (NASDAQ:ADTN) last released its earnings results on Monday, August 3rd. The communications equipment provider reported $0.04 earnings per share for the quarter, missing the consensus estimate of $0.10 by ($0.06). ADTRAN had a positive return on equity of 10.94% and a negative net margin of 3.18%.The business had revenue of $281.15 million for the quarter, compared to the consensus estimate of $290.19 million. The company’s revenue for the quarter was up 6.0% compared to the same quarter last year. As a group, analysts predict that ADTRAN Holdings, Inc. will post 0.23 earnings per share for the current fiscal year.

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.