ADTRAN (NASDAQ:ADTN) Shares Gap Up – Time to Buy?

ADTRAN Holdings, Inc. (NASDAQ:ADTN) shares gapped up before the market opened on Monday . The stock had previously closed at $14.94, but opened at $15.91. ADTRAN shares last traded at $15.80, with a volume of 480,268 shares changing hands.

Analysts Set New Price Targets

Several brokerages have commented on ADTN. Evercore initiated coverage on ADTRAN in a research report on Tuesday, April 14th. They set an “outperform” rating and a $18.00 price objective for the company. B. Riley Financial reissued a “buy” rating on shares of ADTRAN in a report on Friday, May 1st. Rosenblatt Securities upped their price objective on ADTRAN from $16.00 to $20.00 and gave the company a “buy” rating in a research report on Wednesday, May 6th. Wall Street Zen upgraded shares of ADTRAN from a “buy” rating to a “strong-buy” rating in a research report on Saturday. Finally, Needham & Company LLC reiterated a “buy” rating and set a $18.00 target price on shares of ADTRAN in a research report on Wednesday, May 6th. Four equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the stock has a consensus rating of “Hold” and a consensus price target of $18.00.

ADTRAN Stock Performance

The stock has a market cap of $1.30 billion, a P/E ratio of -41.08 and a beta of 1.45. The company has a quick ratio of 1.18, a current ratio of 1.77 and a debt-to-equity ratio of 1.59. The business has a 50 day moving average price of $13.22 and a two-hundred day moving average price of $10.47.

ADTRAN (NASDAQ:ADTN) last released its quarterly earnings data on Tuesday, May 5th. The communications equipment provider reported $0.14 earnings per share for the quarter, topping analysts’ consensus estimates of $0.09 by $0.05. ADTRAN had a positive return on equity of 10.94% and a negative net margin of 3.18%.The firm had revenue of $286.09 million during the quarter, compared to analyst estimates of $285.48 million. During the same quarter in the prior year, the company posted $0.03 earnings per share. The business’s quarterly revenue was up 15.5% compared to the same quarter last year. On average, sell-side analysts forecast that ADTRAN Holdings, Inc. will post 0.39 earnings per share for the current fiscal year.

Hedge Funds Weigh In On ADTRAN

Institutional investors have recently bought and sold shares of the business. Vanguard Group Inc. grew its position in ADTRAN by 2.7% in the third quarter. Vanguard Group Inc. now owns 8,383,305 shares of the communications equipment provider’s stock worth $78,635,000 after acquiring an additional 217,148 shares in the last quarter. DNB Asset Management AS grew its position in ADTRAN by 7.6% in the fourth quarter. DNB Asset Management AS now owns 3,123,679 shares of the communications equipment provider’s stock worth $27,145,000 after acquiring an additional 219,810 shares in the last quarter. Millennium Management LLC grew its position in ADTRAN by 371.2% in the fourth quarter. Millennium Management LLC now owns 2,694,800 shares of the communications equipment provider’s stock worth $23,418,000 after acquiring an additional 2,122,844 shares in the last quarter. Royce & Associates LP grew its position in ADTRAN by 7.7% in the fourth quarter. Royce & Associates LP now owns 2,597,013 shares of the communications equipment provider’s stock worth $22,568,000 after acquiring an additional 186,238 shares in the last quarter. Finally, State Street Corp grew its position in ADTRAN by 4.5% in the fourth quarter. State Street Corp now owns 1,985,890 shares of the communications equipment provider’s stock worth $17,257,000 after acquiring an additional 86,382 shares in the last quarter. 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.