Morgan Stanley Reiterates Overweight, $37 on ADTRAN

Morgan Stanley maintains its Overweight rating on ADTRAN (NASDAQ: ADTN) as current valuation makes stock attractive despite risk.

Morgan Stanley says, “Adtran's deal to acquire NSN's Fixed Broadband business, marks the company's largest M&A undertaking yet, increasing execution risk over the next 6-9 months. Longer-term we are more positive on the accretion potential & oppty to expand int'l.”

ADTN closed at $30.46 per share on Monday.