Morgan Stanley Lowers PT on ADTRAN to $37

A report from Morgan Stanley reiterates its Overweight rating and lowers the price target to $37 on ADTRAN Inc. ADTN. Morgan Stanley writes, “Weak Q4 guide overshadowed solid Q3 revenues, while a second straight quarter of GM decline and a sudden drop in HDSL revenues caps the near-term margin-expansion story. Low valuation and a fresh buyback should keep the stock stable til growth returns in 2012”. ADTN closed yesterday at $29.56.