UPDATE: Jefferies Drops PT to $21 on ADTRAN on Soft Guidance

Jefferies reiterated its Hold rating on ADTRAN

and reduced its price target from $27 to $21. Jefferies commented, "We knew the environment for Wireline equipment was really deteriorating but we were still surprised by how soft Adtran's guidance was for Q3. Perhaps more importantly, we don't necessarily think Adtran is a “canary in the coal mine” for every other equipment vendor. The company, in our view, is much more heavily exposed to those areas of Wireline spending that are faring the worst right now." ADTRAN closed at $23.01 on Wednesday.