Market Overview

UPDATE: Goldman Sachs Reduces PT to $14 on ADTRAN on Negative Pre-Announcement

Related ADTN
18 Biggest Mid-Day Gainers For Wednesday
25 Stocks Moving In Wednesday's Pre-Market Session

Goldman Sachs reiterated its Sell rating on ADTRAN (NASDAQ: ADTN) and lowered its price target from $14 to $18.

Goldman Sachs noted, "We continue to believe carrier spending priorities have shifted away from access and copper-based spending, where Adtran derives the bulk of its revenues, toward wireless and core network upgrades. This is consistent with Adtran's comment on legacy product weakness. Additionally, competitor Calix has also cited regulatory uncertainty as a source ongoing disruption. We believe Adtran's gross margins took another step down, having fallen from nearly 60% in 1Q11 to 51% in 2Q12. We are lowering our FY12/13/14 EPS to $0.92/$1.10/$1.31 from $1.15/$1.41/$1.58 given weaker trends in Adtran's end markets."

ADTRAN closed at $19.16 on Thursday.

Latest Ratings for ADTN

Jul 2017NeedhamMaintainsBuy
Apr 2017Argus ResearchUpgradesHoldBuy
Oct 2016Northland SecuritiesUpgradesMarket PerformOutperform

View More Analyst Ratings for ADTN
View the Latest Analyst Ratings

Posted-In: Goldman SachsAnalyst Color Price Target Pre-Market Outlook Analyst Ratings


Related Articles (ADTN)

View Comments and Join the Discussion!