9.24 USD
-0.01 (-0.11%)
9.23 USD
-0.01 (-0.11%)
Taking everything into account, ADTN scores 3 out of 10 in our fundamental rating. ADTN was compared to 48 industry peers in the Communications Equipment industry. Both the profitability and financial health of ADTN have multiple concerns. ADTN has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- ADTN had positive earnings in the past year.
- In the past year ADTN had a positive cash flow from operations.
- In the past 5 years ADTN reported 4 times negative net income.
- The reported operating cash flow has been mixed in the past 5 years: ADTN reported negative operating cash flow in multiple years.
1.2 Ratios
- The Return On Assets of ADTN (-7.28%) is worse than 68.75% of its industry peers.
- With a Return On Equity value of -62.20%, ADTN is not doing good in the industry: 79.17% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -7.28% | ||
| ROE | -62.2% | ||
| ROIC | N/A |
ROA(3y)-18.05%
ROA(5y)-11.04%
ROE(3y)-126.55%
ROE(5y)-76.29%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
- With a Gross Margin value of 37.97%, ADTN perfoms like the industry average, outperforming 43.75% of the companies in the same industry.
- In the last couple of years the Gross Margin of ADTN has declined.
- The Profit Margin and Operating Margin are not available for ADTN so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 37.97% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.23%
GM growth 5Y-2.07%
2. Health
2.1 Basic Checks
- ADTN does not have a ROIC to compare to the WACC, probably because it is not profitable.
- ADTN has more shares outstanding than it did 1 year ago.
- The number of shares outstanding for ADTN has been increased compared to 5 years ago.
- Compared to 1 year ago, ADTN has a worse debt to assets ratio.
2.2 Solvency
- ADTN has an Altman-Z score of 0.64. This is a bad value and indicates that ADTN is not financially healthy and even has some risk of bankruptcy.
- ADTN's Altman-Z score of 0.64 is on the low side compared to the rest of the industry. ADTN is outperformed by 60.42% of its industry peers.
- The Debt to FCF ratio of ADTN is 8.08, which is on the high side as it means it would take ADTN, 8.08 years of fcf income to pay off all of its debts.
- ADTN has a Debt to FCF ratio (8.08) which is in line with its industry peers.
- ADTN has a Debt/Equity ratio of 1.54. This is a high value indicating a heavy dependency on external financing.
- The Debt to Equity ratio of ADTN (1.54) is worse than 85.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.54 | ||
| Debt/FCF | 8.08 | ||
| Altman-Z | 0.64 |
ROIC/WACCN/A
WACC10.22%
2.3 Liquidity
- ADTN has a Current Ratio of 1.96. This is a normal value and indicates that ADTN is financially healthy and should not expect problems in meeting its short term obligations.
- The Current ratio of ADTN (1.96) is comparable to the rest of the industry.
- ADTN has a Quick Ratio of 1.23. This is a normal value and indicates that ADTN is financially healthy and should not expect problems in meeting its short term obligations.
- With a Quick ratio value of 1.23, ADTN is not doing good in the industry: 68.75% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.96 | ||
| Quick Ratio | 1.23 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an impressive 105.71% over the past year.
- Looking at the last year, ADTN shows a very negative growth in Revenue. The Revenue has decreased by -19.70% in the last year.
- The Revenue has been growing by 11.72% on average over the past years. This is quite good.
EPS 1Y (TTM)105.71%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%200%
Revenue 1Y (TTM)-19.7%
Revenue growth 3Y17.9%
Revenue growth 5Y11.72%
Sales Q2Q%22.72%
3.2 Future
- Based on estimates for the next years, ADTN will show a very strong growth in Earnings Per Share. The EPS will grow by 60.13% on average per year.
- ADTN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.34% yearly.
EPS Next Y150.31%
EPS Next 2Y88.54%
EPS Next 3Y60.13%
EPS Next 5YN/A
Revenue Next Year16.88%
Revenue Next 2Y12.56%
Revenue Next 3Y12.34%
Revenue Next 5YN/A
3.3 Evolution
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 115.50, the valuation of ADTN can be described as expensive.
- ADTN's Price/Earnings is on the same level as the industry average.
- Compared to an average S&P500 Price/Earnings ratio of 26.94, ADTN is valued quite expensively.
- With a Price/Forward Earnings ratio of 19.17, ADTN is valued on the expensive side.
- Based on the Price/Forward Earnings ratio, ADTN is valued a bit cheaper than 70.83% of the companies in the same industry.
- The average S&P500 Price/Forward Earnings ratio is at 23.94. ADTN is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 115.5 | ||
| Fwd PE | 19.17 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, ADTN is valued a bit cheaper than the industry average as 72.92% of the companies are valued more expensively.
- Based on the Price/Free Cash Flow ratio, ADTN is valued a bit cheaper than the industry average as 60.42% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.45 | ||
| EV/EBITDA | 14.41 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- ADTN's earnings are expected to grow with 60.13% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.77
PEG (5Y)N/A
EPS Next 2Y88.54%
EPS Next 3Y60.13%
5. Dividend
5.1 Amount
- ADTN has a Yearly Dividend Yield of 6.65%, which is a nice return.
- Compared to an average industry Dividend Yield of 0.77, ADTN pays a better dividend. On top of this ADTN pays more dividend than 97.92% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.83, ADTN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.65% |
5.2 History
- ADTN has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y88.54%
EPS Next 3Y60.13%
9.24
-0.01 (-0.11%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)11-03 2025-11-03/amc
Earnings (Next)02-24 2026-02-24/amc
Inst Owners93.96%
Inst Owner Change1.24%
Ins Owners1.45%
Ins Owner Change5.83%
Market Cap740.31M
Revenue(TTM)1.04B
Net Income(TTM)-88.06M
Analysts77.5
Price Target12.16 (31.6%)
Short Float %10.39%
Short Ratio6.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.65% |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-60.21%
Min EPS beat(2)-100%
Max EPS beat(2)-20.42%
EPS beat(4)2
Avg EPS beat(4)44.4%
Min EPS beat(4)-100%
Max EPS beat(4)198.04%
EPS beat(8)3
Avg EPS beat(8)-116.98%
EPS beat(12)4
Avg EPS beat(12)-96.24%
EPS beat(16)7
Avg EPS beat(16)-8.19%
Revenue beat(2)1
Avg Revenue beat(2)0.11%
Min Revenue beat(2)-0.23%
Max Revenue beat(2)0.46%
Revenue beat(4)2
Avg Revenue beat(4)-0.16%
Min Revenue beat(4)-0.92%
Max Revenue beat(4)0.46%
Revenue beat(8)2
Avg Revenue beat(8)-1.09%
Revenue beat(12)2
Avg Revenue beat(12)-2.42%
Revenue beat(16)4
Avg Revenue beat(16)-1.51%
PT rev (1m)-3.56%
PT rev (3m)-5.92%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.01%
EPS NY rev (1m)3.66%
EPS NY rev (3m)-0.99%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.17%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 115.5 | ||
| Fwd PE | 19.17 | ||
| P/S | 0.72 | ||
| P/FCF | 27.45 | ||
| P/OCF | 8.09 | ||
| P/B | 5.23 | ||
| P/tB | N/A | ||
| EV/EBITDA | 14.41 |
EPS(TTM)0.08
EY0.87%
EPS(NY)0.48
Fwd EY5.22%
FCF(TTM)0.34
FCFY3.64%
OCF(TTM)1.14
OCFY12.36%
SpS12.92
BVpS1.77
TBVpS-2.75
PEG (NY)0.77
PEG (5Y)N/A
Graham Number1.78
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -7.28% | ||
| ROE | -62.2% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 37.97% | ||
| FCFM | 2.61% |
ROA(3y)-18.05%
ROA(5y)-11.04%
ROE(3y)-126.55%
ROE(5y)-76.29%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.23%
GM growth 5Y-2.07%
F-Score4
Asset Turnover0.86
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.54 | ||
| Debt/FCF | 8.08 | ||
| Debt/EBITDA | 3.63 | ||
| Cap/Depr | 70.7% | ||
| Cap/Sales | 6.24% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 152.4% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.96 | ||
| Quick Ratio | 1.23 | ||
| Altman-Z | 0.64 |
F-Score4
WACC10.22%
ROIC/WACCN/A
Cap/Depr(3y)44.28%
Cap/Depr(5y)41.36%
Cap/Sales(3y)4.09%
Cap/Sales(5y)2.91%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)105.71%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%200%
EPS Next Y150.31%
EPS Next 2Y88.54%
EPS Next 3Y60.13%
EPS Next 5YN/A
Revenue 1Y (TTM)-19.7%
Revenue growth 3Y17.9%
Revenue growth 5Y11.72%
Sales Q2Q%22.72%
Revenue Next Year16.88%
Revenue Next 2Y12.56%
Revenue Next 3Y12.34%
Revenue Next 5YN/A
EBIT growth 1Y41.66%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year31957.6%
EBIT Next 3Y624.67%
EBIT Next 5YN/A
FCF growth 1Y137.73%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y397.04%
OCF growth 3Y225.09%
OCF growth 5YN/A
ADTRAN HOLDINGS INC / ADTN FAQ
Can you provide the ChartMill fundamental rating for ADTRAN HOLDINGS INC?
ChartMill assigns a fundamental rating of 3 / 10 to ADTN.
What is the valuation status for ADTN stock?
ChartMill assigns a valuation rating of 5 / 10 to ADTRAN HOLDINGS INC (ADTN). This can be considered as Fairly Valued.
Can you provide the profitability details for ADTRAN HOLDINGS INC?
ADTRAN HOLDINGS INC (ADTN) has a profitability rating of 1 / 10.
What is the valuation of ADTRAN HOLDINGS INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ADTRAN HOLDINGS INC (ADTN) is 115.5 and the Price/Book (PB) ratio is 5.23.
Can you provide the financial health for ADTN stock?
The financial health rating of ADTRAN HOLDINGS INC (ADTN) is 2 / 10.