7.93 USD
-0.05 (-0.63%)
7.9 USD
-0.03 (-0.38%)
We assign a fundamental rating of 3 out of 10 to ADTN. ADTN was compared to 48 industry peers in the Communications Equipment industry. ADTN has a bad profitability rating. Also its financial health evaluation is rather negative. ADTN has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year ADTN was profitable.
ADTN had a positive operating cash flow in the past year.
In the past 5 years ADTN reported 4 times negative net income.
In multiple years ADTN reported negative operating cash flow during the last 5 years.
1.2 Ratios
ADTN has a worse Return On Assets (-7.28%) than 68.75% of its industry peers.
Looking at the Return On Equity, with a value of -62.20%, ADTN is doing worse than 77.08% of the companies in the same industry.
| 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
Looking at the Gross Margin, with a value of 37.97%, ADTN is in line with its industry, outperforming 45.83% of the companies in the same industry.
In the last couple of years the Gross Margin of ADTN has declined.
ADTN does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| 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.
Compared to 1 year ago, ADTN has more shares outstanding
Compared to 5 years ago, ADTN has more shares outstanding
The debt/assets ratio for ADTN is higher compared to a year ago.
2.2 Solvency
ADTN has an Altman-Z score of 0.58. 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 0.58 is on the low side compared to the rest of the industry. ADTN is outperformed by 60.42% of its industry peers.
ADTN has a debt to FCF ratio of 8.08. This is a slightly negative value and a sign of low solvency as ADTN would need 8.08 years to pay back of all of its debts.
The Debt to FCF ratio of ADTN (8.08) is comparable to the rest of the industry.
A Debt/Equity ratio of 1.54 is on the high side and indicates that ADTN has dependencies on debt financing.
The Debt to Equity ratio of ADTN (1.54) is worse than 87.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.54 | ||
| Debt/FCF | 8.08 | ||
| Altman-Z | 0.58 |
ROIC/WACCN/A
WACC10.09%
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.
ADTN has a Current ratio (1.96) which is comparable to the rest of the industry.
A Quick Ratio of 1.23 indicates that ADTN should not have too much problems paying its short term obligations.
ADTN has a worse Quick ratio (1.23) than 64.58% of its industry peers.
| 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.
ADTN shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -19.70%.
ADTN shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.72% yearly.
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 61.40% on average per year.
The Revenue is expected to grow by 13.48% on average over the next years. This is quite good.
EPS Next Y150.81%
EPS Next 2Y87.76%
EPS Next 3Y61.4%
EPS Next 5YN/A
Revenue Next Year16.13%
Revenue Next 2Y12.18%
Revenue Next 3Y13.48%
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 99.13, the valuation of ADTN can be described as expensive.
ADTN's Price/Earnings is on the same level as the industry average.
ADTN's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 26.31.
Based on the Price/Forward Earnings ratio of 16.77, the valuation of ADTN can be described as correct.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ADTN indicates a somewhat cheap valuation: ADTN is cheaper than 70.83% of the companies listed in the same industry.
ADTN is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.59, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 99.13 | ||
| Fwd PE | 16.77 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ADTN is valued a bit cheaper than 72.92% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, ADTN is valued a bit cheaper than 64.58% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.54 | ||
| EV/EBITDA | 12.7 |
4.3 Compensation for Growth
ADTN's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as ADTN's earnings are expected to grow with 61.40% in the coming years.
PEG (NY)0.66
PEG (5Y)N/A
EPS Next 2Y87.76%
EPS Next 3Y61.4%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 6.65%, ADTN is a good candidate for dividend investing.
ADTN's Dividend Yield is rather good when compared to the industry average which is at 3.35. ADTN pays more dividend than 97.92% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, ADTN pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.65% |
5.2 History
ADTN has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y87.76%
EPS Next 3Y61.4%
7.93
-0.05 (-0.63%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners83.92%
Inst Owner Change14.36%
Ins Owners1.38%
Ins Owner Change-0.44%
Market Cap634.80M
Revenue(TTM)1.04B
Net Income(TTM)-88.06M
Analysts76
Price Target12.6 (58.89%)
Short Float %10.17%
Short Ratio3.8
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)-2.44%
PT rev (3m)2.98%
EPS NQ rev (1m)-2.01%
EPS NQ rev (3m)-4.88%
EPS NY rev (1m)0%
EPS NY rev (3m)-3.6%
Revenue NQ rev (1m)1.17%
Revenue NQ rev (3m)1.16%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 99.13 | ||
| Fwd PE | 16.77 | ||
| P/S | 0.61 | ||
| P/FCF | 23.54 | ||
| P/OCF | 6.94 | ||
| P/B | 4.48 | ||
| P/tB | N/A | ||
| EV/EBITDA | 12.7 |
EPS(TTM)0.08
EY1.01%
EPS(NY)0.47
Fwd EY5.96%
FCF(TTM)0.34
FCFY4.25%
OCF(TTM)1.14
OCFY14.42%
SpS12.93
BVpS1.77
TBVpS-2.76
PEG (NY)0.66
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 | 0.58 |
F-Score4
WACC10.09%
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 Y150.81%
EPS Next 2Y87.76%
EPS Next 3Y61.4%
EPS Next 5YN/A
Revenue 1Y (TTM)-19.7%
Revenue growth 3Y17.9%
Revenue growth 5Y11.72%
Sales Q2Q%22.72%
Revenue Next Year16.13%
Revenue Next 2Y12.18%
Revenue Next 3Y13.48%
Revenue Next 5YN/A
EBIT growth 1Y41.66%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year31629.5%
EBIT Next 3Y647.17%
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 of ADTRAN HOLDINGS INC (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 are the PE and PB ratios of ADTRAN HOLDINGS INC (ADTN) stock?
The Price/Earnings (PE) ratio for ADTRAN HOLDINGS INC (ADTN) is 99.13 and the Price/Book (PB) ratio is 4.48.
What is the earnings growth outlook for ADTRAN HOLDINGS INC?
The Earnings per Share (EPS) of ADTRAN HOLDINGS INC (ADTN) is expected to grow by 150.81% in the next year.