ADTRAN Holdings, Inc. (ADTN) AI Stock Analysis

ADTRAN Holdings, Inc. delivers fiber networking solutions across the United States, Germany, the United Kingdom, Mexico, and other international markets. Operating through Network Solutions and Services & Support segments, its portfolio includes fiber access and fiber-to-the-node platforms, optical line terminals, transceivers, packet optical transports, and network management software. ADTRAN also supplies broadband customer premises equipment such as switches, routers, residential gateways, mesh Wi-Fi gateways, and cloud software-as-a-service platforms, backed by engineering, maintenance, installation, and commissioning services.

Between FY2020 and FY2025, ADTRAN grew revenue at a 5-year CAGR of 16.4%, moving from $563.0M in FY2021 to $1.08B in FY2025. Following a revenue decline of 19.7% in FY2024 to $922.7M, revenue rebounded 17.5% in FY2025. Operating margin contracted to -46.3% in FY2024 and recovered to -1.4% in FY2025, while net income improved from -$459.9M in FY2024 to -$45.7M in FY2025. For the trailing twelve months ended June 30, 2026, revenue stood at $1.14B with an operating margin of -3.5% and an EPS of -$0.28. In the quarter ended June 30, 2026, quarterly revenue grew 6.1% year-over-year, while quarterly earnings declined 60.0%.

As of June 30, 2026, ADTRAN held $118.3M in cash and short-term investments against $242.7M in total debt, resulting in net debt of $124.4M. Shareholders' equity was $129.5M, establishing a debt-to-equity ratio of 1.87 and a current ratio of 1.79. In FY2025, the company generated $129.8M in operating cash flow and invested $31.7M in capital expenditures, yielding free cash flow of $98.0M. Over the trailing five years, the share count increased by 64.9%.

With a market cap of $514.1M and an enterprise value of $703.3M, ADTRAN trades at a forward P/E of 12.7x and an EV/EBITDA of 6.6x. These multiples compare to the median of its US-listed Technology peers of 18.8x forward P/E and 16.6x EV/EBITDA. Its price-to-sales ratio is 0.5x, below the peer group median of 2.8x. Over the past year, ADTRAN delivered a return of -32.9%, trailing the S&P 500 (SPY) return of 16.8%.

Wall Street coverage consists of 6 Strong Buy, 1 Buy, and 2 Hold ratings. The mean price target is $14.67, which is 132.4% above the last close of $6.31. For the fiscal year ending December 31, 2026, analysts estimate an EPS of $0.29 on revenue of $1.15B. For the following fiscal year, 7 analysts project EPS of $0.58 on revenue of $1.24B. The company beat EPS estimates in 2 of the last 4 quarters, with its next earnings date scheduled for November 2, 2026.

This page is an AI-written research summary of ADTRAN Holdings, Inc. (ADTN). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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