This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Adtran Falls Despite Earnings Beat

Shares of Adtran (ADTN) fell hard on Tuesday even after the networking equipment maker topped second-quarter earnings forecasts.

The Huntsville, Ala., company said late Monday that it had a net profit of $22.4 million, or 34 cents a share, in the second quarter, rising from a profit of $19.8 million, or 28 cents a share, in the year-ago quarter. Sales increased 6% from last year to $131.1 million. Analysts expected Adtran to earn 30 cents a share on revenue of $127.9 million, according to a poll by Thomson Reuters.

"Despite a slow enterprise environment and constrained spending by some carrier customers, Adtran continued to perform well in executing on existing business and securing new opportunities for future growth," said CEO Tom Stanton in a statement. Still, Adtran shares fell 5% to $23.54 early Tuesday.

Adtran added that the provision for income taxes in the second quarter of 2008 "continued to be unusually high due to delays in federal legislation required to extend research tax credits" for the year.

The company also declared a cash dividend for the second quarter of 2008 of 9 cents a share to be paid to holders of record at the close of business on July 31.

Among other networking and communications equipment makers, Nortel Networks (NT) dropped 4.2%, Motorola (MOT) slid 2%, and Cisco (CSCO) dipped 1.5%. Meanwhile, Alcatel Lucent (ALU) tacked on 0.2%.

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs