ADTRAN Inc.Find Ratings Reports
ADTRAN INC's gross profit margin for the first quarter of its fiscal year 2018 has decreased when compared to the same period a year ago. Sales and net income fell significantly; although net income growth outperformed the average competitor in its industry, revenue growth did not. ADTRAN INC is extremely liquid. Currently, the Quick Ratio is 2.10 which clearly shows the ability to cover any short-term cash needs. The company managed to increase its liquidity from the same period a year ago, despite already having strong liquidity to begin with. This would indicate improved cash flow.
During the same period, stockholders' equity ("net worth") has remained virtually unchanged only decreasing by 1.26% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is very unlikely to face financial difficulties in the near future.
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|Income Statement||Q1 FY18||Q1 FY17|
|Net Sales ($mil)||120.81||170.28|
|Net Income ($mil)||-9.14||6.65|
|Balance Sheet||Q1 FY18||Q1 FY17|
|Cash & Equiv. ($mil)||99.03||125.02|
|Total Assets ($mil)||642.45||667.18|
|Total Debt ($mil)||25.6||27.8|
|Profitability||Q1 FY18||Q1 FY17|
|Gross Profit Margin||37.84||45.83|
|Return on Assets||1.25||5.52|
|Return on Equity||1.69||7.64|
|Debt||Q1 FY18||Q1 FY17|
|Share Data||Q1 FY18||Q1 FY17|
|Shares outstanding (mil)||48.49||48.32|
|Div / share||0.09||0.09|
|Book value / share||9.82||9.98|
|Institutional Own %||n/a||n/a|
|Avg Daily Volume||581765.0||423719.0|
HOLD. ADTRAN INC's P/E ratio indicates a significant premium compared to an average of 47.06 for the Communications Equipment industry and a significant premium compared to the S&P 500 average of 24.51. For additional comparison, its price-to-book ratio of 1.51 indicates a significant discount versus the S&P 500 average of 3.18 and a significant discount versus the industry average of 5.50. The price-to-sales ratio is well below both the S&P 500 average and the industry average, indicating a discount.
|ADTN 87.18||Peers 47.06||ADTN NM||Peers 16.44|
Premium. A higher P/E ratio than its peers can signify a more expensive stock or higher growth expectations.
ADTN is trading at a significant premium to its peers.
Neutral. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.
ADTN's P/CF is negative making the measure meaningless.
|ADTN 34.87||Peers 23.77||ADTN NM||Peers 1.24|
Neutral. The absence of a valid price-to-projected earnings ratio happens when a stock can not be valued on the basis of a negative expected future earnings.
ADTN's ratio is negative making this valuation measure meaningless.
Neutral. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.
ADTN's negative PEG ratio makes this valuation measure meaningless.
|ADTN 1.51||Peers 5.50||ADTN -77.93||Peers -169.50|
Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.
ADTN is trading at a significant discount to its peers.
Higher. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.
ADTN is expected to have an earnings growth rate that significantly exceeds its peers.
|ADTN 1.16||Peers 4.15||ADTN -7.14||Peers 4.82|
Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.
ADTN is trading at a significant discount to its industry on this measurement.
Lower. A sales growth rate that trails the industry implies that a company is losing market share.
ADTN significantly trails its peers on the basis of sales growth