Watch ADTRAN's (Nasdaq: ADTN) earnings report to see if it can beat analyst expectations for the fifth consecutive quarter. The company will unveil its latest earnings on Tuesday, July 12. ADTRAN designs, manufactures, markets, and services network access solutions for communications networks.

What analysts say:

  • Buy, sell, or hold?: Analysts strongly back ADTRAN, with 14 of 18 rating it a buy and the remainder rating it a hold. Analysts like ADTRAN better than competitor Ciena overall. Analysts still rate the stock a Moderate buy, but they are a bit more wary about it compared to three months ago.
  • Revenue Forecasts: On average, analysts predict $179.4 million in revenue this quarter. That would represent a rise of 19.3% from the year-ago quarter.
  • Wall Street Earnings Expectations: The average analyst estimate is earnings of $0.53 per share. Estimates range from $0.50 to $0.56.

What our community says:
CAPS All-Stars are solidly backing the stock with 92.8% assigning it an "outperform" rating. The community at large agrees with the All-Stars with 90.2% giving it a rating of "outperform." Fools have embraced ADTRAN, though the message boards have been quiet lately with only 43 posts in the past 30 days. ADTRAN has a bullish CAPS rating of five out of five stars that is about on par with the Fool community assessment.

ADTRAN's profit has risen year over year by an average of 69.4%.

Now let's look at how efficient management is at running the business. Traditionally, margins represent the efficiency with which companies capture portions of sales dollars. The following table shows gross, operating, and net margins over the past four quarters. 

Quarter Q1 Q4 Q3 Q2
Gross Margin 59.7% 58.6% 59.7% 59.4%
Operating Margin 27.6% 27.1% 27.6% 25.7%
Net Margin 20.7% 21.8% 19.7% 18.5%

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