TakeoverPE & activists

ADTNADTRAN Holdings, Inc.

Telephone & Telegraph Apparatus · $530M market cap · 1,162 employees

0.6×

Less likely than average to be taken private

Top 29% of the Russell 3000 for a buyout by a private-equity firm, holdco or insiders. How it works

Takeover signals

What an activist or buyer would see: cheap, overpaid, diluted or under pressure.

2of 15 firedHow well they predict deals →
13 other checks
  • TSR below peersNo
    —
    3+ of last 5 years
  • High CEO pay despite TSRNo
    —
    Median CEO pay ≥ $15M while TSR trails
  • Earnings not backed by cashNo
    —
    Cash flow under 80% of net income
  • Dilutive SBCNo
    1% of revenue
    Over 10% of revenue
  • Payouts exceed cash flowNo
    0% of cash flow
    Buybacks + dividends over cash flow
  • Goodwill-heavyNo
    5% of assets
    Over 40% of assets
  • Shareholder dissentNo
    94% lowest support
    Any vote under 80% support
  • Low revenue per employeeNo
    $933K · 73rd pct
    Bottom quartile of its SIC industry
  • Quiet on AINo
    5.1 per 10K words · 83rd pct
    Bottom quartile of AI mentions in 10-Ks
  • Recurring revenueNo
    3 of 10
    10-K business scored 7+ of 10 for recurring revenue
  • AI-rollup shapedNo
    0 of 10
    10-K business scored 5+ of 10 as an AI-rollup target
  • Active 13DNo
    0 filings
    Active-intent 13D in 18 months
  • Net insider sellingNo
    −$2M net
    Net sales over $10M in 12 months

Deal filings

FiledFormAcquirerPricePremium
Dec 2, 2021DEFM14AAcorn HoldCo, Inc. (merger partner of ADTRAN and ADVA Optical Networking SE)$20.6433%

Key numbers

Revenue
$1.1BFY2021: $563MFY2022: $1.0BFY2023: $1.1BFY2024: $923MFY2025: $1.1B
17% YoY
Operating margin
-1.4%FY2021: -2.6%FY2022: -7.1%FY2023: -19.5%FY2024: -46.3%FY2025: -1.4%
97% YoY
EBITDA
$77MFY2021: $1MFY2022: −$5MFY2023: −$111MFY2024: −$337MFY2025: $77M
123% YoY
Net debt / EBITDA
-0.7×
−$55M net debt

Financials

MetricFY2021FY2022FY2023FY2024FY2025YoYTrend
Revenue$563M$1.0B$1.1B$923M$1.1B 17% FY2021: $563MFY2022: $1.0BFY2023: $1.1BFY2024: $923MFY2025: $1.1B
Operating income−$15M−$73M−$224M−$428M−$16M 96% FY2021: −$15MFY2022: −$73MFY2023: −$224MFY2024: −$428MFY2025: −$16M
Net income−$9M−$2M−$269M−$460M−$46M 90% FY2021: −$9MFY2022: −$2MFY2023: −$269MFY2024: −$460MFY2025: −$46M
Operating cash flow$3M−$44M−$43M$104M$130M 25% FY2021: $3MFY2022: −$44MFY2023: −$43MFY2024: $104MFY2025: $130M
Capex$6M$17M$36M$35M$32M 8.0% FY2021: $6MFY2022: $17MFY2023: $36MFY2024: $35MFY2025: $32M
Stock-based comp$7M$28M$16M$16M$10M 37% FY2021: $7MFY2022: $28MFY2023: $16MFY2024: $16MFY2025: $10M
Dividends$18M$23M$21M$0—FY2021: $18MFY2022: $23MFY2023: $21MFY2024: $0

13D filers

FiledFilerFormStakeIntent
Jul 20, 2022Protiva BrianSC 13D8.4%Passive

Insider trading

−$2Mnet selling by insiders, open market, last 12 months
Bought $500K · 4 tradesSold $3M · 5 trades

Pay vs performance

No pay-versus-performance disclosure yet.