ADTN Solutions to Boost Pulse Fibre's Network: Will the Stock Gain?

In this article:

ADTRAN, Inc. ADTN recently announced that the U.K.-based telecommunication company Pulse Fibre has selected its cutting-edge 10Gbit/s XGS-PON fiber access platform to expand network connectivity across rural and urban landscapes in the country.

How ADTN Solutions Will Benefit Pulse Fibre?

Installing high-speed broadband infrastructure in rural areas is challenging and often unfeasible owing to a scattered population, high investment requirements, small market size and limited resources. However, ADTN’s SDX 6320 Series of software-defined optical line terminals address these issues effectively. 

The energy-efficient and compact technology is likely to enable operators to install, operate and scale up their network in a cost-efficient manner. For residents, the network promises immediate connectivity to support remote work and smart home applications, while also aligning with sustainability objectives to reduce environmental impact and promote resource efficiency. 

Additionally, ADTRAN’s software-defined optical line terminals are powered by the Mosaic Cloud Platform that brings added intelligence to the network. The platform will likely empower Pulse Fibre to efficiently control and manage its network operation and improve service delivery. 

Access to broadband connectivity will support a wide range of services, from e-learning, remote work and telemedicine to high-definition streaming and facilitate the digital transformation of local businesses, ultimately enhancing profitability by shortening revenue cycles. It will also likely provide property developers with critical early-stage connectivity for essential systems, including electric vehicle chargers and security infrastructures.

Will ADTN Stock Benefit From the Deployment?

In today’s hyper-connected, fast-paced business environment, service providers need multi-gigabit ethernet services to support high bandwidth-intensive applications. ADTN’s next generation of multigigabit XGS-PON fiber access platform matches these requirements. 

The solution aims to deliver Gigabit and multigigabit Internet services with symmetrical speeds of up to 10Gbit/s to more than 250,000 homes across both rural and urban landscapes in the United Kingdom. This initiative is poised to enhance the digital experience for Pulse Fibre’s customers and support economic growth and innovation in the communities served. 

The collaboration is likely to propel ADTN stock on incremental revenue generation and inducement of similar deals from other carriers in the future.

ADTN’s Stock Price Performance

Shares of ADTRAN have lost 22.8% over the past year against the industry’s growth of 54.9%.

Zacks Investment Research
Zacks Investment Research


Image Source: Zacks Investment Research

ADTN’s Zacks Rank and Key Picks

ADTRAN currently carries a Zacks Rank #3 (Hold). 

Some better-ranked stocks in the broader industry have been discussed below.

Ubiquiti Inc. UI sports a Zacks Rank #1 (Strong Buy) at present. Its highly flexible global business model remains apt to adapt to the changing market dynamics to overcome challenges while maximizing growth. You can see the complete list of today’s Zacks #1 Rank stocks here.


Its excellent global business model, which is flexible and adaptable to evolving changes in markets, helps it to beat challenges and maximize growth. The company’s effective management of its strong global network of more than 100 distributors and master resellers improved UI’s visibility for future demand and inventory management techniques. In the last reported quarter, Ubiquiti delivered an earnings surprise of 4.19%. 

Workday Inc. WDAY sports a Zacks Rank #1 at present. In the last reported quarter, it delivered an earnings surprise of 7.36%. WDAY is a leading provider of enterprise-level software solutions for financial management and human resource domains. 

Ooma, Inc. OOMA currently carries a Zacks Rank #2 (Buy). In the last reported quarter, it delivered an earnings surprise of 7.14%. 

Ooma provides communications solutions and other connected services to small business, home and mobile users. The Company's products include Ooma Office for small businesses, Business Promoter, Ooma Telo for home, Ooma end-point devices, Ooma Premier Service for Telo, Talkatone Application as well as caller identification, call-waiting and voice mail services. Ooma, Inc. is based in Palo Alto, United States.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

ADTRAN Holdings, Inc. (ADTN) : Free Stock Analysis Report

Workday, Inc. (WDAY) : Free Stock Analysis Report

Ooma, Inc. (OOMA) : Free Stock Analysis Report

Ubiquiti Inc. (UI) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

Advertisement