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ADTN vs MSFT

ADTN
ADTRAN Holdings, Inc.
NEUTRAL
Price
$9.94
Market Cap
$801.8M
Sector
Technology
AI Confidence
72%
MSFT
Microsoft Corporation
BULLISH
Price
$370.17
Market Cap
$2.75T
Sector
Technology
AI Confidence
40%

Valuation

P/E Ratio
ADTN
--
MSFT
23.18
Forward P/E
ADTN
13.11
MSFT
19.64
P/B Ratio
ADTN
5.45
MSFT
7.04
P/S Ratio
ADTN
0.74
MSFT
9.01
EV/EBITDA
ADTN
17.16
MSFT
15.88

Profitability

Gross Margin
ADTN
38.29%
MSFT
68.59%
Operating Margin
ADTN
1.75%
MSFT
47.09%
Profit Margin
ADTN
-4.21%
MSFT
39.04%
ROE
ADTN
-6.78%
MSFT
34.39%
ROA
ADTN
-0.79%
MSFT
14.86%

Growth

Revenue Growth
ADTN
20.1%
MSFT
16.7%
Earnings Growth
ADTN
--
MSFT
59.8%

Financial Health

Debt/Equity
ADTN
0.49
MSFT
0.32
Current Ratio
ADTN
1.75
MSFT
1.39
Quick Ratio
ADTN
0.88
MSFT
1.24

Dividends

Dividend Yield
ADTN
--
MSFT
1.01%
Payout Ratio
ADTN
0.0%
MSFT
21.28%

AI Verdict

ADTN NEUTRAL

ADTN's Piotroski F-Score of 5/9 indicates a stable but not strong financial health, with mixed profitability signals and a lack of Altman Z-Score data raising caution. The company shows strong revenue growth (20.1% YoY) and recent EPS rebound, but persistent negative ROE and ROA, along with a negative profit margin, highlight ongoing operational inefficiencies. Despite a favorable price-to-sales ratio (0.74) and a forward P/E of 13.11, the absence of a Graham Number and intrinsic value estimate limits fundamental valuation clarity. Analysts maintain a 'buy' recommendation with a $14.00 target, suggesting optimism, though insider selling and weak recent earnings surprises temper conviction.

Strengths
20.1% year-over-year revenue growth indicates strong top-line momentum
Forward P/E of 13.11 is below sector average (77.81), suggesting relative valuation attractiveness
Price-to-sales of 0.74 is below 1.0, indicating potential undervaluation on sales basis
Risks
Negative profit margin (-4.21%) and ROE (-6.78%) reflect ongoing profitability challenges
Piotroski F-Score of 5/9 indicates stable but not robust financial health; lacks strong positive signals
Insider selling activity (1 transaction, $0.15M) with no buys suggests potential internal caution
MSFT BULLISH

MSFT shows bullish fundamentals based on deterministic rules. Financial strength is strong (F-Score 7/9). Key strengths include strong valuation and growth metrics.

Strengths
Strong profitability (39.0% margin)
Strong financial trend (Piotroski F-Score: 7/9)
Strong revenue growth of 16.7%
Risks
Premium vs Graham Number ($137.5)

Compare Another Pair

ADTN vs MSFT: Head-to-Head Comparison

This page compares ADTRAN Holdings, Inc. (ADTN) and Microsoft Corporation (MSFT) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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