Adtran Networks SE (WBO:ADV) ROE %: 5.14% (As of Dec. 2025) — 49% Above Median


WBO:ADV Adtran Networks SE WBO:ADV
51 GF Score
Price €22.80
GF Value €19.99
! 4 Warning Signs
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What is Adtran Networks SE ROE %?

Adtran Networks SE WBO:ADV 51 ROE % is 5.14% as of Dec. 2025, which is 49% above its 10-year median of 3.46. GuruFocus rates WBO:ADV with a GF Score™ of 51/100 and a GF Value™ of €19.99. The stock has 4 warning signs investors should review. Among 2,423 Hardware companies, Adtran Networks SE ranks worse than 77.55% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Adtran Networks SE's annualized net income for the quarter that ended in Dec. 2025 was €18.9 Mil. Adtran Networks SE's average Total Stockholders Equity over the quarter that ended in Dec. 2025 was €366.9 Mil. Therefore, Adtran Networks SE's annualized ROE % for the quarter that ended in Dec. 2025 was 5.14%.

The historical rank and industry rank for Adtran Networks SE's ROE % or its related term are showing as below:

WBO:ADV' s ROE % Range Over the Past 10 Years
Min: -16   Med: 3.46   Max: 19.64
Current: -5.85

During the past 13 years, Adtran Networks SE's highest ROE % was 19.64%. The lowest was -16.00%. And the median was 3.46%.

WBO:ADV's ROE % is ranked worse than
77.55% of 2423 companies
in the Hardware industry
Industry Median: 4.61 vs WBO:ADV: -5.85

Adtran Networks SE  (WBO:ADV) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Dec. 2025 )
=Net Income/Total Stockholders Equity
=18.856/366.911
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(18.856 / 515.776)*(515.776 / 616.5435)*(616.5435 / 366.911)
=Net Margin %*Asset Turnover*Equity Multiplier
=3.66 %*0.8366*1.6804
=ROA %*Equity Multiplier
=3.06 %*1.6804
=5.14 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Dec. 2025 )
=Net Income/Total Stockholders Equity
=18.856/366.911
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (18.856 / 5.688) * (5.688 / -4.62) * (-4.62 / 515.776) * (515.776 / 616.5435) * (616.5435 / 366.911)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 3.315 * -1.2312 * -0.9 % * 0.8366 * 1.6804
=5.14 %

Note: The net income data used here is two times the semi-annual (Dec. 2025) net income data. The Revenue data used here is two times the semi-annual (Dec. 2025) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Adtran Networks SE ROE % Related Terms


Adtran Networks SE ROE % Historical Data

* Premium members only.

The historical data trend for Adtran Networks SE's ROE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Adtran Networks SE ROE % Chart

Adtran Networks SE Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 19.64 5.11 -3.20 -16.00 -5.64

Adtran Networks SE Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -9.94 -2.62 -29.99 -17.06 5.14

WBO:ADV vs CSCO, CIEN, MSI: ROE % Comparison

For the Communication Equipment subindustry, Adtran Networks SE's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Adtran Networks SE ROE % vs Hardware Industry

For the Hardware industry and Technology sector, Adtran Networks SE's ROE % distribution charts can be found below:

* The bar in red indicates where Adtran Networks SE's ROE % falls into.


WBO:ADV
51GF Score
Adtran Networks SE WBO:ADV
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Adtran Networks SE ROE % Calculation

Adtran Networks SE's annualized ROE % for the fiscal year that ended in Dec. 2025 is calculated as

ROE %=Net Income (A: Dec. 2025 )/( (Total Stockholders Equity (A: Dec. 2024 )+Total Stockholders Equity (A: Dec. 2025 ))/ count )
=-21.883/( (388.166+387.993)/ 2 )
=-21.883/388.0795
=-5.64 %

Adtran Networks SE's annualized ROE % for the quarter that ended in Dec. 2025 is calculated as

ROE %=Net Income (Q: Dec. 2025 )/( (Total Stockholders Equity (Q: Jun. 2025 )+Total Stockholders Equity (Q: Dec. 2025 ))/ count )
=18.856/( (345.829+387.993)/ 2 )
=18.856/366.911
=5.14 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is two times the semi-annual (Dec. 2025) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 5.14% mean?
Adtran Networks SE (WBO:ADV) has a ROE % of 5.14% as of Dec. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Adtran Networks SE and its competitors. This is 49% above median its historical median of 3.46. According to the industry distribution chart, Adtran Networks SE ranks #1879 out of 2423 companies in the Hardware industry, placing it in the top 77.5%.
Is Adtran Networks SE's ROE % too high?
Adtran Networks SE's current ROE % of 5.14% is 49% above median its 10-year median of 3.46. The Hardware industry median ROE % is 4.61. Adtran Networks SE's value of 5.14% is 11.5% above this industry median. Based on the distribution chart, Adtran Networks SE ranks #1879 out of 2423 companies in the Hardware industry, which is in the bottom quartile relative to peers. Overall, Adtran Networks SE has a GF Score™ of 51/100, reflecting its overall financial health beyond just this single metric.
How does Adtran Networks SE's ROE % compare to CSCO and CIEN?
According to the Hardware industry distribution chart, Adtran Networks SE ranks #1879 out of 2423 companies for ROE %. This places Adtran Networks SE in the lower half of its industry. The industry median ROE % is 4.61. Adtran Networks SE's value of 5.14% is 11.5% above this benchmark. While the company's 10-year median is 3.46 vs. the industry median of 4.61, Adtran Networks SE has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Hardware company?
The median ROE % among Hardware companies is 4.61, based on 2,423 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Adtran Networks SE's current ROE % of 5.14% is 11.5% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Adtran Networks SE and its competitors. For the Hardware industry, the median ROE % is 4.61 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Adtran Networks SE's current ROE % is 5.14%, which is 49% above median its own 10-year median of 3.46. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Adtran Networks SE stock overvalued right now?
Adtran Networks SE (WBO:ADV) has a current ROE % of 5.14%. The stock's GF Value™ is €19.99, compared to a current price of €22.80 — trading 14.1% above its estimated fair value. The current ROE % is 5.14%, which is 49% above median its 10-year median of 3.46 and 11.5% above the Hardware industry median of 4.61. Adtran Networks SE's overall GF Score™ is 51/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Adtran Networks SE (WBO:ADV), the current ROE % is 5.14% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Adtran Networks SE (WBO:ADV) Overvalued in 2026?

Based on GuruFocus' analysis, Adtran Networks SE stock appears to be overvalued. The current stock price of €22.80 is trading 14.1% above its estimated GF Value™ of €19.99.

Key valuation signals for WBO:ADV:

  • ROE %: 5.14% (49% above median its 10-year median of 3.46)
  • GF Value™: €19.99 vs. price of €22.80 (14.1% above fair value)
  • GF Score™: 51/100 with 4 warning signs
  • Industry Position: 11.5% above the Hardware median (#1879 of 2423)

No single metric tells the full story. See the WBO:ADV stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Adtran Networks SE Business Description

Other Exchanges 0NOL:UKADV:Germany
Address 901 Explorer Boulevard, Huntsville, AL, USA, 35806-2807
Adtran Networks SE develops, manufactures, and sells optical and Ethernet-based networking solutions to telecommunications carriers and enterprises to deliver data, storage, voice, and video services. Company segment includes: Network Solutions; and Services and Support,These systems are used by telecommunications service providers, private companies, universities, and government agencies. Some of its product categories are Open optical transport, Packet edge and aggregation, Disaggregated networking, Network virtualization, Network infrastructure assurance, and Automated network management. ADVA's geographical segments are United States, United Kingdom, Germany and Other international generating key revenue from United States.
51GF Score

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ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€22.80
Price
€19.99
GF Value