I'm now looking for a second technology sector representative for my new Ivy portfolio.

That technology sector has nineteen industries ranging from communication equipment, computers, consumer electronics, and contract manufacturing, to health, information technology and services, to internet, scientific instruments, software, solar, and all such techno-marvels.

Today I'm reviewing a small-cap communication equipment firm, named Adtran Inc. Its trading ticker symbol is ADTN. I last reported on this company November sixth, 2018.

Adtran Inc. is engaged in providing networking and communications equipment. Its products enable voice, data, video and Internet communications across a variety of network infrastructures.

The company operates through two segments, Network Solutions and Services & Support. It offers access and aggregation solutions, including network management and subscriber services control and orchestration software.

The company's access and aggregation solutions also comprise cabinet and outside-plant enclosures and services; pluggable optical transceivers, cables, and other miscellaneous materials; and other products and services.

In addition, it provides customer devices comprising broadband customer premise solutions, such as passive optical network and point-to-point Ethernet optical network terminals; radio frequency over glass micro nodes; residential and business gateways; Wi-Fi access points and related powering and switching infrastructure, and other products and services.

Further, the company offers time division multiplexed and asynchronous transfer mode based aggregation systems and customer devices.

Additionally, it provides planning, engineering, program management, maintenance, support, installation, commissioning, and implementation services.

The company serves communications service providers, distributed enterprises and small and medium-sized businesses, public and private enterprises, and individual users.

ADTRAN, Inc. was founded in 1985 and is headquartered in Huntsville, Alabama.

I use three key data points to gauge the value of any dividend equity-like Adtran Inc. (ADTN):

(1) Price

(2) Dividends

(3) Returns

Besides those three, several other keys will finally unlock equity or fund in which to invest.

Those first three primary keys, however, best tell whether a company has made, is making, and will make money.

ADTN Price

Adtran's price per share closed at $11.61  yesterday. A year ago its price was $19.70. So price tumbled $8.09 per share last year, or 41%.

Assuming Adtran's stock trades in the range of $10 to $20 next year, Adtran's recent $11.61 price could move up by $2.39 and grow to $14.00 by mid-January, 2020.

ADTN Dividends

Adtran's most recent quarterly dividend was $0.09 declared October 16th and paid November 14th.

That $0.09 quarterly stipend equals an annual payout of $.36 yielding 3.1% at yesterday's $11.61 closing price.

Gains For XPER?

Adding the $0.36 annual estimated dividend to my estimated $2.39 annual price upside estimate for Adtran Inc. (ADTN)  shows a $2.75 potential gross annual gain, per share, which will be reduced by costs to trade those shares.

Just under $1,000.00 invested today at the $20.71 recent price would buy us 86 ADTN shares.

A $10 broker fee paid half at purchase and half at sale costs $0.12 per share. Subtract that $0.12 brokerage cost from the estimated $2.75 gross annual gain leaves a net gain of $2.63 X 86 shares = $226.18 for about 22.7% net gain on a $998.46 investment.

Therefore, Adtran Inc.,  whose trading ticker symbol is ADTN, now shows a possible 22.7% net gain including a 3.1% dividend yield.

Seven brokers cover this stock:

One says "buy' ADTN shares.

One expects ADTN stock to "Outperform" peers.

Five say "hold" your ADTN shares.

Therefore, you can look at Adtran Inc. (ADTN) and see it has made money, is making money, and could rise to net a 22.7% annual gain including that 3.01% estimated dividend yield. It could be more, it could be less.    

The above speculation is based on past year performance. The actual results remain to be seen to determine if Adtran Inc. (ADTN) is worth your time and money.