Extreme Networks, Inc. (NASDAQ:EXTR) Receives Consensus Recommendation of “Moderate Buy” from Analysts

Shares of Extreme Networks, Inc. (NASDAQ:EXTR) have been assigned a consensus recommendation of “Moderate Buy” from the nine research firms that are covering the stock, MarketBeat.com reports. Two equities research analysts have rated the stock with a hold rating and seven have issued a buy rating on the company. The average 12 month price target among brokerages that have issued a report on the stock in the last year is $32.25.

Several equities analysts have recently weighed in on the company. B. Riley Financial raised their target price on Extreme Networks from $28.00 to $34.00 and gave the company a “buy” rating in a research report on Thursday. Lake Street Capital boosted their price target on Extreme Networks from $25.00 to $34.00 and gave the stock a “buy” rating in a research report on Monday, June 15th. Rosenblatt Securities reduced their price objective on Extreme Networks from $39.00 to $38.00 and set a “buy” rating for the company in a research note on Thursday. Craig Hallum restated a “buy” rating and issued a $31.00 price objective on shares of Extreme Networks in a report on Thursday. Finally, Bank of America lifted their target price on shares of Extreme Networks from $28.00 to $33.00 and gave the stock a “buy” rating in a research note on Monday, June 8th.

Insider Buying and Selling at Extreme Networks

In other Extreme Networks news, CFO Kevin R. Rhodes sold 35,000 shares of the stock in a transaction dated Thursday, June 11th. The shares were sold at an average price of $30.43, for a total value of $1,065,050.00. Following the completion of the sale, the chief financial officer owned 151,296 shares in the company, valued at approximately $4,603,937.28. This represents a 18.79% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, insider Katayoun Motiey sold 30,000 shares of the firm’s stock in a transaction that occurred on Friday, June 12th. The stock was sold at an average price of $31.03, for a total transaction of $930,900.00. Following the completion of the transaction, the insider directly owned 120,834 shares in the company, valued at $3,749,479.02. This trade represents a 19.89% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders sold 422,182 shares of company stock valued at $11,905,205. Corporate insiders own 3.60% of the company’s stock.

Institutional Investors Weigh In On Extreme Networks

Hedge funds and other institutional investors have recently made changes to their positions in the stock. BlackRock Inc. purchased a new position in Extreme Networks during the second quarter worth approximately $674,661,000. Vanguard Group Inc. grew its holdings in Extreme Networks by 1.9% in the 4th quarter. Vanguard Group Inc. now owns 19,112,223 shares of the technology company’s stock valued at $318,219,000 after buying an additional 349,199 shares in the last quarter. State Street Corp increased its stake in shares of Extreme Networks by 3.9% in the 4th quarter. State Street Corp now owns 5,664,493 shares of the technology company’s stock worth $94,314,000 after acquiring an additional 213,094 shares during the last quarter. Paradigm Capital Management Inc. NY increased its stake in shares of Extreme Networks by 5.3% in the 1st quarter. Paradigm Capital Management Inc. NY now owns 5,234,900 shares of the technology company’s stock worth $78,942,000 after acquiring an additional 262,400 shares during the last quarter. Finally, Arrowstreet Capital Limited Partnership raised its holdings in shares of Extreme Networks by 7.6% during the 1st quarter. Arrowstreet Capital Limited Partnership now owns 3,247,680 shares of the technology company’s stock worth $48,975,000 after acquiring an additional 230,617 shares during the period. Institutional investors and hedge funds own 91.05% of the company’s stock.

Extreme Networks Stock Down 1.4%

Shares of NASDAQ EXTR opened at $23.97 on Friday. The firm has a market cap of $3.13 billion, a price-to-earnings ratio of 77.33, a price-to-earnings-growth ratio of 1.48 and a beta of 1.79. The company’s 50-day simple moving average is $30.27 and its 200-day simple moving average is $21.88. The company has a quick ratio of 0.78, a current ratio of 0.93 and a debt-to-equity ratio of 1.63. Extreme Networks has a 52-week low of $13.48 and a 52-week high of $33.73.

Extreme Networks (NASDAQ:EXTR) last released its quarterly earnings results on Wednesday, August 5th. The technology company reported $0.32 earnings per share for the quarter, topping the consensus estimate of $0.29 by $0.03. The firm had revenue of $338.55 million during the quarter, compared to the consensus estimate of $332.49 million. Extreme Networks had a net margin of 3.28% and a return on equity of 88.88%. The company’s revenue for the quarter was up 10.3% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.25 EPS. Extreme Networks has set its FY 2027 guidance at 1.280-1.330 EPS and its Q1 2027 guidance at 0.270-0.290 EPS. Equities analysts predict that Extreme Networks will post 0.81 EPS for the current fiscal year.

Key Extreme Networks News

Here are the key news stories impacting Extreme Networks this week:

• Positive Sentiment: Strong quarterly results: Extreme Networks reported fiscal Q4 adjusted EPS of $0.32, ahead of the $0.29 consensus estimate, while revenue of $338.55 million exceeded expectations of $332.49 million and increased 10.3% year over year. The company also issued fiscal 2027 EPS guidance of $1.28-$1.33. Extreme Networks Fiscal Q4 Earnings Snapshot
• Positive Sentiment: B. Riley raised its target: B. Riley Financial increased its price target from $28 to $34 and maintained a “buy” rating, signaling substantial potential upside based on its outlook for EXTR. Extreme Networks Price Target Raised at B. Riley Financial
• Positive Sentiment: Rosenblatt remains bullish: Rosenblatt Securities trimmed its target modestly from $39 to $38 but retained a “buy” rating, indicating continued confidence despite the adjustment.
• Neutral Sentiment: Upcoming investor conferences: Extreme Networks will participate in investor conferences during August and September, giving management opportunities to discuss demand, execution, and its financial outlook with investors. Extreme Networks Announces Investor Conferences
• Negative Sentiment: Insider selling pressured the shares: Reports of insider sales prompted a gap lower, raising concerns about management or other insiders reducing exposure after the stock’s previous rally. Extreme Networks Shares Gap Down on Insider Selling
• Negative Sentiment: Valuation concerns remain: One analysis argues that Extreme Networks is still overvalued even after its pullback. With a high earnings multiple and only modest profitability, investors may be taking profits despite the earnings beat. Extreme Networks Q4 Fine Print But Still Overvalued After the Pullback
• Negative Sentiment: Mixed target revisions: Needham lowered its price target to $35, while the differing analyst revisions suggest expectations remain positive but are not uniformly strengthening. Extreme Networks Price Target Lowered at Needham

Extreme Networks Company Profile

Extreme Networks, Inc (NASDAQ: EXTR) is a global provider of end-to-end networking solutions designed to support enterprise, data center, and service provider environments. The company’s product portfolio encompasses high-performance wired and wireless access switches, routers, network security appliances, and software-defined networking (SDN) tools. Driven by a cloud-native management architecture, Extreme’s Intelligent Edge Platform integrates network analytics, automation and orchestration capabilities to help organizations optimize performance, reduce operational complexity and strengthen security.

Since its founding in the mid-1990s and subsequent public listing in 1999, Extreme Networks has expanded its technology footprint through targeted acquisitions.