Extreme Networks (NASDAQ:EXTR) Hits New 52-Week High - Should You Buy?

Extreme Networks, Inc. (NASDAQ:EXTR - Get Free Report) reached a new 52-week high during mid-day trading on Thursday . The stock traded as high as $27.28 and last traded at $26.67, with a volume of 1565982 shares. The stock had previously closed at $27.02.

Wall Street Analysts Forecast Growth

Several analysts have recently issued reports on the stock. Wall Street Zen upgraded shares of Extreme Networks from a "buy" rating to a "strong-buy" rating in a research note on Sunday. Lake Street Capital reiterated a "buy" rating and issued a $25.00 target price on shares of Extreme Networks in a research note on Thursday, April 30th. Rosenblatt Securities reiterated a "buy" rating and issued a $25.00 target price on shares of Extreme Networks in a research note on Thursday, January 29th. Needham & Company LLC upped their target price on shares of Extreme Networks from $21.00 to $26.00 and gave the stock a "buy" rating in a research note on Thursday, April 30th. Finally, Weiss Ratings lowered shares of Extreme Networks from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Friday, May 15th. Six research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $25.50.

Extreme Networks Stock Performance

The company has a market cap of $3.49 billion, a P/E ratio of 222.25, a price-to-earnings-growth ratio of 2.55 and a beta of 1.77. The company's 50-day moving average is $19.29 and its two-hundred day moving average is $17.10. The company has a quick ratio of 0.78, a current ratio of 0.91 and a debt-to-equity ratio of 1.89.

Extreme Networks (NASDAQ:EXTR - Get Free Report) last issued its earnings results on Wednesday, April 29th. The technology company reported $0.26 earnings per share for the quarter, topping analysts' consensus estimates of $0.24 by $0.02. The firm had revenue of $316.87 million during the quarter, compared to analyst estimates of $311.48 million. Extreme Networks had a net margin of 1.30% and a return on equity of 81.88%. The company's quarterly revenue was up 11.4% on a year-over-year basis. During the same quarter last year, the business earned $0.21 earnings per share. Extreme Networks has set its Q4 2026 guidance at 0.280-0.300 EPS. Equities analysts predict that Extreme Networks, Inc. will post 0.53 EPS for the current year.

Insider Transactions at Extreme Networks

In related news, CEO Edward Meyercord sold 21,209 shares of the firm's stock in a transaction that occurred on Tuesday, May 5th. The shares were sold at an average price of $23.12, for a total value of $490,352.08. Following the sale, the chief executive officer directly owned 1,797,270 shares of the company's stock, valued at $41,552,882.40. This trade represents a 1.17% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Kathleen M. Holmgren sold 19,521 shares of the stock in a transaction that occurred on Friday, May 15th. The shares were sold at an average price of $24.78, for a total transaction of $483,730.38. Following the transaction, the director owned 219,308 shares in the company, valued at $5,434,452.24. The trade was a 8.17% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 297,182 shares of company stock valued at $6,448,528. Company insiders own 3.60% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of EXTR. Royal Bank of Canada grew its position in Extreme Networks by 20.8% during the first quarter. Royal Bank of Canada now owns 73,610 shares of the technology company's stock valued at $974,000 after acquiring an additional 12,667 shares during the last quarter. AQR Capital Management LLC grew its position in Extreme Networks by 6.6% during the first quarter. AQR Capital Management LLC now owns 34,375 shares of the technology company's stock valued at $455,000 after acquiring an additional 2,122 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its position in Extreme Networks by 4.6% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 76,723 shares of the technology company's stock valued at $1,015,000 after acquiring an additional 3,349 shares during the last quarter. Millennium Management LLC grew its position in Extreme Networks by 163.0% during the first quarter. Millennium Management LLC now owns 1,260,362 shares of the technology company's stock valued at $16,675,000 after acquiring an additional 781,103 shares during the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its position in Extreme Networks by 7.5% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 319,434 shares of the technology company's stock valued at $4,226,000 after acquiring an additional 22,209 shares during the last quarter. 91.05% of the stock is currently owned by institutional investors.

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.

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