Extreme Networks (NASDAQ:EXTR) Price Target Lowered to $38.00 at Rosenblatt Securities

Key Points

• Rosenblatt Securities lowered Extreme Networks’ price target from $39 to $38 while maintaining a Buy rating; the new target implies roughly 45% upside from the reported $26.19 share price.
• Extreme Networks exceeded quarterly expectations, reporting adjusted EPS of $0.32 versus $0.29 expected and revenue of $338.55 million, up 10.3% year over year. Fiscal 2027 EPS guidance of $1.28–$1.33 also came in above consensus.
• Despite broadly favorable analyst sentiment—with six Buy ratings and two Holds—the stock was reported down 19%, while company insiders sold more than $11.9 million of shares over the past 90 days.

Extreme Networks (NASDAQ:EXTR - Get Free Report) had its price objective reduced by stock analysts at Rosenblatt Securities from $39.00 to $38.00 in a research note issued on Thursday,Benzinga reports. The firm presently has a "buy" rating on the technology company's stock. Rosenblatt Securities' price target suggests a potential upside of 45.09% from the company's current price.

EXTR has been the topic of a number of other reports. Weiss Ratings upgraded Extreme Networks from a "sell (d+)" rating to a "hold (c-)" rating in a research note on Monday, July 6th. B. Riley Financial reiterated a "buy" rating on shares of Extreme Networks in a research report on Thursday, April 30th. Bank of America boosted their price target on Extreme Networks from $28.00 to $33.00 and gave the stock a "buy" rating in a research note on Monday, June 8th. Wall Street Zen cut Extreme Networks from a "strong-buy" rating to a "buy" rating in a report on Saturday, July 18th. Finally, Lake Street Capital lifted their price objective on Extreme Networks from $25.00 to $34.00 and gave the stock a "buy" rating in a report on Monday, June 15th. Six analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $32.17.

Extreme Networks Trading Down 19.0%

NASDAQ EXTR opened at $26.19 on Thursday. Extreme Networks has a one year low of $13.48 and a one year high of $33.73. The firm has a market cap of $3.43 billion, a PE ratio of 218.25, a P/E/G ratio of 1.99 and a beta of 1.79. The firm's fifty day moving average is $30.36 and its two-hundred day moving average is $21.80. The company has a debt-to-equity ratio of 1.89, a quick ratio of 0.78 and a current ratio of 0.91.

Extreme Networks (NASDAQ:EXTR - Get Free Report) last posted its quarterly earnings data on Wednesday, August 5th. The technology company reported $0.32 earnings per share for the quarter, topping analysts' consensus estimates of $0.29 by $0.03. Extreme Networks had a return on equity of 81.88% and a net margin of 1.30%.The company had revenue of $338.55 million during the quarter, compared to analysts' expectations of $332.49 million. During the same period last year, the firm earned $0.25 EPS. The firm's revenue for the quarter was up 10.3% on a year-over-year basis. 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. Analysts expect that Extreme Networks will post 0.53 earnings per share for the current year.

Insider Buying and Selling

In related news, CFO Kevin R. Rhodes sold 35,000 shares of Extreme Networks stock in a transaction that occurred on Thursday, June 11th. The stock was sold at an average price of $30.43, for a total transaction of $1,065,050.00. Following the completion of the transaction, the chief financial officer directly owned 151,296 shares in the company, valued at $4,603,937.28. The trade was a 18.79% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO Edward Meyercord sold 100,000 shares of the company's stock in a transaction that occurred on Tuesday, May 26th. The shares were sold at an average price of $26.10, for a total value of $2,610,000.00. Following the completion of the sale, the chief executive officer directly owned 1,721,902 shares in the company, valued at approximately $44,941,642.20. The trade was a 5.49% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 422,182 shares of company stock valued at $11,905,205. 3.60% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in EXTR. Vanguard Group Inc. grew its holdings in Extreme Networks by 1.9% during the 4th quarter. Vanguard Group Inc. now owns 19,112,223 shares of the technology company's stock valued at $318,219,000 after purchasing an additional 349,199 shares in the last quarter. M&T Bank Corp lifted its stake in Extreme Networks by 547.7% in the fourth quarter. M&T Bank Corp now owns 77,937 shares of the technology company's stock valued at $1,298,000 after buying an additional 65,904 shares during the last quarter. Oppenheimer Asset Management Inc. bought a new position in Extreme Networks in the 4th quarter worth about $1,009,000. Impax Asset Management Group plc boosted its position in shares of Extreme Networks by 10.5% during the fourth quarter. Impax Asset Management Group plc now owns 945,178 shares of the technology company's stock worth $15,737,000 after buying an additional 90,000 shares during the period. Finally, Abacus FCF Advisors LLC bought a new stake in Extreme Networks during the 4th quarter valued at $6,439,000. 91.05% of the stock is currently owned by hedge funds and other institutional investors.

Key Stories Impacting Extreme Networks

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

• Positive Sentiment: Extreme Networks reported fiscal Q4 adjusted earnings of $0.32 per share, exceeding the $0.29 analyst consensus and improving from $0.25 a year earlier. Revenue rose 10.3% year over year to $338.55 million, also ahead of the $332.49 million estimate. Extreme Networks Q4 Earnings and Revenues Beat Estimates
• Positive Sentiment: Management’s fiscal 2027 outlook calls for EPS of $1.28–$1.33, above the $1.21 consensus. First-quarter fiscal 2027 EPS guidance of $0.27–$0.29 and revenue guidance of $334 million–$339 million likewise exceed analyst expectations, signaling continued earnings momentum. Extreme Networks Reports Fourth Quarter and Fiscal Year 2026 Financial Results
• Neutral Sentiment: Needham lowered its price target from $38 to $35 but maintained a Buy rating. The revised target still implies substantial upside from recent trading levels, although the cut may pressure the stock in the short term. Extreme Networks Price Target Lowered at Needham
• Negative Sentiment: CEO Edward Meyercord sold 50,000 shares for approximately $1.49 million, reducing his direct ownership by 3.04%. The transaction occurred under a pre-arranged Rule 10b5-1 plan, which makes it less indicative of a discretionary bearish view but can still weigh on investor sentiment. Extreme Networks CEO Sells 50,000 Shares
• Negative Sentiment: At roughly $3.4 billion in market value, EXTR trades at a very high reported P/E ratio, while its quick and current ratios remain below 1. Investors may be taking profits or demanding stronger evidence that the projected growth justifies the company’s valuation and balance-sheet risk.

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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