Extreme Networks (NASDAQ:EXTR) Rating Lowered to "Buy" at Wall Street Zen

Key Points

• Wall Street Zen cut Extreme Networks from a “strong-buy” to a “buy,” though overall analyst sentiment remains positive with a Moderate Buy consensus and a $30.83 average price target.
• The stock was up 1.9% to $30.34, near its 52-week high of $33.73, and the company now sports a market cap of about $3.97 billion.
• Extreme Networks recently posted better-than-expected quarterly results, with EPS of $0.26 versus $0.24 expected and revenue rising 11.4% year over year to $316.87 million.

Extreme Networks (NASDAQ:EXTR - Get Free Report) was downgraded by analysts at Wall Street Zen from a "strong-buy" rating to a "buy" rating in a research report issued to clients and investors on Saturday.

A number of other equities analysts have also weighed in on EXTR. Weiss Ratings upgraded shares of Extreme Networks from a "sell (d+)" rating to a "hold (c-)" rating in a research report on Monday, July 6th. Lake Street Capital lifted their price target on shares of Extreme Networks from $25.00 to $34.00 and gave the company a "buy" rating in a report on Monday, June 15th. Rosenblatt Securities boosted their price target on shares of Extreme Networks from $29.00 to $39.00 and gave the stock a "buy" rating in a research note on Thursday, June 11th. UBS Group set a $28.00 price objective on shares of Extreme Networks in a report on Thursday, April 30th. Finally, Needham & Company LLC lifted their target price on Extreme Networks from $21.00 to $26.00 and gave the stock a "buy" rating in a report on Thursday, April 30th. Six equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat, the company has an average rating of "Moderate Buy" and a consensus price target of $30.83.

Extreme Networks Trading Up 1.9%

Shares of EXTR stock opened at $30.34 on Friday. The company has a debt-to-equity ratio of 1.89, a quick ratio of 0.78 and a current ratio of 0.91. The stock has a fifty day simple moving average of $28.99 and a two-hundred day simple moving average of $20.54. The firm has a market capitalization of $3.97 billion, a PE ratio of 252.83, a PEG ratio of 1.83 and a beta of 1.77. Extreme Networks has a 52-week low of $13.48 and a 52-week high of $33.73.

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

Insider Buying and Selling at Extreme Networks

In other Extreme Networks news, CEO Edward Meyercord sold 100,000 shares of Extreme Networks stock in a transaction 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 transaction, the chief executive officer directly owned 1,721,902 shares of the company's stock, valued at $44,941,642.20. This trade represents a 5.49% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Edward H. Kennedy sold 50,000 shares of the company's stock in a transaction dated Monday, May 4th. The shares were sold at an average price of $22.86, for a total transaction of $1,143,000.00. Following the sale, the director owned 576,045 shares in the company, valued at $13,168,388.70. This represents a 7.99% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 592,182 shares of company stock valued at $15,423,978 over the last ninety days. Corporate insiders own 3.60% of the company's stock.

Hedge Funds Weigh In On Extreme Networks

Several large investors have recently modified their holdings of EXTR. Caitong International Asset Management Co. Ltd purchased a new stake in shares of Extreme Networks in the third quarter valued at $31,000. Rockefeller Capital Management L.P. boosted its stake in shares of Extreme Networks by 313.7% during the 4th quarter. Rockefeller Capital Management L.P. now owns 1,957 shares of the technology company's stock worth $33,000 after purchasing an additional 1,484 shares during the period. Quarry LP grew its holdings in Extreme Networks by 74.9% during the 3rd quarter. Quarry LP now owns 2,610 shares of the technology company's stock valued at $54,000 after purchasing an additional 1,118 shares during the last quarter. CWM LLC grew its holdings in Extreme Networks by 51.7% during the 4th quarter. CWM LLC now owns 3,179 shares of the technology company's stock valued at $53,000 after purchasing an additional 1,084 shares during the last quarter. Finally, Advisors Asset Management Inc. raised its position in Extreme Networks by 136.8% in the 4th quarter. Advisors Asset Management Inc. now owns 3,221 shares of the technology company's stock worth $54,000 after purchasing an additional 1,861 shares during the period. Institutional investors own 91.05% of the company's stock.

About Extreme Networks

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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