Extreme Networks (NASDAQ:EXTR) Stock Crosses Above 200 Day Moving Average - Time to Sell?

Extreme Networks, Inc. (NASDAQ:EXTR - Get Free Report) shares passed above its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of $15.42 and traded as high as $16.94. Extreme Networks shares last traded at $16.69, with a volume of 742,413 shares traded.

Analysts Set New Price Targets

A number of equities research analysts recently issued reports on EXTR shares. Lake Street Capital reduced their target price on Extreme Networks from $16.00 to $15.00 and set a "hold" rating on the stock in a research note on Thursday, May 1st. Rosenblatt Securities increased their target price on Extreme Networks from $18.00 to $20.00 and gave the stock a "buy" rating in a research report on Friday. Wall Street Zen raised Extreme Networks from a "buy" rating to a "strong-buy" rating in a research report on Thursday, May 22nd. UBS Group lowered their price target on Extreme Networks from $16.50 to $15.00 and set a "neutral" rating for the company in a report on Thursday, May 1st. Finally, Needham & Company LLC restated a "buy" rating and set a $20.00 target price on shares of Extreme Networks in a research note on Thursday, May 15th. Two analysts have rated the stock with a hold rating, four have assigned a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $18.92.

Extreme Networks Stock Down 3.7%

The company has a quick ratio of 0.68, a current ratio of 0.93 and a debt-to-equity ratio of 3.34. The stock has a 50 day moving average of $14.38 and a 200 day moving average of $15.41. The firm has a market capitalization of $2.14 billion, a price-to-earnings ratio of -17.11, a P/E/G ratio of 3.06 and a beta of 1.73.

Extreme Networks (NASDAQ:EXTR - Get Free Report) last issued its earnings results on Wednesday, April 30th. The technology company reported $0.21 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.19 by $0.02. The firm had revenue of $284.51 million for the quarter, compared to analysts' expectations of $280.32 million. Extreme Networks had a negative net margin of 11.98% and a negative return on equity of 110.86%. Extreme Networks's revenue was up 34.8% on a year-over-year basis. During the same quarter last year, the company posted ($0.19) earnings per share. As a group, analysts expect that Extreme Networks, Inc. will post 0.31 earnings per share for the current fiscal year.

Extreme Networks declared that its board has approved a share buyback plan on Tuesday, February 18th that authorizes the company to buyback $200.00 million in outstanding shares. This buyback authorization authorizes the technology company to buy up to 9.2% of its stock through open market purchases. Stock buyback plans are typically a sign that the company's board of directors believes its shares are undervalued.

Insider Activity at Extreme Networks

In other Extreme Networks news, CEO Edward Meyercord sold 35,725 shares of the company's stock in a transaction on Thursday, May 1st. The stock was sold at an average price of $13.73, for a total value of $490,504.25. Following the transaction, the chief executive officer now owns 1,510,719 shares of the company's stock, valued at approximately $20,742,171.87. This represents a 2.31% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 3.70% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of EXTR. Sterling Capital Management LLC increased its holdings in shares of Extreme Networks by 603.3% in the fourth quarter. Sterling Capital Management LLC now owns 1,941 shares of the technology company's stock valued at $32,000 after buying an additional 1,665 shares in the last quarter. Orion Capital Management LLC acquired a new position in Extreme Networks during the fourth quarter worth $33,000. Smartleaf Asset Management LLC increased its position in Extreme Networks by 385.1% during the fourth quarter. Smartleaf Asset Management LLC now owns 2,183 shares of the technology company's stock worth $37,000 after buying an additional 1,733 shares during the last quarter. Quarry LP increased its position in Extreme Networks by 42.1% during the fourth quarter. Quarry LP now owns 2,426 shares of the technology company's stock worth $41,000 after buying an additional 719 shares during the last quarter. Finally, GAMMA Investing LLC grew its position in shares of Extreme Networks by 105.6% in the first quarter. GAMMA Investing LLC now owns 3,170 shares of the technology company's stock valued at $42,000 after purchasing an additional 1,628 shares during the last quarter. Institutional investors own 91.05% of the company's stock.

About Extreme Networks

Extreme Networks, Inc delivers cloud-driven networking solutions that leverage the powers of machine learning, artificial intelligence, analytics, and automation. The company designs, develops, and manufactures wired and wireless network infrastructure equipment and develops the software for network management, policy, analytics, security, and access controls.