Extreme Networks (NASDAQ:EXTR) Stock Rating Upgraded by Wall Street Zen

Extreme Networks (NASDAQ:EXTR) was upgraded by Wall Street Zen from a “buy” rating to a “strong-buy” rating in a report released on Saturday.

Several other equities research analysts have also issued reports on the stock. Lake Street Capital increased their target price on shares of Extreme Networks from $25.00 to $34.00 and gave the stock a “buy” rating in a report on Monday, June 15th. Needham & Company LLC dropped their price target on shares of Extreme Networks from $38.00 to $35.00 and set a “buy” rating for the company in a research report on Wednesday, August 5th. Rosenblatt Securities dropped their price target on shares of Extreme Networks from $39.00 to $38.00 and set a “buy” rating for the company in a research report on Thursday. UBS Group set a $28.00 price objective on shares of Extreme Networks in a research note on Thursday, April 30th. Finally, 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. Seven research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat, Extreme Networks presently has an average rating of “Moderate Buy” and a consensus target price of $32.25.

Extreme Networks Price Performance

NASDAQ EXTR opened at $23.97 on Friday. The company has a market capitalization of $3.13 billion, a PE ratio of 77.33, a price-to-earnings-growth ratio of 1.46 and a beta of 1.79. The company has a debt-to-equity ratio of 1.63, a quick ratio of 0.81 and a current ratio of 0.93. The business’s fifty day moving average is $30.27 and its 200 day moving average is $21.92. Extreme Networks has a fifty-two week low of $13.48 and a fifty-two 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 (EPS) for the quarter, beating the consensus estimate of $0.29 by $0.03. The business had revenue of $338.55 million during the quarter, compared to analyst estimates of $332.49 million. Extreme Networks had a return on equity of 88.88% and a net margin of 3.28%.Extreme Networks’s revenue for the quarter was up 10.3% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.25 earnings per share. 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. Sell-side analysts predict that Extreme Networks will post 0.81 earnings per share for the current year.

Insiders Place Their Bets

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

Institutional Trading of Extreme Networks

Several institutional investors and hedge funds have recently made changes to their positions in the business. Caitong International Asset Management Co. Ltd purchased a new stake in shares of Extreme Networks during the third quarter valued at $31,000. Rockefeller Capital Management L.P. increased its stake in Extreme Networks by 313.7% in the 4th quarter. Rockefeller Capital Management L.P. now owns 1,957 shares of the technology company’s stock worth $33,000 after buying an additional 1,484 shares during the period. Quarry LP increased its stake in Extreme Networks by 74.9% in the 3rd quarter. Quarry LP now owns 2,610 shares of the technology company’s stock worth $54,000 after buying an additional 1,118 shares during the period. CWM LLC lifted 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 buying an additional 1,084 shares in the last quarter. Finally, Advisors Asset Management Inc. lifted its holdings in Extreme Networks by 136.8% during the 4th quarter. Advisors Asset Management Inc. now owns 3,221 shares of the technology company’s stock valued at $54,000 after buying an additional 1,861 shares in the last quarter. 91.05% of the stock is currently owned by institutional investors.

Key Headlines Impacting Extreme Networks

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

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.