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

Extreme Networks, Inc. (NASDAQ:EXTR) hit a new 52-week high during 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.

Analysts Set New Price Targets

EXTR has been the subject of a number of recent analyst reports. Lake Street Capital reiterated a “buy” rating and set a $25.00 price target on shares of Extreme Networks in a report on Thursday, April 30th. Rosenblatt Securities reiterated a “buy” rating and set a $25.00 price target on shares of Extreme Networks in a report on Thursday, January 29th. Weiss Ratings lowered shares of Extreme Networks from a “hold (c-)” rating to a “sell (d+)” rating in a report on Friday, May 15th. B. Riley Financial reiterated a “buy” rating on shares of Extreme Networks in a report on Thursday, April 30th. Finally, UBS Group set a $28.00 price target on shares of Extreme Networks in a report on Thursday, April 30th. Six equities research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average price target of $25.50.

Extreme Networks Trading Down 1.3%

The stock has a 50-day simple moving average of $19.29 and a two-hundred day simple moving average of $17.10. 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 firm has a market cap of $3.49 billion, a PE ratio of 222.25, a price-to-earnings-growth ratio of 2.55 and a beta of 1.77.

Extreme Networks (NASDAQ:EXTR) last released its quarterly earnings results on Wednesday, April 29th. The technology company reported $0.26 EPS for the quarter, beating the consensus estimate of $0.24 by $0.02. Extreme Networks had a net margin of 1.30% and a return on equity of 81.88%. The firm had revenue of $316.87 million during the quarter, compared to analyst estimates of $311.48 million. During the same quarter in the prior year, the firm earned $0.21 EPS. The business’s revenue for the quarter was up 11.4% compared to the same quarter last year. Extreme Networks has set its Q4 2026 guidance at 0.280-0.300 EPS. As a group, sell-side analysts anticipate that Extreme Networks, Inc. will post 0.53 EPS for the current year.

Insider Activity

In other news, CEO Edward Meyercord sold 21,209 shares of the company’s stock in a transaction dated Tuesday, May 5th. The shares were sold at an average price of $23.12, for a total transaction of $490,352.08. Following the completion of the sale, the chief executive officer owned 1,797,270 shares of the company’s stock, valued at $41,552,882.40. This represents a 1.17% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Kathleen M. Holmgren sold 19,521 shares of the company’s stock in a transaction dated Friday, May 15th. The shares were sold at an average price of $24.78, for a total transaction of $483,730.38. Following the sale, the director directly owned 219,308 shares of the company’s stock, valued at $5,434,452.24. The trade was a 8.17% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 297,182 shares of company stock worth $6,448,528. Company insiders own 3.60% of the company’s stock.

Institutional Investors Weigh In On Extreme Networks

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Vanguard Group Inc. increased its holdings in Extreme Networks by 1.9% in the 4th quarter. Vanguard Group Inc. now owns 19,112,223 shares of the technology company’s stock worth $318,219,000 after acquiring an additional 349,199 shares in the last quarter. State Street Corp increased its holdings in Extreme Networks by 3.9% in the 4th quarter. State Street Corp now owns 5,664,493 shares of the technology company’s stock worth $94,314,000 after acquiring an additional 213,094 shares in the last quarter. Paradigm Capital Management Inc. NY increased its holdings in Extreme Networks by 5.3% in the 1st quarter. Paradigm Capital Management Inc. NY now owns 5,234,900 shares of the technology company’s stock worth $78,942,000 after acquiring an additional 262,400 shares in the last quarter. Arrowstreet Capital Limited Partnership increased its holdings in Extreme Networks by 7.6% in the 1st quarter. Arrowstreet Capital Limited Partnership now owns 3,247,680 shares of the technology company’s stock worth $48,975,000 after acquiring an additional 230,617 shares in the last quarter. Finally, Alyeska Investment Group L.P. increased its holdings in Extreme Networks by 301.9% in the 4th quarter. Alyeska Investment Group L.P. now owns 2,971,718 shares of the technology company’s stock worth $49,479,000 after acquiring an additional 2,232,373 shares in the last quarter. Hedge funds and other 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.