Extreme Networks (NASDAQ:EXTR) Shares Down 5.7% – Should You Sell?

Extreme Networks, Inc. (NASDAQ:EXTR)’s share price was down 5.7% during trading on Wednesday . The stock traded as low as $17.48 and last traded at $17.6020. Approximately 2,664,528 shares were traded during trading, an increase of 52% from the average daily volume of 1,750,654 shares. The stock had previously closed at $18.67.

Analyst Ratings Changes

EXTR has been the topic of a number of recent research reports. Weiss Ratings downgraded shares of Extreme Networks from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Tuesday, February 17th. Rosenblatt Securities reissued a “buy” rating and set a $25.00 price objective on shares of Extreme Networks in a research note on Thursday, January 29th. Wall Street Zen upgraded shares of Extreme Networks from a “buy” rating to a “strong-buy” rating in a report on Saturday, February 28th. Needham & Company LLC lowered their target price on shares of Extreme Networks from $24.00 to $21.00 and set a “buy” rating for the company in a report on Thursday, January 29th. Finally, UBS Group reissued a “neutral” rating and issued a $17.00 price target on shares of Extreme Networks in a research report on Thursday, January 29th. Six research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $22.67.

Extreme Networks Stock Down 7.3%

The company has a market cap of $2.33 billion, a P/E ratio of 246.89, a P/E/G ratio of 1.93 and a beta of 1.62. The company’s 50-day moving average is $15.23 and its two-hundred day moving average is $16.61. The company has a debt-to-equity ratio of 1.61, a current ratio of 0.95 and a quick ratio of 0.80.

Extreme Networks (NASDAQ:EXTR) last issued its earnings results on Wednesday, January 28th. 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 $317.93 million for the quarter, compared to the consensus estimate of $312.33 million. Extreme Networks had a return on equity of 75.56% and a net margin of 0.75%.The company’s revenue was up 13.8% compared to the same quarter last year. During the same period last year, the business posted $0.21 EPS. Extreme Networks has set its Q3 2026 guidance at 0.230-0.250 EPS and its FY 2026 guidance at 0.980-1.020 EPS. As a group, equities analysts predict that Extreme Networks, Inc. will post 0.47 earnings per share for the current fiscal year.

Insider Activity

In related news, CEO Edward Meyercord sold 50,000 shares of the firm’s stock in a transaction that occurred on Wednesday, April 1st. The shares were sold at an average price of $15.30, for a total value of $765,000.00. Following the transaction, the chief executive officer owned 1,897,270 shares of the company’s stock, valued at approximately $29,028,231. This trade represents a 2.57% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders own 3.60% of the company’s stock.

Hedge Funds Weigh In On Extreme Networks

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Penbrook Management LLC purchased a new position in shares of Extreme Networks in the first quarter worth approximately $1,260,000. Louisiana State Employees Retirement System purchased a new position in shares of Extreme Networks in the first quarter worth approximately $897,000. OP Asset Management Ltd bought a new stake in Extreme Networks during the 1st quarter worth approximately $8,173,000. Diversified Trust Co raised its stake in Extreme Networks by 184.8% during the 1st quarter. Diversified Trust Co now owns 31,528 shares of the technology company’s stock worth $475,000 after acquiring an additional 20,459 shares during the period. Finally, Rockefeller Capital Management L.P. raised its stake in 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 acquiring an additional 1,484 shares during the period. 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.