Needham & Company LLC Reiterates Buy Rating for Extreme Networks (NASDAQ:EXTR)

Needham & Company LLC reiterated their buy rating on shares of Extreme Networks (NASDAQ:EXTR) in a report released on Thursday morning,Benzinga reports. They currently have a $20.00 price objective on the technology company’s stock.

Several other research analysts have also recently weighed in on EXTR. StockNews.com upgraded Extreme Networks from a “buy” rating to a “strong-buy” rating in a research report on Tuesday. UBS Group dropped their price objective on shares of Extreme Networks from $16.50 to $15.00 and set a “neutral” rating on the stock in a research note on Thursday, May 1st. Rosenblatt Securities reiterated a “buy” rating and issued a $18.00 target price on shares of Extreme Networks in a research note on Thursday, May 1st. Finally, Lake Street Capital dropped their price target on shares of Extreme Networks from $16.00 to $15.00 and set a “hold” rating on the stock in a research report on Thursday, May 1st. Two investment 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 company. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus target price of $18.58.

Extreme Networks Stock Up 2.3%

NASDAQ:EXTR opened at $16.34 on Thursday. The company has a debt-to-equity ratio of 3.34, a current ratio of 0.93 and a quick ratio of 0.68. The company’s fifty day moving average price is $13.39 and its 200-day moving average price is $15.38. Extreme Networks has a 1-year low of $10.10 and a 1-year high of $19.24. The firm has a market capitalization of $2.18 billion, a P/E ratio of -17.38, a PEG ratio of 3.06 and a beta of 1.67.

Extreme Networks (NASDAQ:EXTR) last announced its quarterly earnings results on Wednesday, April 30th. The technology company reported $0.21 earnings per share for the quarter, topping the consensus estimate of $0.19 by $0.02. The company had revenue of $284.51 million for the quarter, compared to the consensus estimate of $280.32 million. Extreme Networks had a negative return on equity of 110.86% and a negative net margin of 11.98%. The firm’s revenue for the quarter was up 34.8% compared to the same quarter last year. During the same period last year, the firm earned ($0.19) EPS. As a group, equities research analysts anticipate that Extreme Networks will post 0.31 EPS for the current year.

Extreme Networks declared that its Board of Directors has authorized a stock buyback program on Tuesday, February 18th that allows the company to buyback $200.00 million in shares. This buyback authorization allows the technology company to repurchase up to 9.2% of its shares through open market purchases. Shares buyback programs are generally an indication that the company’s board of directors believes its stock is undervalued.

Insider Activity

In related news, CEO Edward Meyercord sold 35,725 shares of the company’s stock in a transaction dated Thursday, May 1st. The shares were sold at an average price of $13.73, for a total transaction of $490,504.25. Following the completion of the transaction, the chief executive officer now owns 1,510,719 shares in the company, valued at $20,742,171.87. This represents a 2.31% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Insiders own 3.70% of the company’s stock.

Institutional Investors Weigh In On Extreme Networks

Institutional investors have recently bought and sold shares of the company. AQR Capital Management LLC raised its holdings in shares of Extreme Networks by 6.6% during the first quarter. AQR Capital Management LLC now owns 34,375 shares of the technology company’s stock valued at $455,000 after acquiring an additional 2,122 shares during the last quarter. Alyeska Investment Group L.P. raised its stake in Extreme Networks by 16.5% in the 1st quarter. Alyeska Investment Group L.P. now owns 2,371,596 shares of the technology company’s stock valued at $31,376,000 after purchasing an additional 336,211 shares during the last quarter. Royal Bank of Canada raised its stake in Extreme Networks by 20.8% in the 1st quarter. Royal Bank of Canada now owns 73,610 shares of the technology company’s stock valued at $974,000 after purchasing an additional 12,667 shares during the last quarter. Paradigm Capital Management Inc. NY lifted its holdings in Extreme Networks by 0.7% in the 1st quarter. Paradigm Capital Management Inc. NY now owns 5,225,200 shares of the technology company’s stock valued at $69,129,000 after purchasing an additional 35,400 shares in the last quarter. Finally, State of Wyoming boosted its stake in Extreme Networks by 49.1% during the 1st quarter. State of Wyoming now owns 15,596 shares of the technology company’s stock worth $206,000 after purchasing an additional 5,138 shares during the last quarter. 91.05% of the stock is currently owned by institutional investors and hedge funds.

Extreme Networks Company Profile

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.