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

Extreme Networks (NASDAQ:EXTR)‘s stock had its “buy” rating reissued by investment analysts at Needham & Company LLC in a report issued on Thursday,Benzinga reports. They currently have a $20.00 price target on the technology company’s stock. Needham & Company LLC’s price objective suggests a potential upside of 23.30% from the stock’s previous close.

A number of other equities analysts have also recently commented on EXTR. StockNews.com upgraded Extreme Networks from a “buy” rating to a “strong-buy” rating in a report on Tuesday. UBS Group reduced 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. Rosenblatt Securities reiterated a “buy” rating and set a $18.00 price target on shares of Extreme Networks in a report on Thursday, May 1st. Finally, Lake Street Capital cut their price objective on shares of Extreme Networks from $16.00 to $15.00 and set a “hold” rating for the company in a research report on Thursday, May 1st. Two analysts have rated the stock with a hold rating, four have given a buy rating and one has issued a strong buy rating to the company. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $18.58.

Extreme Networks Price Performance

EXTR stock opened at $16.22 on Thursday. The stock has a 50-day moving average price of $13.43 and a two-hundred day moving average price of $15.39. The stock has a market cap of $2.16 billion, a PE ratio of -17.26, a price-to-earnings-growth ratio of 3.06 and a beta of 1.67. The company has a current ratio of 0.93, a quick ratio of 0.68 and a debt-to-equity ratio of 3.34. Extreme Networks has a 1 year low of $10.10 and a 1 year high of $19.24.

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

Extreme Networks announced that its Board of Directors has initiated a stock buyback program on Tuesday, February 18th that authorizes the company to buyback $200.00 million in shares. This buyback authorization authorizes the technology company to repurchase up to 9.2% of its stock through open market purchases. Stock buyback programs are usually a sign that the company’s leadership believes its stock is undervalued.

Insiders Place Their Bets

In related news, CEO Edward Meyercord sold 35,725 shares of the business’s stock in a transaction that occurred 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 completion of the sale, the chief executive officer now directly owns 1,510,719 shares in the company, valued at approximately $20,742,171.87. The trade was a 2.31% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Company insiders own 3.70% of the company’s stock.

Institutional Investors Weigh In On Extreme Networks

Several institutional investors have recently made changes to their positions in the stock. Dynamic Technology Lab Private Ltd boosted its stake in shares of Extreme Networks by 126.9% in the first quarter. Dynamic Technology Lab Private Ltd now owns 60,452 shares of the technology company’s stock valued at $800,000 after buying an additional 33,812 shares during the period. Petrus Trust Company LTA bought a new stake in shares of Extreme Networks in the first quarter valued at approximately $158,000. Needham Investment Management LLC bought a new stake in shares of Extreme Networks in the first quarter valued at approximately $331,000. Millennium Management LLC boosted its stake in shares of Extreme Networks by 163.0% in the first quarter. Millennium Management LLC now owns 1,260,362 shares of the technology company’s stock valued at $16,675,000 after buying an additional 781,103 shares during the period. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its stake in shares of Extreme Networks by 4.6% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 76,723 shares of the technology company’s stock valued at $1,015,000 after buying an additional 3,349 shares during the period. 91.05% of the stock is currently owned by institutional investors.

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.