Extreme Networks (NASDAQ:EXTR) Board Initiates Stock Repurchase Program

Extreme Networks (NASDAQ:EXTR) announced that its board has authorized a share buyback program on Tuesday, February 18th, RTT News reports. The company plans to buyback $200.00 million in outstanding shares. This buyback authorization permits the technology company to reacquire up to 9.2% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s management believes its stock is undervalued.

Wall Street Analysts Forecast Growth

A number of analysts recently weighed in on the stock. Craig Hallum upped their target price on shares of Extreme Networks from $17.00 to $22.50 and gave the stock a “buy” rating in a report on Thursday, October 31st. B. Riley upped their target price on shares of Extreme Networks from $18.00 to $21.00 and gave the stock a “buy” rating in a report on Thursday, October 31st. Needham & Company LLC reaffirmed a “buy” rating and set a $20.00 target price on shares of Extreme Networks in a report on Thursday, January 30th. Lake Street Capital upped their target price on shares of Extreme Networks from $15.00 to $16.00 and gave the stock a “hold” rating in a report on Thursday, January 30th. Finally, StockNews.com raised shares of Extreme Networks from a “hold” rating to a “buy” rating in a report on Thursday, December 19th. One analyst has rated the stock with a hold rating and five have given a buy rating to the company’s stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $20.30.

Extreme Networks Price Performance

EXTR stock opened at $16.35 on Wednesday. The company has a debt-to-equity ratio of 3.34, a current ratio of 0.93 and a quick ratio of 0.68. Extreme Networks has a one year low of $10.49 and a one year high of $19.24. The stock has a market cap of $2.17 billion, a PE ratio of -17.39, a P/E/G ratio of 2.99 and a beta of 1.73. The firm has a 50 day simple moving average of $16.86 and a two-hundred day simple moving average of $15.77.

Extreme Networks (NASDAQ:EXTR) last released its quarterly earnings results on Wednesday, January 29th. The technology company reported $0.11 EPS for the quarter, missing analysts’ consensus estimates of $0.18 by ($0.07). Extreme Networks had a negative return on equity of 110.86% and a negative net margin of 11.98%. On average, analysts predict that Extreme Networks will post 0.31 EPS for the current fiscal year.

Insider Activity

In other news, Director Charles Carinalli sold 5,000 shares of the company’s stock in a transaction on Monday, November 25th. The shares were sold at an average price of $16.70, for a total value of $83,500.00. Following the completion of the sale, the director now owns 366,793 shares of the company’s stock, valued at approximately $6,125,443.10. This represents a 1.34 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Edward Meyercord sold 35,725 shares of the stock in a transaction on Monday, February 3rd. The shares were sold at an average price of $15.39, for a total transaction of $549,807.75. Following the sale, the chief executive officer now directly owns 1,478,941 shares of the company’s stock, valued at $22,760,901.99. The trade was a 2.36 % decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 45,725 shares of company stock valued at $713,608. Corporate insiders own 3.70% of the company’s stock.

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.