EXTREME NETWORKS INC (EXTR) Stock Fundamental Analysis
NASDAQ:EXTR - Nasdaq - US30226D1063 - Common Stock - Currency: USD
Overall EXTR gets a fundamental rating of 2 out of 10. We evaluated EXTR against 51 industry peers in the Communications Equipment industry. EXTR may be in some trouble as it scores bad on both profitability and health. EXTR is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
EXTR had positive earnings in the past year.
In the past year EXTR has reported a negative cash flow from operations.
The reported net income has been mixed in the past 5 years: EXTR reported negative net income in multiple years.
EXTR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
EXTR has a worse Return On Assets (-11.84%) than 66.67% of its industry peers.
EXTR has a worse Return On Equity (-382.46%) than 92.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -11.84% | ||
| ROE | -382.46% | ||
| ROIC | N/A |
ROA(3y)0.91%
ROA(5y)-2%
ROE(3y)-74.7%
ROE(5y)-513.75%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Gross Margin, with a value of 56.85%, EXTR is in the better half of the industry, outperforming 78.43% of the companies in the same industry.
In the last couple of years the Gross Margin of EXTR has remained more or less at the same level.
The Profit Margin and Operating Margin are not available for EXTR so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 56.85% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.87%
GM growth 5Y0.4%
2. Health
2.1 Basic Checks
EXTR does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, EXTR has more shares outstanding
The number of shares outstanding for EXTR has been increased compared to 5 years ago.
EXTR has a better debt/assets ratio than last year.
2.2 Solvency
EXTR has an Altman-Z score of 0.70. This is a bad value and indicates that EXTR is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 0.70, EXTR is in line with its industry, outperforming 43.14% of the companies in the same industry.
A Debt/Equity ratio of 5.33 is on the high side and indicates that EXTR has dependencies on debt financing.
Looking at the Debt to Equity ratio, with a value of 5.33, EXTR is doing worse than 92.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.33 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 0.7 |
ROIC/WACCN/A
WACC9.53%
2.3 Liquidity
EXTR has a Current Ratio of 0.91. This is a bad value and indicates that EXTR is not financially healthy enough and could expect problems in meeting its short term obligations.
EXTR has a worse Current ratio (0.91) than 92.16% of its industry peers.
EXTR has a Quick Ratio of 0.91. This is a bad value and indicates that EXTR is not financially healthy enough and could expect problems in meeting its short term obligations.
EXTR has a Quick ratio of 0.63. This is amonst the worse of the industry: EXTR underperforms 92.16% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.63 |
3. Growth
3.1 Past
The earnings per share for EXTR have decreased strongly by -88.71% in the last year.
The Earnings Per Share has been decreasing by -1.78% on average over the past years.
EXTR shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -24.46%.
EXTR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.33% yearly.
EPS 1Y (TTM)-88.71%
EPS 3Y-17.51%
EPS 5Y-1.78%
EPS Q2Q%-51.43%
Revenue 1Y (TTM)-24.46%
Revenue growth 3Y3.44%
Revenue growth 5Y2.33%
Sales Q2Q%-23.77%
3.2 Future
The Earnings Per Share is expected to grow by 60.21% on average over the next years. This is a very strong growth
Based on estimates for the next years, EXTR will show a small growth in Revenue. The Revenue will grow by 5.48% on average per year.
EPS Next Y145.44%
EPS Next 2Y77.9%
EPS Next 3Y60.21%
EPS Next 5YN/A
Revenue Next Year1.06%
Revenue Next 2Y4.65%
Revenue Next 3Y5.48%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 112.64, which means the current valuation is very expensive for EXTR.
EXTR's Price/Earnings ratio is in line with the industry average.
EXTR's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 28.28.
A Price/Forward Earnings ratio of 15.57 indicates a correct valuation of EXTR.
Compared to the rest of the industry, the Price/Forward Earnings ratio of EXTR indicates a somewhat cheap valuation: EXTR is cheaper than 70.59% of the companies listed in the same industry.
EXTR is valuated cheaply when we compare the Price/Forward Earnings ratio to 91.29, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 112.64 | ||
| Fwd PE | 15.57 |
4.2 Price Multiples
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
EXTR's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as EXTR's earnings are expected to grow with 60.21% in the coming years.
PEG (NY)0.77
PEG (5Y)N/A
EPS Next 2Y77.9%
EPS Next 3Y60.21%
5. Dividend
5.1 Amount
No dividends for EXTR!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
EXTREME NETWORKS INC
NASDAQ:EXTR (1/29/2025, 8:21:57 PM)
After market: 15.77 0 (0%)15.77
-0.48 (-2.95%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners95.11%
Inst Owner Change0.07%
Ins Owners2.88%
Ins Owner Change6.27%
Market Cap2.08B
Analysts76.92
Price Target19.72 (25.05%)
Short Float %4.03%
Short Ratio4.79
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-62.09%
Min EPS beat(2)-162.25%
Max EPS beat(2)38.07%
EPS beat(4)1
Avg EPS beat(4)-33.17%
Min EPS beat(4)-162.25%
Max EPS beat(4)38.07%
EPS beat(8)5
Avg EPS beat(8)-12.42%
EPS beat(12)9
Avg EPS beat(12)-4.15%
EPS beat(16)12
Avg EPS beat(16)-0.03%
Revenue beat(2)1
Avg Revenue beat(2)0.34%
Min Revenue beat(2)-0.61%
Max Revenue beat(2)1.3%
Revenue beat(4)2
Avg Revenue beat(4)0.02%
Min Revenue beat(4)-1.71%
Max Revenue beat(4)1.3%
Revenue beat(8)5
Avg Revenue beat(8)1.03%
Revenue beat(12)8
Avg Revenue beat(12)1.15%
Revenue beat(16)11
Avg Revenue beat(16)1.14%
PT rev (1m)0%
PT rev (3m)22.75%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-20.18%
EPS NY rev (1m)0%
EPS NY rev (3m)4.84%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-3.5%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 112.64 | ||
| Fwd PE | 15.57 | ||
| P/S | 2.02 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 63.64 | ||
| P/tB | N/A | ||
| EV/EBITDA | N/A |
EPS(TTM)0.14
EY0.89%
EPS(NY)1.01
Fwd EY6.42%
FCF(TTM)-0.17
FCFYN/A
OCF(TTM)-0.01
OCFYN/A
SpS7.82
BVpS0.25
TBVpS-2.83
PEG (NY)0.77
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -11.84% | ||
| ROE | -382.46% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 56.85% | ||
| FCFM | N/A |
ROA(3y)0.91%
ROA(5y)-2%
ROE(3y)-74.7%
ROE(5y)-513.75%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.87%
GM growth 5Y0.4%
F-Score3
Asset Turnover0.98
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.33 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 74.8% | ||
| Cap/Sales | 2.01% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.63 | ||
| Altman-Z | 0.7 |
F-Score3
WACC9.53%
ROIC/WACCN/A
Cap/Depr(3y)46.49%
Cap/Depr(5y)38.9%
Cap/Sales(3y)1.35%
Cap/Sales(5y)1.48%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-88.71%
EPS 3Y-17.51%
EPS 5Y-1.78%
EPS Q2Q%-51.43%
EPS Next Y145.44%
EPS Next 2Y77.9%
EPS Next 3Y60.21%
EPS Next 5YN/A
Revenue 1Y (TTM)-24.46%
Revenue growth 3Y3.44%
Revenue growth 5Y2.33%
Sales Q2Q%-23.77%
Revenue Next Year1.06%
Revenue Next 2Y4.65%
Revenue Next 3Y5.48%
Revenue Next 5YN/A
EBIT growth 1Y-153.78%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year53.22%
EBIT Next 3Y26.51%
EBIT Next 5YN/A
FCF growth 1Y-118.18%
FCF growth 3Y-33.54%
FCF growth 5Y-14.59%
OCF growth 1Y-101.11%
OCF growth 3Y-27.32%
OCF growth 5Y-11.96%