Extreme Networks
EXTR on Nasdaq. Extreme Networks sells networking equipment and software to businesses and service providers. Market value $3.0bn.
Price checks use the past 12 months to June 2026. Quality checks use five annual reports, the latest for the year to June 2026.
Should I look at this?
Good business, but not cheap right now
Why it could be worth it
What to watch out for
See cheaper Technology stocks on the list
This is not advice. Check the numbers below.
For every $100 of what the whole company costs, it produced $2.97 of spare cash in the past 12 months. A savings account pays about $4.
You pay 50.3 years of operating profit for the business. The average large US company costs around 18.
Each dollar kept in the business earns 82 cents a year. Above 10 is good.
Quality score: 77 of 100. Price score: 23 of 100. Our list needs 70 on quality and 60 on price.
$24.54 a share, 82% above its 1-year low
Over the past year the price has ranged from $13.48 to $33.73.
Pays no dividend
Prices from Tuesday’s close (6 October).
Five years of cash, in billions
| Revenue | |||||
| Revenue | $1.1bn | $1.3bn | $1.1bn | $1.1bn | $1.3bn |
| Operating margin | |||||
| Operating margin | 5.8% | 8.3% | -5.8% | 1.5% | 4.9% |
| Debt to equity | |||||
| Debt to equity | 3.36 | 1.90 | 7.42 | 2.71 | 1.85 |
| Shares outstanding | |||||
| Shares outstanding | 0.13bn | 0.13bn | 0.13bn | 0.13bn | 0.13bn |
Health checks
- Free cash flow positive5 of 5 years
- Accounting looks honest (Beneish)Nothing unusual
- Financial strength (Piotroski)8 of 9
- Profit backed by cash (accruals)Yes
- Debt1.85× equity
- Revenue growth, five yearsSlow, 4.9% a year
- Buying back its own sharesRoughly flat
The quarter to June 2026
How the business did, compared with the same quarter a year earlier.
- Sales: $339 million last quarter, up 10% on a year ago.
- Profit: $18 million, after a loss of $8 million a year ago.
- It keeps 5 cents of each $1 of sales as operating profit, up from 1 cents a year earlier.
- Spare cash over the past 12 months: $95 million, down from $127 million.
- It has $48 million more cash than debt, down from $54 million a year ago.
- Sales grew on a year ago in each of the last 4 quarters.
| Quarter to | Amount |
|---|---|
| September 2024 | $269m |
| December 2024 | $279m |
| March 2025 | $285m |
| June 2025 | $307m |
| September 2025 | $310m |
| December 2025 | $318m |
| March 2026 | $317m |
| June 2026 | $339m |
| Quarter to | Amount |
|---|---|
| September 2024 | -$11m |
| December 2024 | $7m |
| March 2025 | $3m |
| June 2025 | -$8m |
| September 2025 | $6m |
| December 2025 | $8m |
| March 2026 | $11m |
| June 2026 | $18m |
From the company's quarterly reports to the SEC.
Dates
- Next results (estimated)
- n/a
- Last annual report (10-K)
- 17 August 2026
- Next quarterly (estimated, 10-Q)
- 30 July 2026
Who owns it
6 long-term investors we follow own it, up from 5 last quarter. 342 funds in all.
| Fund | Value | Share of that fund | Change |
|---|---|---|---|
| SouthernSun Asset ManagementMichael Cook | $55m | 7.3% | Cut |
| Boston PartnersBoston Partners team | $54m | <0.1% | New |
| First Eagle Investment ManagementMatthew McLennan | $38m | <0.1% | Added |
| Royce & AssociatesChuck Royce | $1m | <0.1% | Added |
| Gotham Asset ManagementJoel Greenblatt | $309,392 | <0.1% | Cut |
| Barrow HanleyBarrow Hanley team | $18,483 | <0.1% | Cut |
Largest holders overall
- BlackRock$675mAdded
- Vanguard Portfolio Management$416mCut
- State Street$199mCut
- Vanguard Capital Management$184m
- Price T Rowe Associates$172mAdded
- Paradigm Capital Management$137mCut
- FMR$114mAdded
- Geode Capital Management$110mAdded
- Arrowstreet Capital, Limited Partnership$109mAdded
- Goldman Sachs Group$97mCut
From 13F filings for the quarter ended 30 June 2026.
Big holders and activists
2 investors own more than 5%.
- Vanguard Portfolio ManagementPassive investor10.0%Since 27 February 2026
- Vanguard Capital ManagementPassive investor5.0%Since 31 March 2026
- The Vanguard GroupPassive investorSold down below 5%Since 13 March 2026
| Holder | Stake | Since | |
|---|---|---|---|
Vanguard Portfolio Management Passive investor | 10.0% | 27 February 2026 | |
Vanguard Capital Management Passive investor | 5.0% | 31 March 2026 | |
The Vanguard Group Passive investor | Sold down below 5% | 13 March 2026 |
From Schedule 13D and 13G filings: anyone owning more than 5% must file one.
What insiders did
No insider bought shares on the open market in the last 12 months. 6 sold $26m, $22m of it under preset trading plans.
- MEYERCORD EDWARDPRESIDENT AND CEO, DirectorSoldunder a preset trading plan
- Date
- 1 October 2026
- Shares
- 50,000
- Price
- $21.77
- Value
- $1m
- MEYERCORD EDWARDPRESIDENT AND CEO, DirectorSoldunder a preset trading plan
- Date
- 1 September 2026
- Shares
- 50,000
- Price
- $21.90
- Value
- $1m
- RHODES KEVIN REVP Chief Financial OfficerSoldunder a preset trading plan
- Date
- 21 August 2026
- Shares
- 21,825
- Price
- $22.30
- Value
- $486,698
- Khanna RajDirectorSoldunder a preset trading plan
- Date
- 10 August 2026
- Shares
- 15,000
- Price
- $24.20
- Value
- $363,002
- MEYERCORD EDWARDPRESIDENT AND CEO, DirectorSoldunder a preset trading plan
- Date
- 3 August 2026
- Shares
- 50,000
- Price
- $29.79
- Value
- $1m
- MEYERCORD EDWARDPRESIDENT AND CEO, DirectorSoldunder a preset trading plan
- Date
- 1 July 2026
- Shares
- 50,000
- Price
- $31.71
- Value
- $2m
- MOTIEY KATAYOUNChief Legal Admin Sust OfficerSold
- Date
- 12 June 2026
- Shares
- 30,000
- Price
- $31.03
- Value
- $930,900
- RHODES KEVIN REVP Chief Financial OfficerSold
- Date
- 11 June 2026
- Shares
- 35,000
- Price
- $30.43
- Value
- $1m
- MOTIEY KATAYOUNChief Legal Admin Sust OfficerSoldunder a preset trading plan
- Date
- 8 June 2026
- Shares
- 7,500
- Price
- $30.00
- Value
- $225,000
- MOTIEY KATAYOUNChief Legal Admin Sust OfficerSoldunder a preset trading plan
- Date
- 2 June 2026
- Shares
- 7,500
- Price
- $29.00
- Value
- $217,500
| Date | Who | Did | Shares | Price | Value |
|---|---|---|---|---|---|
| 1 October 2026 | MEYERCORD EDWARD PRESIDENT AND CEO, Director | Sold under a preset trading plan | 50,000 | $21.77 | $1m |
| 1 September 2026 | MEYERCORD EDWARD PRESIDENT AND CEO, Director | Sold under a preset trading plan | 50,000 | $21.90 | $1m |
| 21 August 2026 | RHODES KEVIN R EVP Chief Financial Officer | Sold under a preset trading plan | 21,825 | $22.30 | $486,698 |
| 10 August 2026 | Khanna Raj Director | Sold under a preset trading plan | 15,000 | $24.20 | $363,002 |
| 3 August 2026 | MEYERCORD EDWARD PRESIDENT AND CEO, Director | Sold under a preset trading plan | 50,000 | $29.79 | $1m |
| 1 July 2026 | MEYERCORD EDWARD PRESIDENT AND CEO, Director | Sold under a preset trading plan | 50,000 | $31.71 | $2m |
| 12 June 2026 | MOTIEY KATAYOUN Chief Legal Admin Sust Officer | Sold | 30,000 | $31.03 | $930,900 |
| 11 June 2026 | RHODES KEVIN R EVP Chief Financial Officer | Sold | 35,000 | $30.43 | $1m |
| 8 June 2026 | MOTIEY KATAYOUN Chief Legal Admin Sust Officer | Sold under a preset trading plan | 7,500 | $30.00 | $225,000 |
| 2 June 2026 | MOTIEY KATAYOUN Chief Legal Admin Sust Officer | Sold under a preset trading plan | 7,500 | $29.00 | $217,500 |
From Form 4 filings: insiders must report trades in their own company's shares within two days.
Warning signs in its filings
Problems the company itself reported to the SEC, in its own words.
None of the serious warning signs we check for were found. 1 thing worth knowing.
We look for five warning signs: doubt it can keep going, weak checks on its own accounts, a notice that its past accounts can't be relied on, a change of auditor, and one customer bringing in a big share of sales. We don't check lawsuits, investigations or debt yet.
We checked the auditor's report, internal controls, restatement notices, auditor changes and big customers in the 10-K filed 17 Aug 2026, plus 1 later 8-K.
Changed auditor
Worth knowingThe company changed its auditor (the firm that checks its books) in the last two years.
“On, and effective as of, August 21, 2026, the Audit Committee (the “Audit Committee”) of the Board of Directors of Extreme Networks, Inc. (the “Company”) approved the dismissal of Grant Thornton LLP (“GT”) as the Company’s independent registered public accounting firm.”
From an 8-K filed 26 August 2026: Change of auditor. Read it in the filing
A 10-K is the yearly report every US company files with the SEC. An 8-K is a short notice of a big event.
What could go wrong
- It isn't cheap on profits: 50.3× operating profit.
Whether the price already reflects the risks is what the deep dive is for.
The deep dive
Everything above is arithmetic on public filings. The deep dive reads the last ten years of annual reports, the proxy statements, and the earnings calls, then argues the case the way Buffett, Klarman, and Hohn would, and checks every claim against the source.
- What the business is worth, as a range, and the margin of safety at today’s price
- Prices to start buying, buy, and buy hard
- The three things that would make this a mistake
- Every number footnoted to the filing it came from
Your first deep dive is free.
Not advice. Numbers on this page come from SEC filings and are updated each night; prices are updated again after the US market closes. The five-year figures are rounded.