# Extreme Networks Inc. (EXTR) fundamentals

Data as of 2026-09-08. NASDAQ, United States. Sector: Financial Services / Diversified Financial Services. Price $21.70, market value $2.8 billion.

## Valuation
- **P/E (trailing): 70.0×** (5-yr avg 58.8×, 3-yr avg 104.4×). Extreme Networks Inc. trades at 70.0× trailing earnings, close to its own five-year average of 58.8×. The Financial Services median in the September 2026 study was 13.1×. Forward P/E is 14.3×, lower than trailing, so analysts expect earnings to grow.
- **PEG: 0.02**. A PEG of 0.02 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 2.2×**. Each dollar of revenue is priced at 2.2×.
- **Price / book: 32.1×**. The shares trade at 32.1× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **Free-cash-flow yield: 3.4%** (5-yr avg 5.2%). Free cash flow equals 3.4% of the market value, below its five-year average of 5.2%, so the shares are pricier on cash than usual.
- **Earnings yield: 1.4%**. The inverse of the P/E: 1.4% of the price is earned each year.

## Profitability
- **Gross margin: 61.5%**. Extreme Networks Inc. keeps 61.5% of revenue after the direct cost of what it sells, the kind of margin that comes with software, brands or pricing power.
- **Operating margin: 4.9%**. 4.9% of revenue is left after running the business, which leaves little cushion in a downturn.
- **Net margin: 3.3%**. 3.3% of each dollar of sales reaches the bottom line.
- **Return on equity: 47.5%**. 47.5% on shareholders' equity is excellent if it is not driven by leverage; sustained above 20% usually signals a competitive advantage.
- **Return on invested capital: 122.1%**. Return on all capital, debt included, is 122.1%: comfortably above what that capital costs.
- **Return on assets: 3.6%**. Each dollar of assets produces 3.6% of profit; low single digits are normal for banks and insurers.

## Growth
- **Revenue growth (1 yr): 12.6%** (3-yr -0.7%/yr, 5-yr 4.9%/yr). Revenue grew 12.6% over the last year, against 4.9% a year compounded over five years: growth is accelerating.
- **EPS growth (1 yr): 616.7%** (3-yr -18.8%/yr, 5-yr 73.0%/yr). Earnings per share rose 616.7%, faster than revenue, so margins expanded or the share count shrank.
- **Free-cash-flow growth (3 yr): -26.0%/yr**. Free cash flow has compounded at -26.0% a year over three years, lagging earnings: check whether profits are turning into cash.

## Financial health
- **Piotroski F-score: 6/9**. 6 of 9 checks pass: mixed.
- **Cash and short-term investments: $212 million**. Leverage ratios are shown differently for banks and insurers, whose balance sheets are built on deposits and reserves; use return on equity and the regulatory capital in the filings instead.

## Dividends
- **Dividend: none**. Extreme Networks Inc. does not currently pay a dividend.

## Price and momentum
- **Total return (1 yr): -3.3%** (YTD 30.3%, 3-mo -22.6%). The shares are down 3.3% over twelve months including dividends.
- **From 52-week high: -35.7%** (61.0% above the low). Trading 36% below its 52-week high, deep in a drawdown.
- **200-day average: above**. The price sits above its 200-day moving average, the usual definition of an uptrend.
- **RSI (14-day): 33**. An RSI of 33 is neutral.
- **Beta (1 yr): 1.55** (volatility 55%). Beta of 1.55 against the S&P 500: the shares move much more than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=EXTR · Page: https://foliofundamentals.com/stocks/extr

Not investment advice.