Drilling Down Into Extreme Networks, Inc. (EXTR)

Extreme Networks, Inc. (EXTR) is an interesting player in the Technology space, with a focus on Communication Equipment. The stock has been active on the tape, currently trading at $8.75, up from yesterday’s close by 2.10%. Given the stock’s recent action, it seemed like a good time to take a closer look at the company’s recent data.

Fundamental Analysis

Extreme Networks, Inc. (EXTR) currently trades with a market capitalization of $1.05 Billion. That value represents a market adjusting for revenues that have been growing by 75.61 % on a quarterly year/year basis as of the company’s last quarterly report.

You can get a sense of how sustainable that is by a levered free cash flow of -$11 Million over the past twelve months. Generally speaking, earnings are expected to grow in coming quarters. Analysts are forecasting earnings of $0.21 on a per share basis this quarter. Perhaps, that suggests something about why 11.74% of the outstanding share supply is held by institutional investors.

Technical Analysis

It’s important to check the technicals to get a sense of how EXTR has been acting. Looking at the stock’s movement on the chart, Extreme Networks, Inc. recorded a 52-week high of $15.55. It is now trading 6.8% off that level. The stock is trading $11.03 its 50-day moving average by 2.28%. The stock carved out a 52-week low down at $8.10.

In recent action, Extreme Networks, Inc. (EXTR) has made a move of -19.35% over the past month, which has come on Strong relative transaction volume. Over the trailing year, the stock is underperforming the S&P 500 by 14.61, and it’s gotten there by action that has been more volatile on a day-to-day basis than most other stocks on the exchange. In terms of the mechanics underlying that movement, traders will want to note that the stock is trading on a float of 4.99% with $114.69 Million sitting short, betting on future declines. That suggests something of the likelihood of a short squeeze in shares of EXTR.

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