Obermatt

Flags

Financial distress

Extreme Networks

NSQ:EXTR · US30226D1063
Communications EquipmentMedium

360

83
EV / EBIT52
Price / Owner Earnings3
Owner Earnings Yield40
Dividend Yield1
Price/Sales59
EV / Gross Profit48
Price/Book7
Return on Capital89
Cash Return on Capital62
Return on Equity84
EBIT Margin67
Gross Profitability97
Cash Conversion100
Accruals79
Owner Earnings Margin38
Sales growth53
Profit Growth54
Long-Term EPS Growth85
Reinvestment29
Price momentum51
Debt load9
Refinancing5
Debt Payback35
Liquidity67
Analyst ratings76
Opinion Changes50
Price Target Upside17
Market mood83
Value Creation16/20strong value creator
  • Creates more value than its capital costs
  • Owner earnings growing
  • Owner earnings per share growing
  • Reinvests at strong returns
  • Solid earnings base

What this means

Extreme Networks generates returns well above its cost of capital, the foundation of durable shareholder value.

Profile

CountryUSA
IndustryCommunications Equipment
SizeMedium
TypePublic Company
ExchangeNASDAQGS
Founded1996
Employees2,915
ISINUS30226D1063
Last UpdateApr 2, 2026
Themes
Remote Access and ControlNetwork BackboneIdentity and Access ManagementNetwork SecurityCloud ManagementProcess AutomationArtificial IntelligenceCloud InfrastructureEdge ComputingData Center TechnologyCommunication HardwareComputerInformation TechnologyInternet of ThingsNetwork Hardware

Description

Extreme Networks, Inc. (Extreme), an AI-powered cloud networking company, engages in delivering simple and secure solutions that help businesses address challenges and enable connections among devices, applications, and users. The company designs, d…

Analysis

Quality compounder

Extreme Networks, Inc. earns the quality_compounder label: good underlying economics priced fairly, with no obvious bargain or excess.

On valuation, the picture is expensive. The owner-earnings multiple stands at 500.5×; owner earnings: the cash an owner could take out each year. The implied growth embedded in that price is around 52% a year, against analyst forecasts of 20%. The market is pricing in far more than analysts expect: heroic expectations.

Growth is moderate; the safety picture is adequate. The company scores 16/20 on our value-creation score: strong value creator.

Flags to be aware of: Some accounting patterns deserve a closer look. As always: this describes the company's numbers; it is not a recommendation.

360° rank · history

1007550250
30
2023202420252026

All-time high

77

Aug 2023

All-time low

8

Feb 2026

Average rank

42

across all years

Detailed & Historical Ranks

Deep dive into 15 detailed ranks and 3 years of history.

Current202520242023
Price/Sales
59
46
36
47
Price/Earnings
62
50
64
69
Price/Book
7
4
16
2
Dividend Yield
1
1
1
1
Value (overall)
32
17
16
6

Cells are coloured by rank band (red weak → green strong). Sentiment & 360° history begins 2023.

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Make Sense of the Ranks

Every rank runs 1–100 against true peers. Higher is always better.

360° View
1 · Watch OutGood· 100
Value
1 · ExpensiveGood Value· 100
Quality
1 · Weak FundamentalsHigh Quality· 100
Growth
1 · Tough TimesHigh Growth· 100
Safety
1 · High LeverageWell-Financed· 100
Sentiment
1 · SkepticismPositive· 100
Learn More →