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Extreme Networks (LTS:0IJW) Cyclically Adjusted Book per Share : $1.00 (As of Mar. 2024)


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What is Extreme Networks Cyclically Adjusted Book per Share?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Book per Share and the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted Book Value per Share of a company over the past 10 years.

Extreme Networks's adjusted book value per share for the three months ended in Mar. 2024 was $0.500. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is $1.00 for the trailing ten years ended in Mar. 2024.

During the past 12 months, Extreme Networks's average Cyclically Adjusted Book Growth Rate was -12.50% per year. During the past 3 years, the average Cyclically Adjusted Book Growth Rate was -8.20% per year. During the past 5 years, the average Cyclically Adjusted Book Growth Rate was -7.50% per year. During the past 10 years, the average Cyclically Adjusted Book Growth Rate was -6.20% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Cyclically Adjusted Book Growth Rate using Cyclically Adjusted Book per Share data.

During the past 13 years, the highest 3-Year average Cyclically Adjusted Book Growth Rate of Extreme Networks was -4.10% per year. The lowest was -9.40% per year. And the median was -6.40% per year.

As of today (2024-05-29), Extreme Networks's current stock price is $11.5595. Extreme Networks's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2024 was $1.00. Extreme Networks's Cyclically Adjusted PB Ratio of today is 11.56.

During the past 13 years, the highest Cyclically Adjusted PB Ratio of Extreme Networks was 29.61. The lowest was 1.12. And the median was 4.39.


Extreme Networks Cyclically Adjusted Book per Share Historical Data

The historical data trend for Extreme Networks's Cyclically Adjusted Book per Share can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Extreme Networks Cyclically Adjusted Book per Share Chart

Extreme Networks Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Cyclically Adjusted Book per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.38 1.66 1.28 1.30 1.10

Extreme Networks Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted Book per Share Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 1.10 1.10 1.06 1.02 1.00

Competitive Comparison of Extreme Networks's Cyclically Adjusted Book per Share

For the Communication Equipment subindustry, Extreme Networks's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Extreme Networks's Cyclically Adjusted PB Ratio Distribution in the Hardware Industry

For the Hardware industry and Technology sector, Extreme Networks's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Extreme Networks's Cyclically Adjusted PB Ratio falls into.



Extreme Networks Cyclically Adjusted Book per Share Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Book per Share and the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted Book Value per Share of a company over the past 10 years.

What is Cyclically Adjusted Book per Share? How do we calculate Cyclically Adjusted Book per Share?

Cyclically Adjusted Book per Share is the average of the inflation adjusted Book Value per Share of a company over the past 10 years. Let's use an example to explain.

If we want to calculate the Cyclically Adjusted Book per Share of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the book value per share from 2001 through 2010.

We adjusted the 2001 book value per share data with the total inflation from 2001 through 2010 to the equivalent book value in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart's book value is $1 a share in 2001, then the 2001's equivalent book value in 2010 is $1.4 a share. If Wal-Mart's book value is $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 book value in 2010 is $1.35. So on and so forth, you get the equivalent book value per share of past 10 years. Then you add them together and divided the sum by the count to get Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.

For example, Extreme Networks's adjusted Book Value per Share data for the three months ended in Mar. 2024 was:

Adj_Book= Book Value per Share /CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=0.5/131.7762*131.7762
=0.500

Current CPI (Mar. 2024) = 131.7762.

Extreme Networks Quarterly Data

Book Value per Share CPI Adj_Book
201406 1.616 100.560 2.118
201409 1.467 100.428 1.925
201412 1.350 99.070 1.796
201503 1.157 99.621 1.530
201506 1.039 100.684 1.360
201509 0.971 100.392 1.275
201512 0.922 99.792 1.218
201603 0.862 100.470 1.131
201606 0.859 101.688 1.113
201609 0.849 101.861 1.098
201612 0.794 101.863 1.027
201703 0.798 102.862 1.022
201706 1.133 103.349 1.445
201709 1.195 104.136 1.512
201712 0.981 104.011 1.243
201803 0.976 105.290 1.222
201806 0.971 106.317 1.204
201809 0.990 106.507 1.225
201812 0.993 105.998 1.234
201903 1.062 107.251 1.305
201906 0.973 108.070 1.186
201909 0.772 108.329 0.939
201912 0.430 108.420 0.523
202003 0.137 108.902 0.166
202006 0.045 108.767 0.055
202009 0.081 109.815 0.097
202012 0.145 109.897 0.174
202103 0.279 111.754 0.329
202106 0.430 114.631 0.494
202109 0.557 115.734 0.634
202112 0.539 117.630 0.604
202203 0.760 121.301 0.826
202206 0.699 125.017 0.737
202209 0.843 125.227 0.887
202212 0.655 125.222 0.689
202303 0.801 127.348 0.829
202306 0.914 128.729 0.936
202309 0.838 129.860 0.850
202312 0.841 129.419 0.856
202403 0.500 131.776 0.500

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.


Extreme Networks  (LTS:0IJW) Cyclically Adjusted Book per Share Explanation

If a company grows much fast than inflation, Cyclically Adjusted Book per Share may underestimate the company's equity. Cyclically Adjusted PB Ratio can seem to be too high even the actual PB Ratio is low.

For the Cyclically Adjusted PB Ratio, the book value of the past 10 years are inflation-adjusted and averaged. The result is used for P/B calculation. Since it looks at the average over the last 10 years, the Cyclically Adjusted PB Ratio is also called CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

Extreme Networks's Cyclically Adjusted PB Ratio of today is calculated as

Cyclically Adjusted PB Ratio=Share Price/Cyclically Adjusted Book per Share
=11.5595/1
=11.56

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

During the past 13 years, the highest Cyclically Adjusted PB Ratio of Extreme Networks was 29.61. The lowest was 1.12. And the median was 4.39.


Be Aware

Cyclically Adjusted PB Ratio works better for cyclical companies. It gives you a better idea on the company's real book value.


Extreme Networks Cyclically Adjusted Book per Share Related Terms

Thank you for viewing the detailed overview of Extreme Networks's Cyclically Adjusted Book per Share provided by GuruFocus.com. Please click on the following links to see related term pages.


Extreme Networks (LTS:0IJW) Business Description

Industry
Traded in Other Exchanges
Address
2121 RDU Center Drive, Suite 300, Morrisville, NC, USA, 27560
Extreme Networks Inc provides software-driven networking services for enterprise customers. Its products include wired and wireless network infrastructure equipment and software for network management, policy, analytics, and access controls. It offers high-density Wi-Fi, centralized management, cloud-based network management, and application analytics capabilities. The company operates in a single segment which develops and markets network infrastructure equipment. Roughly half of the firm's revenue is generated in the Americas, with the rest coming from Europe, the Middle East, Africa, and Asia-Pacific.

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