Extreme Networks (STU:EXM) EBIT: €37 Mil (TTM As of Mar. 2026)


STU:EXM Extreme Networks Inc STU:EXM
64 GF Score
Price €27.88
GF Value €16.04
Valuation Significantly Overvalued
! 6 Warning Signs
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What is Extreme Networks EBIT?

Extreme Networks STU:EXM +2.84% 64 EBIT is €37 Mil as of Mar. 2026. GuruFocus rates STU:EXM with a GF Score™ of 64/100 and a GF Value™ of €16.04 (Significantly Overvalued). The stock has 6 warning signs investors should review.

Extreme Networks's earnings before interest and taxes (EBIT) for the three months ended in Mar. 2026 was €16 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2026 was €37 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Extreme Networks's annualized ROC % for the quarter that ended in Mar. 2026 was 4.69%. Extreme Networks's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 84.93%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Extreme Networks's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 1.02%.


Extreme Networks  (STU:EXM) EBIT Explanation

1. EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Extreme Networks's annualized ROC % for the quarter that ended in Mar. 2026 is calculated as:

ROC % (Q: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=59.996 * ( 1 - 28.5% )/( (902.391 + 927.168)/ 2 )
=42.89714/914.7795
=4.69 %

where

Invested Capital(Q: Dec. 2025 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=998.041 - 120.769 - ( 187.702 - max(0, 482.631 - 457.512+187.702))
=902.391

Invested Capital(Q: Mar. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=1012.102 - 129.449 - ( 181.748 - max(0, 513.174 - 468.659+181.748))
=927.168

Note: The Operating Income data used here is four times the quarterly (Mar. 2026) data.

2. Joel Greenblatt's definition of Return on Capital:

Extreme Networks's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Mar. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=62.488/( ( (72.721 + max(-188.025, 0)) + (74.435 + max(-174.064, 0)) )/ 2 )
=62.488/( ( 72.721 + 74.435 )/ 2 )
=62.488/73.578
=84.93 %

where Working Capital is:

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(130.173 + 71.388 + 68.249) - (120.769 + 280.252 + 56.814)
=-188.025

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(140.744 + 66.288 + 79.879) - (129.449 + 289.427 + 42.099)
=-174.064

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

3. It is also linked to Joel Greenblatt's definition of Earnings Yield:

Extreme Networks's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Mar. 2026 )
=37.313/3676.129
=1.02 %

* 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.


Extreme Networks EBIT Related Terms


Extreme Networks EBIT Historical Data

* Premium members only.

The historical data trend for Extreme Networks's EBIT 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.

Extreme Networks EBIT Chart

Extreme Networks Annual Data
Trend Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23 Jun24 Jun25
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 27.42 61.47 102.91 -56.22 17.51

Extreme Networks Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
EBIT 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 10.14 -0.29 10.23 11.75 15.62

STU:EXM vs BDC, VISN, DGII: EBIT Comparison

For the Communication Equipment subindustry, Extreme Networks's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT 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 EV-to-EBIT vs Hardware Industry

For the Hardware industry and Technology sector, Extreme Networks's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Extreme Networks's EV-to-EBIT falls into.


STU:EXM
64GF Score
Extreme Networks Inc STU:EXM
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Extreme Networks EBIT Calculation

EBIT, sometimes also called Earnings Before Interest and Taxes, is a measure of a firm's profit that includes all expenses except interest and income tax expenses. It is the difference between operating revenues and operating expenses. When a firm does not have non-operating income, then Operating Income is sometimes used as a synonym for EBIT and operating profit.

EBIT for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €37 Mil.

* 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.

Frequently Asked Questions Learn more about EBIT →
What does a EBIT of €37 Mil mean?
Extreme Networks (STU:EXM) has a EBIT of €37 Mil as of Mar. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Extreme Networks.
Is Extreme Networks' EBIT too high?
Extreme Networks' current EBIT is €37 Mil. Overall, Extreme Networks has a GF Score™ of 64/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Extreme Networks' EBIT compare to BDC and VISN?
Extreme Networks' EBIT of €37 Mil can be compared against companies in the Hardware industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBIT for a Hardware company?
A good EBIT depends on the Hardware industry context. However, EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBIT mean?
A high EBIT can signal that a stock is expensive relative to its fundamentals. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Extreme Networks. Extreme Networks's current EBIT is €37 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Extreme Networks stock overvalued right now?
Based on GuruFocus' analysis, Extreme Networks (STU:EXM) is currently considered Significantly Overvalued. The stock's GF Value™ is €16.04, compared to a current price of €27.88 — trading 73.8% above its estimated fair value. The current EBIT is €37 Mil. Extreme Networks' overall GF Score™ is 64/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBIT calculated?
EBIT is calculated from a company's financial statements. For Extreme Networks (STU:EXM), the current EBIT is €37 Mil as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Extreme Networks (STU:EXM) Overvalued in 2026?

Based on GuruFocus' analysis, Extreme Networks stock appears to be overvalued. The current stock price of €27.88 is trading 73.8% above its estimated GF Value™ of €16.04. GuruFocus considers Extreme Networks to be Significantly Overvalued.

Key valuation signals for STU:EXM:

  • EBIT: €37 Mil
  • GF Value™: €16.04 vs. price of €27.88 (73.8% above fair value)
  • GF Score™: 64/100 with 6 warning signs

No single metric tells the full story. See the STU:EXM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Extreme Networks Business Description

Other Exchanges EXTR:USA0IJW:UK
Address 2121 RDU Center Drive, Suite 300, Morrisville, NC, USA, 27560
Extreme Networks Inc provides AI-powered cloud networking, focused on delivering simple and secure solutions that help businesses address challenges and enable connections among devices, applications, and users. The group designs, develops, and manufactures wired, wireless, and software-defined wide area network (SD-WAN) infrastructure equipment. It has one reportable segment, the development, marketing, and sale of network infrastructure equipment and related software. The Company operates in three geographical areas: Americas, EMEA, and APAC.
64GF Score

Get the complete analysis for STU:EXM

EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€27.88
Price
€16.04
GF Value