EXTR - Here's Why Extreme Networks Stock Sank to a New 52-Week Low Today
2024-01-31 13:30:09 ET
Shares of network infrastructure company Extreme Networks (NASDAQ: EXTR) sank on Wednesday after the company reported financial results for its fiscal second quarter of 2024 and issued guidance that disappointed the market. As of 12:50 p.m. ET, Extreme Networks stock was down 17% and had touched new 52-week lows earlier in the session.
For Q2, Extreme Networks generated revenue of $296 million, which was down almost 7% year over year. When the company initially gave Q2 guidance in November, it had expected Q2 revenue of at least $312 million. However, management lowered its guidance on Jan. 8 and its Q2 revenue fell inside of the revised guidance.
Extreme Networks' management said that it's still dealing with supply chain challenges related to the COVID-19 pandemic, which is a little discouraging considering how many other companies have moved past this issue.
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Here's Why Extreme Networks Stock Sank to a New 52-Week Low Today