Extreme Networks Inc (EXTR)vsLumentum Holdings Inc (LITE)
EXTR
Extreme Networks Inc
$29.84
+2.65%
TECHNOLOGY · Cap: $3.96B
LITE
Lumentum Holdings Inc
$602.35
+15.09%
TECHNOLOGY · Cap: $64.55B
Smart Verdict
WallStSmart Research — data-driven comparison
Lumentum Holdings Inc generates 99% more annual revenue ($2.49B vs $1.25B). LITE leads profitability with a 17.7% profit margin vs 1.3%. LITE appears more attractively valued with a PEG of 0.63. LITE earns a higher WallStSmart Score of 74/100 (B).
EXTR
Buy60
out of 100
Grade: C
LITE
Strong Buy74
out of 100
Grade: B
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 206.4% YoY
Every $100 of equity generates 22 in profit
Revenue surging 90.1% year-over-year
Earnings expanding 71.1% YoY
Large-cap with strong market position
Growing faster than its price suggests
Strong operational efficiency at 21.8%
Areas to Watch
1.3% margin — thin
Premium valuation, high expectations priced in
Trading at 49.7x book value
Distress zone — elevated risk
Trading at 14.5x book value
Elevated debt levels
Premium valuation, high expectations priced in
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : EXTR
The strongest argument for EXTR centers on EPS Growth, Return on Equity. Revenue growth of 11.4% demonstrates continued momentum. PEG of 1.12 suggests the stock is reasonably priced for its growth.
Bull Case : LITE
The strongest argument for LITE centers on Revenue Growth, EPS Growth, Market Cap. Profitability is solid with margins at 17.7% and operating margin at 21.8%. Revenue growth of 90.1% demonstrates continued momentum.
Bear Case : EXTR
The primary concerns for EXTR are Profit Margin, P/E Ratio, Price/Book. A P/E of 252.3x leaves little room for execution misses. Debt-to-equity of 2.99 is elevated, increasing financial risk.
Bear Case : LITE
The primary concerns for LITE are Price/Book, Debt/Equity, P/E Ratio. A P/E of 147.1x leaves little room for execution misses.
Key Dynamics to Monitor
EXTR profiles as a value stock while LITE is a growth play — different risk/reward profiles.
EXTR carries more volatility with a beta of 1.77 — expect wider price swings.
LITE is growing revenue faster at 90.1% — sustainability is the question.
LITE generates stronger free cash flow (79M), providing more financial flexibility.
Bottom Line
LITE scores higher overall (74/100 vs 60/100), backed by strong 17.7% margins and 90.1% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Extreme Networks Inc
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
Extreme Networks, Inc. provides software-driven networking solutions for businesses, data centers, and service provider customers globally. The company is headquartered in San Jose, California.
Lumentum Holdings Inc
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
Lumentum Holdings Inc. manufactures and sells optical and photonic products in the Americas, Asia-Pacific, Europe, the Middle East, and Africa. The company is headquartered in San Jose, California.
Compare with Other COMMUNICATION EQUIPMENT Stocks
Want to dig deeper into these stocks?