Overview

A class action lawsuit has been filed against Extreme Networks, Inc. (“Extreme” or the “Company”) (NASDAQ: EXTR) and certain of the Company’s former and current senior executive officers alleging violations of the federal securities laws.  The Extreme class action lawsuit is brought on behalf of all persons and entities who purchased or otherwise acquired Extreme common stock between July 27, 2022, and January 30, 2024, both dates inclusive (the “Class Period”).  Investors have until October 15, 2024, to seek appointment as lead plaintiff of the Extreme class action lawsuit.

Extreme is a provider of cloud networking solutions and industry services and support.  The Company designs, develops, and manufactures wired, wireless, and software-defined area-network (SD-WAN) infrastructure equipment. 

The Extreme class action lawsuit alleges that Defendants failed to disclose the following adverse facts pertaining to Extreme’s business, operations, and financial condition, which were known to or recklessly disregarded by Defendants as follows:

(1) Extreme was suffering from adverse client demand trends as its clients had ordered more product from Extreme than needed in the wake of the COVID-19 pandemic to avoid supply shortages and because of a lack of alternative sourcing options and thereby had cannibalized their Class Period purchasing needs; (2) Extreme was increasingly offsetting these adverse organic demand trends with the fulfillment of backlog orders in a manner that materially exceeded the proportion represented to investors; (3) as a result of (a)-(b), Extreme was drawing down its backlog at a much faster rate than represented to investors; and (4) as a result of (a)-(c), Extreme’s backlog was already decreasing and at a much quicker pace than what Defendants’ said in their statements to investors, that backlog would only “begin to shrink” in the fourth quarter of fiscal 2023 and that it would be not until “fiscal ’26 when it really goes back to normal.”

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If you purchased or otherwise acquired Extreme common stock between July 27, 2022, and January 30, 2024, both dates inclusive, and you wish to serve as lead plaintiff in this lawsuit, we encourage you to submit your information to DiCello Levitt LLP via the form on this page. 

You can also contact DiCello Levitt partner Brian O’Mara by calling (888) 287-9005 or at [email protected]. 

The deadline to apply to the Court to serve as a lead plaintiff in the Extreme class action lawsuit is October 15, 2024.