Head-To-Head Contrast: Extreme Networks (NASDAQ:EXTR) versus Airgain (NASDAQ:AIRG)

Extreme Networks (NASDAQ:EXTR) and Airgain (NASDAQ:AIRG) are both technology companies, but which is the superior business? We will compare the two companies based on the strength of their analyst recommendations, risk, profitability, dividends, valuation, institutional ownership and earnings.

Earnings and Valuation

This table compares Extreme Networks and Airgain”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Extreme Networks	$1.28 billion	2.49	$42.12 million	$0.31	78.03
Airgain	$51.78 million	1.01	-$6.43 million	($0.56)	-7.13

Extreme Networks has higher revenue and earnings than Airgain. Airgain is trading at a lower price-to-earnings ratio than Extreme Networks, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

91.0% of Extreme Networks shares are held by institutional investors. Comparatively, 52.8% of Airgain shares are held by institutional investors. 3.2% of Extreme Networks shares are held by company insiders. Comparatively, 17.5% of Airgain shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings and price targets for Extreme Networks and Airgain, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Extreme Networks	1	1	7	0	2.67
Airgain	1	0	4	0	2.60

Extreme Networks currently has a consensus target price of $32.25, suggesting a potential upside of 33.33%. Airgain has a consensus target price of $7.70, suggesting a potential upside of 92.74%. Given Airgain’s higher probable upside, analysts clearly believe Airgain is more favorable than Extreme Networks.

Profitability

This table compares Extreme Networks and Airgain’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Extreme Networks	3.28%	88.88%	6.32%
Airgain	-13.65%	-13.72%	-8.74%

Volatility and Risk

Extreme Networks has a beta of 1.76, indicating that its stock price is 76% more volatile than the S&P 500. Comparatively, Airgain has a beta of 0.91, indicating that its stock price is 9% less volatile than the S&P 500.

Summary

Extreme Networks beats Airgain on 12 of the 14 factors compared between the two stocks.

About Extreme Networks

Extreme Networks, Inc. delivers cloud-driven networking solutions that leverage the powers of machine learning, artificial intelligence, analytics, and automation.
The company designs, develops, and manufactures wired and wireless network infrastructure equipment and develops the software for network management, policy, analytics, security, and access controls. Over 50,000 customers globally trust their end-to-end, cloud-driven networking solutions and rely on our top-rated services and support to accelerate their digital transformation efforts.

About Airgain

Airgain, Inc. provides wireless connectivity solutions that creates and delivers embedded components, external antennas, and integrated systems worldwide. The company's products include MaxBeam embedded antennas; profile embedded antennas; profile contour embedded antennas; profile ceramic embedded antenna; ultra embedded antennas; and SmartMax embedded antennas. It offers embedded and NimbeLink embedded moderms; custom cellular solutions; cellular IoT development; cellular IoT development kits; and IoT data plans. In addition, the company provides 5G connectivity, smart repeaters, and fixed wireless access; asset tracking solutions, devices, and partners; and external antennas, fleet antennas, IoT antennas, network antennas, vehicle networking, partner solutions, and accessories. It offers its products under the Antenna Plus brand. It serves industrial, consumer, automotive fleet, enterprise, energy, medical, transportation, agriculture, services, and public safety markets. The company was formerly known as AM Group and changed its name to Airgain, Inc. in 2004. Airgain, Inc. was incorporated in 1995 and is headquartered in San Diego, California.