TGM's two-stage DCF values Extreme Networks, Inc. (EXTR) between $8.89 and $13.90 depending on assumptions, with a base case of $11.02. Growth is taken from the company's own record (5-year revenue CAGR (FCF growth too volatile to use)), fading to 2.5% long-run; the discount rate (11.5%) reflects its beta.
What would today's price require?
$24.30 is justified only if free cash flow grows about +26.2% a year (fading to 2.5% long-run) at a 11.5% required return — faster than the company has actually grown.
| Scenario | FCF growth (fading to 2.5%) | Discount | Value / share |
|---|---|---|---|
| Conservative | 1.9%/yr | 12.5% | $8.89 |
| Base case | 4.9%/yr | 11.5% | $11.02 |
| Optimistic | 7.9%/yr | 10.5% | $13.90 |
| Third-party model estimate (FMP) | independent reference · retrieved Oct 6, 2026 · assumptions not provided | $2.64 | |
The FMP figure is a third-party point estimate. Its cash-flow forecast, discount rate, terminal growth, and valuation date are not included in the stored response, so TGMCharts presents it only as a reference—not as an intrinsic-value conclusion or price target.
Current Price
$24.30
Market-Implied Growth
+26.2%/yr
vs +4.9% 5Y actual
Model Scenario Range
$8.89 – $13.90
model output — not a price target
Edit the assumptions to see how they change the estimated fair value. Opens seeded with TGM's data-driven base case for EXTR (growth from its own 5-year record, discount from its beta), so the sandbox starts where the scenarios above leave off. Illustrative model — not investment advice.
Base inputs: FCF $111.3M · 0.13B shares · net cash $48.0M
Estimated Fair Value
$11.02
-54.7% vs $24.30
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 4.9%/yr FCF growth and 10-year horizon fixed. Green = above today's $24.30; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 9.5% | $12.76 | $13.39 | $14.12 | $14.96 | $15.93 |
| 10.5% | $11.35 | $11.83 | $12.38 | $12.99 | $13.69 |
| 11.5% | $10.23 | $10.60 | $11.02 | $11.49 | $12.01 |
| 12.5% | $9.31 | $9.61 | $9.94 | $10.30 | $10.71 |
| 13.5% | $8.54 | $8.79 | $9.05 | $9.34 | $9.66 |
