What happened Shares of Extreme Networks (NASDAQ: EXTR) fell as much as 21.3% Wednesday morning, following the high-speed network equipment maker's third-quarter earnings report. As of 11:20 a.m. EDT, the stock had recovered somewhat to a 14.8% drop. So what For the third quarter of fiscal 2019, Extreme Networks reported earnings of $0.08 per diluted share on sales of $251 million. The Street consensus had been calling for $0.10 in per-share earnings and revenue closer to $253 million. The company also issued fourth-quarter guidance significantly below the current analyst forecast for that period. Image source: Getty Images. Now what In a prepared statement, CEO Ed Meyercord said that the soft sales reflected ordinary seasonal patterns after a strong second-quarter surge. Extreme is also kicking off a wide-ranging refresh, releasing new versions of three-quarters of its product portfolio over the next few quarters. "Our outlook for Q4 reflects the weakening economic environment in EMEA, lengthening sales cycles in our wireless business reflecting the introduction of WiFi6, and a lower backlog entering Q4," Meyercord continued. It's not surprising to see investors taking a hacksaw to Extreme Networks' stock today, given the massive run-up the shares had been enjoying in recent months. Shareholders are still looking at a 31% gain year to date and a 54% value increase over the last six months. Against that backdrop, even a modest miss can bring some serious short-term pain. 10 stocks we like better than Extreme NetworksWhen investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor, has quadrupled the market.* David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and Extreme Networks wasn't one of them! That's right -- they think these 10 stocks are even better buys. See the 10 stocks *Stock Advisor returns as of March 1, 2019Anders Bylund has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.Source