In grid-connected inverter systems, frequency-domain passivity theory is increasingly employed to analyze grid-inverter interactions and guide inverter control designs. However, due to difficulties in meeting sufficient passivity-based stability conditions at low frequencies, passivity theory often falls short of achieving stable system specifications. This article introduces an extended frequency-domain passivity theory. By incorporating a weighting matrix, an extended stability condition is derived. Compared to conventional passivity-based stability conditions, the proposed theory significantly reduces conservativeness and is more suited for analyzing grid-inverter interactions and guiding inverter control design. Theoretical analyses, numerical examples, and experimental results are provided to validate the effectiveness of the proposed methods.