Arista Networks (NYSE:ANET) Stock Jumps 2.7% – Here’s Why

Arista Networks, Inc. (NYSE:ANET) was up 2.7% during mid-day trading on Monday. The company traded as high as $179.56 and last traded at $176.9520. Approximately 4,197,193 shares were traded during trading, a decline of 46% from the average daily volume of 7,824,641 shares. The stock had previously closed at $172.37.

Analyst Ratings Changes

Several brokerages have commented on ANET. UBS Group reaffirmed a “buy” rating and issued a $259.00 target price (up from $187.00) on shares of Arista Networks in a research note on Wednesday, August 5th. Rosenblatt Securities lifted their price target on shares of Arista Networks from $210.00 to $280.00 and gave the stock a “buy” rating in a research report on Wednesday, August 5th. Jefferies Financial Group set a $250.00 price target on shares of Arista Networks in a report on Wednesday, August 5th. Wells Fargo & Company reissued an “overweight” rating and issued a $255.00 price target (up from $200.00) on shares of Arista Networks in a report on Wednesday, August 5th. Finally, Erste Group Bank upgraded shares of Arista Networks from a “hold” rating to a “buy” rating in a research report on Wednesday, July 15th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-one have assigned a Buy rating and one has assigned a Hold rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Buy” and an average target price of $233.20.

Arista Networks Trading Down 0.1%

The company has a fifty day moving average price of $195.64 and a two-hundred day moving average price of $163.86. The firm has a market cap of $235.65 billion, a P/E ratio of 58.94, a PEG ratio of 2.00 and a beta of 1.60.

Arista Networks (NYSE:ANET) last posted its earnings results on Tuesday, August 4th. The technology company reported $1.02 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.89 by $0.13. Arista Networks had a return on equity of 30.65% and a net margin of 38.37%. The business had revenue of $3.04 billion during the quarter, compared to analysts’ expectations of $2.83 billion. During the same period in the prior year, the business earned $0.73 EPS. Arista Networks’s revenue for the quarter was up 37.7% compared to the same quarter last year. Arista Networks has set its Q3 2026 guidance at 1.060-1.080 EPS. As a group, sell-side analysts expect that Arista Networks, Inc. will post 3.79 EPS for the current year.

Insider Activity at Arista Networks

In related news, CFO Chantelle Breithaupt sold 1,224 shares of the firm’s stock in a transaction on Tuesday, October 6th. The shares were sold at an average price of $215.00, for a total transaction of $263,160.00. Following the sale, the chief financial officer directly owned 68,697 shares in the company, valued at $14,769,855. This trade represents a 1.75% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Jayshree Ullal sold 130,553 shares of the business’s stock in a transaction on Friday, October 9th. The shares were sold at an average price of $217.10, for a total transaction of $28,343,056.30. Following the completion of the sale, the chief executive officer directly owned 4,774,691 shares in the company, valued at $1,036,585,416.10. This represents a 2.66% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 3,627,449 shares of company stock worth $741,235,386 over the last three months. 2.70% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Arista Networks

A number of large investors have recently added to or reduced their stakes in ANET. Outlook Wealth Advisors LLC acquired a new position in Arista Networks in the 3rd quarter valued at approximately $201,000. Parcion Private Wealth LLC raised its stake in shares of Arista Networks by 5.1% during the third quarter. Parcion Private Wealth LLC now owns 10,335 shares of the technology company’s stock valued at $2,104,000 after acquiring an additional 498 shares during the last quarter. Partners Wealth Management LLC acquired a new position in shares of Arista Networks during the third quarter worth $4,530,000. Soltis Investment Advisors LLC lifted its holdings in shares of Arista Networks by 11.1% during the third quarter. Soltis Investment Advisors LLC now owns 50,802 shares of the technology company’s stock worth $10,343,000 after purchasing an additional 5,089 shares during the period. Finally, Founders Financial Securities LLC lifted its holdings in shares of Arista Networks by 0.6% during the third quarter. Founders Financial Securities LLC now owns 12,008 shares of the technology company’s stock worth $2,445,000 after purchasing an additional 73 shares during the period. Institutional investors own 82.47% of the company’s stock.

About Arista Networks

Arista Networks, Inc develops and sells cloud networking solutions for data centers, cloud service providers, enterprises and specialized computing environments. The company’s products are designed to support high-performance, scalable and automated networks used for cloud computing, artificial intelligence, data analytics and other demanding applications.

Arista’s portfolio includes data center and campus switches, routing platforms, wireless networking products, network operating software and network management tools.