Arista Networks (NYSE:ANET) Trading Up 2.2% – Here’s Why

Arista Networks, Inc. (NYSE:ANET) rose 2.2% during trading on Tuesday . The stock traded as high as $149.27 and last traded at $146.8390. Approximately 8,676,509 shares changed hands during trading, an increase of 4% from the average daily volume of 8,345,941 shares. The stock had previously closed at $143.72.

Wall Street Analysts Forecast Growth

ANET has been the subject of several research analyst reports. Piper Sandler upgraded shares of Arista Networks from a “neutral” rating to an “overweight” rating and upped their price objective for the company from $145.00 to $159.00 in a research note on Monday, January 5th. Morgan Stanley cut their price target on shares of Arista Networks from $171.00 to $159.00 and set an “overweight” rating for the company in a report on Wednesday, December 17th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Arista Networks in a report on Monday, December 29th. Erste Group Bank cut Arista Networks from a “buy” rating to a “hold” rating in a report on Monday, November 10th. Finally, Rosenblatt Securities reiterated a “neutral” rating and issued a $140.00 target price on shares of Arista Networks in a research note on Monday, November 24th. Seventeen analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to data from MarketBeat, Arista Networks currently has an average rating of “Moderate Buy” and a consensus target price of $164.44.

Arista Networks Stock Up 2.2%

The firm’s 50 day moving average is $128.95 and its two-hundred day moving average is $134.38. The stock has a market cap of $184.91 billion, a price-to-earnings ratio of 55.83, a price-to-earnings-growth ratio of 2.29 and a beta of 1.41.

Arista Networks (NYSE:ANET) last released its earnings results on Tuesday, November 4th. The technology company reported $0.75 EPS for the quarter, beating the consensus estimate of $0.72 by $0.03. The firm had revenue of $2.31 billion for the quarter, compared to analysts’ expectations of $2.26 billion. Arista Networks had a net margin of 39.73% and a return on equity of 30.28%. Arista Networks’s quarterly revenue was up 27.5% on a year-over-year basis. During the same quarter last year, the company earned $2.40 EPS. On average, analysts anticipate that Arista Networks, Inc. will post 2.2 EPS for the current fiscal year.

Insider Buying and Selling

In related news, insider Kenneth Duda sold 30,000 shares of the firm’s stock in a transaction that occurred on Monday, November 17th. The stock was sold at an average price of $128.61, for a total value of $3,858,300.00. Following the transaction, the insider directly owned 12,976 shares of the company’s stock, valued at approximately $1,668,843.36. This trade represents a 69.81% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director Charles H. Giancarlo sold 8,000 shares of Arista Networks stock in a transaction on Friday, January 2nd. The stock was sold at an average price of $133.79, for a total transaction of $1,070,320.00. Following the completion of the transaction, the director owned 17,784 shares in the company, valued at $2,379,321.36. This trade represents a 31.03% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders have sold 216,464 shares of company stock valued at $27,687,068. 3.39% of the stock is owned by corporate insiders.

Institutional Trading of Arista Networks

Several institutional investors have recently bought and sold shares of the stock. AdvisorNet Financial Inc boosted its stake in shares of Arista Networks by 56.7% in the 3rd quarter. AdvisorNet Financial Inc now owns 199 shares of the technology company’s stock valued at $29,000 after purchasing an additional 72 shares during the last quarter. Knuff & Co LLC acquired a new position in Arista Networks in the third quarter valued at about $29,000. Board of the Pension Protection Fund acquired a new position in shares of Arista Networks during the 4th quarter worth about $26,000. Richardson Financial Services Inc. increased its stake in shares of Arista Networks by 141.3% in the 3rd quarter. Richardson Financial Services Inc. now owns 222 shares of the technology company’s stock valued at $32,000 after acquiring an additional 130 shares during the last quarter. Finally, Quarry LP acquired a new position in Arista Networks during the third quarter valued at approximately $33,000. Institutional investors and hedge funds own 82.47% of the company’s stock.

Arista Networks Company Profile

Arista Networks, Inc is a technology company that designs and sells cloud networking solutions for large-scale data centers and enterprise environments. The company is best known for its high-performance switching and routing platforms, which are used to build scalable, low-latency networks for cloud service providers, internet companies, financial services, telecommunications, and enterprise IT. Arista’s offerings emphasize programmability, automation and telemetry to support modern, software-driven network architectures.

Central to Arista’s product portfolio is its Extensible Operating System (EOS), a modular network operating system that provides consistent programmability, stateful control and advanced visibility across the company’s hardware platforms.