Arista Networks (NYSE:ANET) Price Target Raised to $261.00

Arista Networks (NYSE:ANET) had its target price raised by Piper Sandler from $240.00 to $261.00 in a report released on Wednesday morning,Benzinga reports. They currently have an overweight rating on the technology company’s stock.

A number of other research firms have also issued reports on ANET. Melius Research set a $305.00 target price on Arista Networks in a report on Wednesday. Jefferies Financial Group set a $250.00 price target on Arista Networks in a research report on Wednesday, August 5th. BNP Paribas Exane upgraded Arista Networks to a “strong-buy” rating in a research note on Wednesday, October 14th. Weiss Ratings raised Arista Networks from a “hold (c+)” rating to a “buy (b)” rating in a research report on Wednesday, October 21st. Finally, Erste Group Bank upgraded shares of Arista Networks from a “hold” rating to a “buy” rating in a research note on Wednesday, July 15th. Three investment analysts have rated the stock with a Strong Buy rating, twenty have given a Buy rating and two have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, Arista Networks currently has an average rating of “Buy” and an average price target of $240.24.

Arista Networks Stock Up 7.2%

Arista Networks stock traded up $11.54 during mid-day trading on Wednesday, reaching $170.70. 11,977,293 shares of the company’s stock were exchanged, compared to its average volume of 6,207,998. The company has a market cap of $215.29 billion, a P/E ratio of 45.89, a P/E/G ratio of 1.91 and a beta of 1.61. Arista Networks has a twelve month low of $114.52 and a twelve month high of $217.41. The company has a fifty day moving average of $192.59 and a 200-day moving average of $165.70.

Arista Networks (NYSE:ANET) last issued its quarterly earnings results on Tuesday, November 3rd. The technology company reported $1.20 EPS for the quarter, beating the consensus estimate of $1.08 by $0.12. The company had revenue of $3.66 billion during the quarter, compared to analysts’ expectations of $3.33 billion. Arista Networks had a net margin of 38.37% and a return on equity of 30.65%. The firm’s revenue was up 58.5% compared to the same quarter last year. During the same quarter last year, the company posted $0.75 EPS. Equities research analysts expect that Arista Networks will post 3.83 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, major shareholder Andreas Bechtolsheim sold 300,000 shares of the business’s stock in a transaction on Thursday, September 17th. The shares were sold at an average price of $198.95, for a total transaction of $59,685,000.00. Following the completion of the transaction, the insider owned 180,543,048 shares in the company, valued at approximately $35,919,039,399.60. The trade was a 0.17% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Kenneth Duda sold 26,000 shares of the stock in a transaction on Thursday, August 20th. The shares were sold at an average price of $185.42, for a total value of $4,820,920.00. Following the completion of the transaction, the insider directly owned 452,400 shares in the company, valued at $83,884,008. This trade represents a 5.43% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders sold 2,380,998 shares of company stock worth $482,687,801. Corporate insiders own 2.70% of the company’s stock.

Institutional Trading of Arista Networks

Institutional investors have recently bought and sold shares of the business. Cornerstone Advisory LLC boosted its holdings in Arista Networks by 7.0% in the third quarter. Cornerstone Advisory LLC now owns 2,039 shares of the technology company’s stock valued at $415,000 after purchasing an additional 133 shares in the last quarter. Ibex Wealth Advisors raised its holdings in Arista Networks by 31.2% during the third quarter. Ibex Wealth Advisors now owns 100,069 shares of the technology company’s stock worth $20,373,000 after purchasing an additional 23,781 shares in the last quarter. Vista Capital Partners Inc. acquired a new stake in Arista Networks during the third quarter worth approximately $474,000. Aberdeen Group plc raised its holdings in Arista Networks by 1.2% during the third quarter. Aberdeen Group plc now owns 1,201,157 shares of the technology company’s stock worth $244,544,000 after purchasing an additional 14,384 shares in the last quarter. Finally, ProVise Management Group LLC purchased a new stake in shares of Arista Networks during the 3rd quarter worth approximately $201,000. 82.47% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Arista Networks

Here are the key news stories impacting Arista Networks this week:

• Positive Sentiment: Arista reported third-quarter revenue of $3.66 billion, up 58.5% year over year and above estimates, while EPS of $1.20 also beat expectations. The company raised its outlook, citing demand for AI data-center networking, Ethernet adoption, and growth across hyperscale and enterprise customers. Read More.
• Positive Sentiment: Analyst support offers another tailwind: Melius Research initiated coverage with a “strong-buy” rating, while other recent reports cited buy ratings and bullish price targets. Read More.
• Neutral Sentiment: The recent selloff has left investors debating whether the pullback creates a buying opportunity. ANET has declined substantially over the past month despite its strong results, leaving sentiment divided. Read More.
• Negative Sentiment: Valuation and customer concentration remain risks: Arista’s premium forward earnings multiple leaves less room for disappointment, while reliance on a limited number of large customers could make growth more vulnerable to spending changes. Read More.
• Negative Sentiment: Shares have also faced pressure from a broader AI-infrastructure stock selloff and reported insider sales. Those sales included transactions under pre-arranged trading plans, but can still add to near-term investor caution. Read More.

Arista Networks Company Profile

Arista Networks, Inc develops software-driven networking products for large data centers, cloud environments, AI workloads, and enterprise campuses. Its offerings include Ethernet switches and routers, along with software and services for managing, monitoring, and securing networks.

The company’s software portfolio includes its Extensible Operating System (EOS), which runs across its networking platforms, and CloudVision, a platform for network automation and management. Arista’s products are used by cloud providers, businesses, and other organizations to connect and manage computing infrastructure.

Founded in 2004 and headquartered in Santa Clara, California, Arista serves customers worldwide.