Arista Networks (NYSE:ANET) Trading 2.5% Higher – Here’s Why

Shares of Arista Networks, Inc. (NYSE:ANET) were up 2.5% on Wednesday . The company traded as high as $200.25 and last traded at $197.6220. 4,448,374 shares traded hands during trading, a decline of 46% from the average daily volume of 8,178,413 shares. The stock had previously closed at $192.84.

Wall Street Analyst Weigh In

Several research firms recently weighed in on ANET. Piper Sandler restated an “overweight” rating and set a $240.00 target price (up from $181.00) on shares of Arista Networks in a report on Wednesday, August 5th. Truist Financial boosted their price objective on Arista Networks from $175.00 to $234.00 and gave the stock a “buy” rating in a research note on Wednesday, August 5th. The Goldman Sachs Group reiterated a “buy” rating and issued a $225.00 target price on shares of Arista Networks in a research note on Wednesday, August 5th. Citigroup reissued a “buy” rating on shares of Arista Networks in a research report on Thursday, August 6th. Finally, Bank of America reaffirmed a “buy” rating and issued a $240.00 price objective (up from $200.00) on shares of Arista Networks in a research report on Wednesday, August 5th. Two investment analysts have rated the stock with a Strong Buy rating, twenty have issued a Buy rating and one has assigned a Hold rating to the company’s stock. According to MarketBeat.com, the stock currently has an average rating of “Buy” and a consensus price target of $227.80.

Arista Networks Stock Performance

The company has a market capitalization of $249.24 billion, a PE ratio of 62.34, a PEG ratio of 2.23 and a beta of 1.62. The company has a 50 day moving average price of $186.73 and a 200 day moving average price of $163.18.

Arista Networks (NYSE:ANET) last posted its quarterly earnings results on Tuesday, August 4th. The technology company reported $1.02 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.89 by $0.13. The firm had revenue of $3.04 billion for the quarter, compared to analysts’ expectations of $2.83 billion. Arista Networks had a net margin of 38.37% and a return on equity of 30.65%. The firm’s quarterly revenue was up 37.7% on a year-over-year basis. During the same period in the prior year, the company posted $0.73 earnings per share. Arista Networks has set its Q3 2026 guidance at 1.060-1.080 EPS. On average, equities analysts forecast that Arista Networks, Inc. will post 3.7 earnings per share for the current fiscal year.

Insider Transactions at Arista Networks

In other news, Director Kelly Battles sold 422 shares of the business’s stock in a transaction that occurred on Friday, August 21st. The stock was sold at an average price of $187.34, for a total value of $79,057.48. Following the completion of the sale, the director directly owned 10,194 shares in the company, valued at approximately $1,909,743.96. The trade was a 3.98% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Chantelle Breithaupt sold 612 shares of Arista Networks stock in a transaction on Tuesday, September 1st. The stock was sold at an average price of $195.77, for a total transaction of $119,811.24. Following the completion of the transaction, the chief financial officer directly owned 69,921 shares of the company’s stock, valued at approximately $13,688,434.17. This represents a 0.87% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 3,527,694 shares of company stock valued at $684,665,787 over the last 90 days. Corporate insiders own 2.70% of the company’s stock.

Institutional Investors Weigh In On Arista Networks

A number of institutional investors have recently modified their holdings of ANET. Norges Bank acquired a new stake in Arista Networks during the 4th quarter worth about $1,558,563,000. Jupiter Topco LLC purchased a new position in shares of Arista Networks in the second quarter worth approximately $1,101,860,000. Alyeska Investment Group L.P. purchased a new position in shares of Arista Networks in the second quarter worth approximately $537,736,000. Franklin Resources Inc. raised its holdings in shares of Arista Networks by 59.3% during the fourth quarter. Franklin Resources Inc. now owns 7,878,360 shares of the technology company’s stock valued at $1,032,302,000 after acquiring an additional 2,934,098 shares during the period. Finally, Massachusetts Financial Services Co. MA lifted its position in shares of Arista Networks by 34.6% in the 2nd quarter. Massachusetts Financial Services Co. MA now owns 9,725,196 shares of the technology company’s stock valued at $1,712,788,000 after acquiring an additional 2,497,275 shares in the last quarter. Institutional investors own 82.47% of the company’s stock.

About Arista Networks

Arista Networks, Inc designs, develops and sells cloud networking solutions for large data centers, cloud service providers, internet companies, enterprises and other organizations. Its portfolio includes high-performance Ethernet switches, routers and wireless networking products used to connect servers, storage systems, users and applications across data center and campus environments.

The company’s software offerings include Arista EOS, its Linux-based network operating system, and CloudVision, a cloud-based platform for network management, automation, monitoring and analytics.