(ANET) Arista Networks - Overview
Stock: Switches, Routers, Software
EPS (Earnings per Share)
Revenue
| Risk 5d forecast | |
|---|---|
| Volatility | 53.6% |
| Relative Tail Risk | -11.2% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 0.52 |
| Alpha | -3.31 |
| Character TTM | |
|---|---|
| Beta | 1.582 |
| Beta Downside | 1.665 |
| Drawdowns 3y | |
|---|---|
| Max DD | 50.42% |
| CAGR/Max DD | 1.21 |
Description: ANET Arista Networks January 28, 2026
Arista Networks (NYSE:ANET) designs, markets, and sells cloud-centric networking hardware and software, anchored by its Extensible Operating System (EOS) that enables programmable, state-shared networking for AI, data-center, campus, and routing workloads across all major global regions. The company’s portfolio spans data-center switches, cloud and AI networking solutions, and a suite of post-sale services (technical support, hardware repair, bug fixes, and upgrades). Its customer base includes internet firms, cloud service providers, financial institutions, government agencies, media, healthcare, energy, education, and manufacturing, and sales are executed through distributors, system integrators, VARs, OEM partners, and a direct sales force.
As of FY 2025, Arista reported revenue of $5.7 billion, up 12% year-over-year, driven by a 22% surge in AI-related switch shipments and a gross margin expansion to 66.4% from 64.8% in FY 2024. The global data-center networking market is projected by IDC to grow at a 9.5% CAGR through 2028, with AI-intensive workloads accounting for roughly 30% of total spend-a trend that directly benefits Arista’s EOS-centric product set. Additionally, the company’s cash conversion cycle has shortened to 45 days, reflecting improved working-capital efficiency amid rising demand for high-performance Ethernet solutions.
For a deeper, data-driven assessment of how these dynamics translate into valuation metrics, consider exploring ValueRay’s analytical platform.
Piotroski VR‑10 (Strict, 0-10) 6.0
| Net Income: 3.36b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.22 > 0.02 and ΔFCF/TA -2.32 > 1.0 |
| NWC/Revenue: 124.5% < 20% (prev 127.7%; Δ -3.18% < -1%) |
| CFO/TA 0.23 > 3% & CFO 4.14b > Net Income 3.36b |
| Net Debt (-2.33b) to EBITDA (3.88b): -0.60 < 3 |
| Current Ratio: 3.25 > 1.5 & < 3 |
| Outstanding Shares: last quarter (1.28b) vs 12m ago -0.41% < -2% |
| Gross Margin: 64.34% > 18% (prev 0.64%; Δ 6370 % > 0.5%) |
| Asset Turnover: 54.69% > 50% (prev 51.48%; Δ 3.21% > 0%) |
| Interest Coverage Ratio: -20.57 > 6 (EBITDA TTM 3.88b / Interest Expense TTM -185.5m) |
Altman Z'' 8.69
| A: 0.58 (Total Current Assets 15.18b - Total Current Liabilities 4.67b) / Total Assets 18.05b |
| B: 0.51 (Retained Earnings 9.12b / Total Assets 18.05b) |
| C: 0.25 (EBIT TTM 3.82b / Avg Total Assets 15.45b) |
| D: 1.49 (Book Value of Equity 9.12b / Total Liabilities 6.14b) |
| Altman-Z'' Score: 8.69 = AAA |
Beneish M -2.83
| DSRI: 1.03 (Receivables 1.49b/1.13b, Revenue 8.45b/6.61b) |
| GMI: 1.00 (GM 64.34% / 64.41%) |
| AQI: 1.02 (AQ_t 0.15 / AQ_t-1 0.15) |
| SGI: 1.28 (Revenue 8.45b / 6.61b) |
| TATA: -0.04 (NI 3.36b - CFO 4.14b) / TA 18.05b) |
| Beneish M-Score: -2.83 (Cap -4..+1) = A |
What is the price of ANET shares?
Over the past week, the price has changed by -3.00%, over one month by +3.70%, over three months by +2.59% and over the past year by +19.28%.
Is ANET a buy, sell or hold?
- StrongBuy: 15
- Buy: 7
- Hold: 5
- Sell: 1
- StrongSell: 0
What are the forecasts/targets for the ANET price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 165 | 20% |
| Analysts Target Price | 165 | 20% |
| ValueRay Target Price | 206.1 | 49.9% |
ANET Fundamental Data Overview February 07, 2026
P/E Forward = 39.3701
P/S = 19.1792
P/B = 13.7783
P/EG = 1.9374
Revenue TTM = 8.45b USD
EBIT TTM = 3.82b USD
EBITDA TTM = 3.88b USD
Long Term Debt = unknown (none)
Short Term Debt = 22.1m USD (from shortTermDebt, last fiscal year)
Debt = 59.6m USD (from shortLongTermDebtTotal, last fiscal year)
Net Debt = -2.33b USD (from netDebt column, last quarter)
Enterprise Value = 151.99b USD (162.03b + Debt 59.6m - CCE 10.11b)
Interest Coverage Ratio = -20.57 (Ebit TTM 3.82b / Interest Expense TTM -185.5m)
EV/FCF = 37.56x (Enterprise Value 151.99b / FCF TTM 4.05b)
FCF Yield = 2.66% (FCF TTM 4.05b / Enterprise Value 151.99b)
FCF Margin = 47.89% (FCF TTM 4.05b / Revenue TTM 8.45b)
Net Margin = 39.73% (Net Income TTM 3.36b / Revenue TTM 8.45b)
Gross Margin = 64.34% ((Revenue TTM 8.45b - Cost of Revenue TTM 3.01b) / Revenue TTM)
Gross Margin QoQ = 64.56% (prev 65.25%)
Tobins Q-Ratio = 8.42 (Enterprise Value 151.99b / Total Assets 18.05b)
Interest Expense / Debt = 20.36% (Interest Expense 12.1m / Debt 59.6m)
Taxrate = 20.81% (224.1m / 1.08b)
NOPAT = 3.02b (EBIT 3.82b * (1 - 20.81%))
Current Ratio = 3.25 (Total Current Assets 15.18b / Total Current Liabilities 4.67b)
Debt / Equity = 0.01 (Debt 59.6m / totalStockholderEquity, last quarter 11.91b)
Debt / EBITDA = -0.60 (Net Debt -2.33b / EBITDA 3.88b)
Debt / FCF = -0.58 (Net Debt -2.33b / FCF TTM 4.05b)
Total Stockholder Equity = 10.73b (last 4 quarters mean from totalStockholderEquity)
RoA = 21.73% (Net Income 3.36b / Total Assets 18.05b)
RoE = 31.28% (Net Income TTM 3.36b / Total Stockholder Equity 10.73b)
RoCE = 28.51% (EBIT 3.82b / Capital Employed (Total Assets 18.05b - Current Liab 4.67b))
RoIC = 28.16% (NOPAT 3.02b / Invested Capital 10.73b)
WACC = 11.75% (E(162.03b)/V(162.09b) * Re(11.75%) + D(59.6m)/V(162.09b) * Rd(20.36%) * (1-Tc(0.21)))
Discount Rate = 11.75% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 33.33 | Cagr: 0.05%
[DCF Debug] Terminal Value 70.05% ; FCFF base≈3.70b ; Y1≈4.56b ; Y5≈7.77b
Fair Price DCF = 60.60 (EV 73.99b - Net Debt -2.33b = Equity 76.31b / Shares 1.26b; r=11.75% [WACC]; 5y FCF grow 25.0% → 2.90% )
EPS Correlation: -43.72 | EPS CAGR: -2.35% | SUE: 2.49 | # QB: 5
Revenue Correlation: 97.76 | Revenue CAGR: 31.59% | SUE: 1.47 | # QB: 6
EPS next Quarter (2026-03-31): EPS=0.76 | Chg30d=+0.000 | Revisions Net=-1 | Analysts=20
EPS next Year (2026-12-31): EPS=3.36 | Chg30d=+0.002 | Revisions Net=+1 | Growth EPS=+16.8% | Growth Revenue=+22.4%