Arista Networks (NYSE:ANET) Shares Down 3.1% – Here’s What Happened

Arista Networks, Inc. (NYSE:ANET)’s stock price dropped 3.1% during mid-day trading on Monday . The company traded as low as $180.50 and last traded at $181.1670. 9,114,891 shares changed hands during trading, an increase of 4% from the average session volume of 8,777,177 shares. The stock had previously closed at $186.96.

Wall Street Analyst Weigh In

A number of equities research analysts have weighed in on the stock. Needham & Company LLC reiterated a “buy” rating and set a $185.00 price target on shares of Arista Networks in a research report on Wednesday, May 6th. Rosenblatt Securities upped their price target on Arista Networks from $180.00 to $210.00 and gave the stock a “buy” rating in a research note on Wednesday, May 6th. JPMorgan Chase & Co. raised their target price on Arista Networks from $190.00 to $200.00 and gave the company an “overweight” rating in a report on Thursday, April 16th. Deutsche Bank Aktiengesellschaft upgraded shares of Arista Networks to a “buy” rating in a research note on Wednesday, June 10th. Finally, Bank of America lifted their price objective on shares of Arista Networks from $185.00 to $200.00 and gave the company a “buy” rating in a report on Monday, June 8th. Two equities research analysts have rated the stock with a Strong Buy rating, twenty-one have given a Buy rating and two have assigned a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Buy” and an average target price of $188.16.

Arista Networks Price Performance

The company has a market cap of $228.13 billion, a PE ratio of 62.04, a P/E/G ratio of 2.88 and a beta of 1.60. The business’s 50 day moving average is $159.79 and its 200-day moving average is $145.85.

Arista Networks (NYSE:ANET) last announced its quarterly earnings data on Tuesday, May 5th. The technology company reported $0.87 earnings per share for the quarter, beating analysts’ consensus estimates of $0.81 by $0.06. The business had revenue of $2.71 billion for the quarter, compared to analyst estimates of $2.62 billion. Arista Networks had a net margin of 38.32% and a return on equity of 30.10%. The company’s revenue was up 35.1% on a year-over-year basis. During the same period last year, the business earned $0.65 EPS. Arista Networks has set its Q2 2026 guidance at 0.880-0.880 EPS. As a group, sell-side analysts predict that Arista Networks, Inc. will post 3.27 EPS for the current fiscal year.

Insiders Place Their Bets

In other Arista Networks news, insider Kenneth Duda sold 17,333 shares of the stock in a transaction that occurred on Monday, June 22nd. The shares were sold at an average price of $171.42, for a total value of $2,971,222.86. Following the transaction, the insider directly owned 12,976 shares in the company, valued at $2,224,345.92. This represents a 57.19% decrease in their ownership of the stock. The sale was disclosed in a document filed 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 13,809 shares of the business’s stock in a transaction that occurred on Tuesday, May 26th. The stock was sold at an average price of $155.04, for a total transaction of $2,140,947.36. Following the sale, the chief executive officer owned 9,917 shares of the company’s stock, valued at $1,537,531.68. This represents a 58.20% 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 have sold 3,034,268 shares of company stock worth $496,462,432 in the last three months. 2.70% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. First Community Trust NA purchased a new stake in Arista Networks in the 2nd quarter valued at $3,861,000. Ballast Inc. acquired a new position in Arista Networks in the second quarter valued at $255,000. Wedge Capital Management L L P NC raised its holdings in shares of Arista Networks by 12.4% in the second quarter. Wedge Capital Management L L P NC now owns 485,198 shares of the technology company’s stock valued at $82,425,000 after buying an additional 53,533 shares during the last quarter. Accel Wealth Management boosted its stake in shares of Arista Networks by 12.1% during the second quarter. Accel Wealth Management now owns 2,185 shares of the technology company’s stock worth $371,000 after buying an additional 236 shares during the period. Finally, Tema ETFs LLC grew its holdings in shares of Arista Networks by 10.1% during the second quarter. Tema ETFs LLC now owns 22,091 shares of the technology company’s stock worth $3,753,000 after buying an additional 2,030 shares during the last quarter. Institutional investors and hedge funds own 82.47% of the company’s stock.

About Arista Networks

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.