Arista Networks (NYSE:ANET) Stock Picked Up by Analysts at Melius Research

Stock analysts at Melius Research initiated coverage on shares of Arista Networks (NYSE:ANET) in a research note issued on Wednesday, Zacks reports. The firm set a “strong-buy” rating on the technology company’s stock.

Several other equities research analysts have also issued reports on the company. KeyCorp reissued an “overweight” rating and set a $250.00 price target (up from $200.00) on shares of Arista Networks in a research report on Wednesday, August 5th. Zacks Research cut Arista Networks from a “strong-buy” rating to a “hold” rating in a report on Monday, October 5th. Wells Fargo & Company reaffirmed an “overweight” rating and issued a $245.00 price objective (down from $255.00) on shares of Arista Networks in a report on Wednesday. Needham & Company LLC reaffirmed a “buy” rating and set a $260.00 price target on shares of Arista Networks in a research note on Wednesday. Finally, Evercore reaffirmed an “outperform” rating on shares of Arista Networks in a research note on Monday. Three research 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 stock. According to data from MarketBeat, the stock currently has an average rating of “Buy” and an average price target of $240.24.

Arista Networks Stock Performance

ANET stock opened at $159.21 on Wednesday. Arista Networks has a 1 year low of $114.52 and a 1 year high of $217.41. The stock has a 50-day simple moving average of $193.20 and a 200-day simple moving average of $165.48. The firm has a market cap of $200.80 billion, a P/E ratio of 42.80, a price-to-earnings-growth ratio of 2.06 and a beta of 1.61.

Arista Networks (NYSE:ANET) last posted its quarterly earnings data on Tuesday, November 3rd. The technology company reported $1.20 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.08 by $0.12. Arista Networks had a net margin of 39.97% and a return on equity of 32.20%. The company had revenue of $3.66 billion for the quarter, compared to analyst estimates of $3.33 billion. During the same quarter last year, the firm posted $0.75 earnings per share. The business’s quarterly revenue was up 58.5% on a year-over-year basis. On average, equities research analysts predict that Arista Networks will post 3.80 EPS for the current year.

Insider Activity

In other news, CEO Jayshree Ullal sold 573,509 shares of the stock in a transaction that occurred on Wednesday, August 12th. The shares were sold at an average price of $208.13, for a total value of $119,364,428.17. Following the completion of the sale, the chief executive officer directly owned 25,000 shares of the company’s stock, valued at $5,203,250. This represents a 95.82% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, major shareholder Andreas Bechtolsheim sold 300,000 shares of the stock in a transaction that occurred on Thursday, September 17th. The stock was sold at an average price of $198.95, for a total transaction of $59,685,000.00. Following the completion of the sale, the insider owned 180,543,048 shares of the company’s stock, valued at approximately $35,919,039,399.60. The trade was a 0.17% 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. Insiders have sold 2,380,998 shares of company stock worth $482,687,801 in the last 90 days. Company insiders own 2.70% of the company’s stock.

Hedge Funds Weigh In On Arista Networks

Several institutional investors have recently bought and sold shares of the stock. State Street Corp boosted its position in shares of Arista Networks by 159.4% in the 2nd quarter. State Street Corp now owns 121,303,125 shares of the technology company’s stock worth $20,606,975,000 after purchasing an additional 74,541,134 shares during the last quarter. Jupiter Topco LLC acquired a new stake in Arista Networks during the 2nd quarter worth approximately $1,101,860,000. Envestnet Asset Management Inc. raised its holdings in shares of Arista Networks by 199.0% during the second quarter. Envestnet Asset Management Inc. now owns 9,630,196 shares of the technology company’s stock worth $1,635,978,000 after acquiring an additional 6,409,612 shares during the period. Alyeska Investment Group L.P. bought a new stake in shares of Arista Networks in the second quarter valued at about $537,736,000. Finally, Massachusetts Financial Services Co. MA lifted its stake in 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. 82.47% of the stock is currently owned by institutional investors.

Key Arista Networks News

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

• Positive Sentiment: Arista beat third-quarter estimates, reporting $3.66 billion in revenue—up 58.5% year over year—and $1.20 in EPS, above consensus. Management’s 2027 revenue outlook of about $18.5 billion exceeded Street expectations, with AI-fabric revenue projected to reach roughly $7 billion. Article: ANET Q3 Earnings Beat Estimates on Strong AI and Enterprise Demand
• Positive Sentiment: Several analysts remain bullish: Rosenblatt reiterated Buy with a $280 target, while JPMorgan and Truist also see substantial upside. Piper Sandler raised its target to $261; Barclays cut its target to $236 but retained an Overweight rating. Article: Arista Networks Earns Buy Rating from Rosenblatt Securities
• Neutral Sentiment: Director Mark Templeton sold shares under a pre-arranged Rule 10b5-1 plan, which makes the sale less clearly indicative of his view of Arista’s prospects. Article: Insider Selling: Arista Networks Director Sells Stock
• Negative Sentiment: A sector-wide selloff in AI infrastructure and networking stocks has pressured Arista despite its strong results. Reports link the retreat to election-related policy concerns and investor risk aversion, suggesting the decline reflects broader market sentiment as well as company-specific factors. Article: Arista Sinks as AI Selloff Deepens
• Negative Sentiment: Insider-selling coverage, including a report that Andreas Bechtolsheim sold 267,892 shares, may add to near-term concerns about supply of shares and investor confidence. Article: Arista Networks Stock: Insider Andreas Bechtolsheim Sells Shares

About Arista Networks

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.