Arista Networks (ANET)
Market Price (11/5/2026): $177.75 | Market Cap: $224.6 BilInvestor Relations Sector: Information Technology | Industry: Communications Equipment
Arista Networks (ANET)
Market Price (11/5/2026): $177.75Market Cap: $224.6 BilSector: Information TechnologyIndustry: Communications Equipment
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Strong revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is 41% Attractive operating marginsOp Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is 44% Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 44%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 42%, CFO LTM is 5.2 Bil, FCF LTM is 5.0 Bil Stock buyback supportStock Buyback 3Y Total is 2.0 Bil Megatrend and thematic driversMegatrends include Artificial Intelligence, Cloud Computing, and 5G & Advanced Connectivity. Themes include Data Centers & Infrastructure, Show more. | Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -3.1% Key risksANET key risks include [1] a heavy reliance on a few major cloud customers like Microsoft and Meta and [2] a dependence on sole or limited-source suppliers for critical components such as merchant silicon. |
| Strong revenue growthRev Chg LTMRevenue Change % Last Twelve Months (LTM) is 41% |
| Attractive operating marginsOp Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is 44% |
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 44%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 42%, CFO LTM is 5.2 Bil, FCF LTM is 5.0 Bil |
| Stock buyback supportStock Buyback 3Y Total is 2.0 Bil |
| Megatrend and thematic driversMegatrends include Artificial Intelligence, Cloud Computing, and 5G & Advanced Connectivity. Themes include Data Centers & Infrastructure, Show more. |
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -3.1% |
| Key risksANET key risks include [1] a heavy reliance on a few major cloud customers like Microsoft and Meta and [2] a dependence on sole or limited-source suppliers for critical components such as merchant silicon. |
Qualitative Assessment
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Arista Networks (ANET) stock has remained largely at the same level since 7/31/2026 because of the following key factors:
1. Broader Technology Sector Sell-off in October 2026.
The technology sector experienced a significant downturn in October 2026, which impacted Arista Networks. The S&P 500 tech sector slid 6.8% during the month, marking its largest monthly decline since March 2025. This broader sell-off was driven by investor anxieties over stretched valuations in AI-related stocks and concerns that the substantial capital expenditures by hyperscalers for AI infrastructure might not yield proportionate returns quickly enough. This period saw a "sector rotation" where investors shifted away from technology, with other sectors showing relative strength while tech lagged, reflecting a cooling in overall market sentiment towards the high-growth tech segment.
2. Significant Insider Selling Activity.
Arista Networks experienced substantial insider selling by multiple key executives and a major shareholder during the period, which likely contributed to downward pressure on the stock. Andreas Bechtolsheim, a 10% owner, executed several large sales, including 300,000 shares on September 17, 2026, valued at approximately $59.69 million, and another 300,000 shares on August 27, 2026, worth about $60.78 million. His family trust also sold 267,892 common shares on October 30, 2026, with weighted-average prices ranging from $167.5060 to $174.1378. CEO Jayshree Ullal's trusts sold a total of 158,543 shares across October 8 and 9, 2026, generating approximately $34.42 million and $21.06 million, respectively. She also conducted additional sales totaling $97.64 million on October 8 and $13.24 million on September 29. Kenneth Duda, President and CTO, sold 43,333 shares for about $8.82 million on September 23, 2026, and another 43,333 shares for approximately $7.84 million on October 22, 2026. Collectively, insiders sold over $741.2 million worth of stock in the three months leading up to October 27, 2026.
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Arista Networks (ANET) stock has remained largely at the same level since 7/31/2026 because of the following key factors:
1. Broader Technology Sector Sell-off in October 2026.
The technology sector experienced a significant downturn in October 2026, which impacted Arista Networks. The S&P 500 tech sector slid 6.8% during the month, marking its largest monthly decline since March 2025. This broader sell-off was driven by investor anxieties over stretched valuations in AI-related stocks and concerns that the substantial capital expenditures by hyperscalers for AI infrastructure might not yield proportionate returns quickly enough. This period saw a "sector rotation" where investors shifted away from technology, with other sectors showing relative strength while tech lagged, reflecting a cooling in overall market sentiment towards the high-growth tech segment.
2. Significant Insider Selling Activity.
Arista Networks experienced substantial insider selling by multiple key executives and a major shareholder during the period, which likely contributed to downward pressure on the stock. Andreas Bechtolsheim, a 10% owner, executed several large sales, including 300,000 shares on September 17, 2026, valued at approximately $59.69 million, and another 300,000 shares on August 27, 2026, worth about $60.78 million. His family trust also sold 267,892 common shares on October 30, 2026, with weighted-average prices ranging from $167.5060 to $174.1378. CEO Jayshree Ullal's trusts sold a total of 158,543 shares across October 8 and 9, 2026, generating approximately $34.42 million and $21.06 million, respectively. She also conducted additional sales totaling $97.64 million on October 8 and $13.24 million on September 29. Kenneth Duda, President and CTO, sold 43,333 shares for about $8.82 million on September 23, 2026, and another 43,333 shares for approximately $7.84 million on October 22, 2026. Collectively, insiders sold over $741.2 million worth of stock in the three months leading up to October 27, 2026.
3. Mixed Analyst Sentiment with Downgrade and Price Target Adjustments.
Despite a generally positive outlook from many analysts, some adjustments in ratings and price targets during the period may have added to the stock's negative trend. Zacks Research notably downgraded Arista Networks from a "strong-buy" to a "hold" rating on October 5, 2026. Additionally, Barclays reduced its price target for ANET from $289.00 to $236.00 on November 4, 2026, although it maintained an "Overweight" rating. While other firms like Piper Sandler raised their price targets during the broader period, these specific downward adjustments in sentiment or targets by prominent research firms likely contributed to investor caution and the stock's decline prior to its strong fiscal Q3 2026 earnings report (for the quarter ending September 30, 2026), which was released on November 3, 2026.
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Stock Movement Drivers
Fundamental Drivers
The -1.0% change in ANET stock from 7/31/2026 to 11/4/2026 was primarily driven by a -22.2% change in the company's P/E Multiple.| (LTM values as of) | 7312026 | 11042026 | Change |
|---|---|---|---|
| Stock Price ($) | 180.35 | 178.48 | -1.0% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 9,710 | 11,890 | 22.5% |
| Net Income Margin (%) | 38.3% | 40.0% | 4.3% |
| P/E Multiple | 61.0 | 47.4 | -22.2% |
| Shares Outstanding (Mil) | 1,258 | 1,262 | -0.4% |
| Cumulative Contribution | -1.0% |
Market Drivers
7/31/2026 to 11/4/2026| Return | Correlation | |
|---|---|---|
| ANET | -1.0% | |
| Market (SPY) | 2.6% | 58.3% |
| Sector (XLK) | 0.7% | 69.0% |
Fundamental Drivers
The 3.3% change in ANET stock from 4/30/2026 to 11/4/2026 was primarily driven by a 32.0% change in the company's Total Revenues ($ Mil).| (LTM values as of) | 4302026 | 11042026 | Change |
|---|---|---|---|
| Stock Price ($) | 172.71 | 178.48 | 3.3% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 9,006 | 11,890 | 32.0% |
| Net Income Margin (%) | 39.0% | 40.0% | 2.5% |
| P/E Multiple | 61.9 | 47.4 | -23.4% |
| Shares Outstanding (Mil) | 1,258 | 1,262 | -0.4% |
| Cumulative Contribution | 3.3% |
Market Drivers
4/30/2026 to 11/4/2026| Return | Correlation | |
|---|---|---|
| ANET | 3.3% | |
| Market (SPY) | 7.0% | 49.2% |
| Sector (XLK) | 10.8% | 61.0% |
Fundamental Drivers
The 13.2% change in ANET stock from 10/31/2025 to 11/4/2026 was primarily driven by a 49.5% change in the company's Total Revenues ($ Mil).| (LTM values as of) | 10312025 | 11042026 | Change |
|---|---|---|---|
| Stock Price ($) | 157.69 | 178.48 | 13.2% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 7,951 | 11,890 | 49.5% |
| Net Income Margin (%) | 40.9% | 40.0% | -2.3% |
| P/E Multiple | 60.9 | 47.4 | -22.2% |
| Shares Outstanding (Mil) | 1,256 | 1,262 | -0.5% |
| Cumulative Contribution | 13.2% |
Market Drivers
10/31/2025 to 11/4/2026| Return | Correlation | |
|---|---|---|
| ANET | 13.2% | |
| Market (SPY) | 13.4% | 54.1% |
| Sector (XLK) | 17.9% | 63.9% |
Fundamental Drivers
The 256.3% change in ANET stock from 10/31/2023 to 11/4/2026 was primarily driven by a 112.5% change in the company's Total Revenues ($ Mil).| (LTM values as of) | 10312023 | 11042026 | Change |
|---|---|---|---|
| Stock Price ($) | 50.09 | 178.48 | 256.3% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 5,595 | 11,890 | 112.5% |
| Net Income Margin (%) | 34.0% | 40.0% | 17.6% |
| P/E Multiple | 32.7 | 47.4 | 45.0% |
| Shares Outstanding (Mil) | 1,241 | 1,262 | -1.7% |
| Cumulative Contribution | 256.3% |
Market Drivers
10/31/2023 to 11/4/2026| Return | Correlation | |
|---|---|---|
| ANET | 256.3% | |
| Market (SPY) | 89.7% | 56.7% |
| Sector (XLK) | 119.1% | 67.0% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| ANET Return | 98% | -16% | 94% | 88% | 19% | 36% | 883% |
| Peers Return | 62% | -12% | 20% | 37% | 47% | 80% | 518% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 11% | 102% |
Monthly Win Rates [3] | |||||||
| ANET Win Rate | 75% | 42% | 67% | 83% | 75% | 64% | |
| Peers Win Rate | 65% | 40% | 60% | 63% | 57% | 55% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 36% | |
Max Drawdowns [4] | |||||||
| ANET Max Drawdown | -17% | -37% | -22% | -20% | -50% | -24% | |
| Peers Max Drawdown | -16% | -41% | -25% | -32% | -38% | -37% | |
| S&P 500 Max Drawdown | -5% | -25% | -10% | -8% | -19% | -9% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: CSCO, HPE, DELL, EXTR, CIEN. See ANET Returns vs. Peers.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 11/4/2026 (YTD)
How Low Can It Go
| Event | ANET | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -38.1% | -18.8% |
| % Gain to Breakeven | 61.4% | 23.1% |
| Time to Breakeven | 96 days | 79 days |
| 2024 Yen Carry Trade Unwind | ||
| % Loss | -14.4% | -7.8% |
| % Gain to Breakeven | 16.8% | 8.5% |
| Time to Breakeven | 51 days | 18 days |
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -13.2% | -9.5% |
| % Gain to Breakeven | 15.2% | 10.5% |
| Time to Breakeven | 4 days | 24 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -36.4% | -24.5% |
| % Gain to Breakeven | 57.3% | 32.4% |
| Time to Breakeven | 263 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -30.2% | -33.7% |
| % Gain to Breakeven | 43.3% | 50.9% |
| Time to Breakeven | 72 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -27.7% | -19.2% |
| % Gain to Breakeven | 38.4% | 23.8% |
| Time to Breakeven | 53 days | 105 days |
In The Past
Arista Networks's stock fell -38.1% during the 2025 US Tariff Shock. Such a loss loss requires a 61.4% gain to breakeven.
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| Event | ANET | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -38.1% | -18.8% |
| % Gain to Breakeven | 61.4% | 23.1% |
| Time to Breakeven | 96 days | 79 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -36.4% | -24.5% |
| % Gain to Breakeven | 57.3% | 32.4% |
| Time to Breakeven | 263 days | 427 days |
| 2020 COVID-19 Crash | ||
| % Loss | -30.2% | -33.7% |
| % Gain to Breakeven | 43.3% | 50.9% |
| Time to Breakeven | 72 days | 140 days |
| Q4 2018 Fed Policy Error / Growth Scare | ||
| % Loss | -27.7% | -19.2% |
| % Gain to Breakeven | 38.4% | 23.8% |
| Time to Breakeven | 53 days | 105 days |
| 2015-2016 China Devaluation / Global Growth Scare | ||
| % Loss | -35.4% | -12.2% |
| % Gain to Breakeven | 54.7% | 13.9% |
| Time to Breakeven | 218 days | 62 days |
| 2014-2016 Oil Price Collapse | ||
| % Loss | -36.8% | -6.8% |
| % Gain to Breakeven | 58.2% | 7.3% |
| Time to Breakeven | 219 days | 15 days |
In The Past
Arista Networks's stock fell -38.1% during the 2025 US Tariff Shock. Such a loss loss requires a 61.4% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About Arista Networks (ANET)
Arista Networks (ANET) is a global technology company specializing in high-performance cloud networking solutions. The company designs, develops, and sells the critical hardware and software infrastructure that enables large-scale data centers and cloud environments to operate efficiently and reliably. Essentially, Arista provides the foundational networking technology required for rapid data traffic management and high-speed communication within complex digital ecosystems.
The core of Arista's offering comprises advanced gigabit Ethernet switching and routing platforms, which are fundamental components for building fast and scalable networks. These platforms are powered by the company's extensible operating systems and a collection of network applications, offering sophisticated control and programmability. Complementing its hardware and software, Arista also delivers comprehensive post-contract customer support services, including technical assistance, hardware repair and replacement, and software updates, ensuring the continued performance and stability of its clients' networks.
Arista Networks serves a broad international clientele across multiple sectors. Its primary customers include major internet companies, service providers, and financial institutions that require robust and high-capacity networking solutions for their critical operations. Additionally, the company provides its technology to government agencies, media and entertainment firms, and various other enterprises seeking advanced cloud networking infrastructure. Arista markets its products globally through a combination of distributors, system integrators, value-added resellers, OEM partners, and its direct sales team.
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Like Cisco, but specializing in high-performance networking for cloud data centers.
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- Extensible Operating Systems: Software that powers their cloud networking solutions.
- Network Applications: A suite of software applications designed for network management and functionality.
- Gigabit Ethernet Switching and Routing Platforms: Hardware devices providing high-speed network connectivity and traffic management capabilities.
- Post Contract Customer Support Services: Comprehensive support including technical assistance, hardware repair and parts replacement, and software updates and patches.
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Arista Networks (ANET) primarily sells its cloud networking solutions to other companies.
Its major customers include:
- Microsoft (MSFT)
- Meta Platforms (META)
Beyond these specific major customers, Arista Networks serves a broad range of industries, including other internet companies, service providers, financial services organizations, government agencies, and media and entertainment companies.
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- Celestica Inc. (CLS)
- Sanmina Corporation (SANM)
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Jayshree Ullal, Chief Executive Officer and Chairperson
Jayshree Ullal has served as President and CEO of Arista Networks since October 2008 and became Chairperson in December 2023. She led the company to its initial public offering in June 2014. Prior to Arista, Ms. Ullal spent 15 years at Cisco Systems, where she was Senior Vice President, overseeing a $10 billion business in datacenter, switching, and services, and oversaw approximately 20 mergers and acquisitions in the enterprise sector. Before Cisco, she was the Vice President of Marketing at Crescendo Communications, which Cisco acquired in 1993. Her early career included engineering and strategy roles at Advanced Micro Devices (AMD), Fairchild Semiconductor, and Ungermann-Bass.
Chantelle Breithaupt, Chief Financial Officer
Chantelle Breithaupt was appointed Chief Financial Officer of Arista Networks, effective February 2024, succeeding Ita Brennan. She brings over 25 years of experience in global financial roles. Before joining Arista, Ms. Breithaupt served as Senior Vice President and CFO of Aspen Technology. Her career also includes executive finance positions at Cisco Systems and across four GE businesses.
Kenneth Duda, Co-Founder, President and Chief Technology Officer
Kenneth Duda co-founded Arista Networks in 2004 and has been its Chief Technology Officer and Senior Vice President of Software Engineering since September 2011, also holding the title of President. He is the lead architect of Arista Networks' Extensible Operating System (EOS). Prior to Arista Networks, Mr. Duda was CTO of There.com. He was also the fourth employee at Granite Systems, a leader in gigabit Ethernet switches, and continued his leadership role at Cisco Systems after its acquisition of Granite. Mr. Duda holds three simultaneous engineering degrees from MIT and a Ph.D. in Computer Science from Stanford University.
Todd Nightingale, President and Chief Operating Officer
Todd Nightingale joined Arista Networks as President and Chief Operating Officer, effective July 1, 2025, focusing on enterprise data centers, campus networks, and manufacturing. Before Arista, he served as CEO and a Board Member at Fastly, Inc. from September 2022 to June 2025. Mr. Nightingale also held leadership positions at Cisco Systems, Inc., including Executive Vice President and General Manager of Enterprise Networking and Cloud, and Senior Vice President and General Manager of Cisco Meraki. He holds a Bachelor of Science and a Master's in engineering from the Massachusetts Institute of Technology.
Andreas "Andy" Bechtolsheim, Co-Founder and Chief Architect
Andreas "Andy" Bechtolsheim co-founded Arista Networks in 2004 (originally Arastra). He currently serves as Chief Architect for Arista Networks, a role he transitioned to in December 2023, having previously been an executive officer and on the board. Mr. Bechtolsheim also co-founded Sun Microsystems in 1982, where he was its chief hardware designer. [cite: 3 (from previous search output)] He has been a founding member of the Open Compute Project (OCP) Board of Directors since 2011. [cite: 8 (from previous search output)] He holds an M.S. in Computer Engineering from Carnegie Mellon University and was a doctoral student at Stanford University. [cite: 8 (from previous search output)]
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- Customer Concentration: A significant portion of Arista Networks' revenue is derived from a limited number of large cloud and AI customers. For instance, over 40% of its revenue comes from two customers, and Microsoft's contribution increased to 20% in fiscal year 2024. This heavy reliance makes the company vulnerable to any changes in these key customers' spending patterns, capital expenditure cuts, or strategic shifts, which could lead to substantial revenue fluctuations.
- Intense Competition: Arista operates in a highly competitive networking market. It faces strong competition from established players such as Cisco, Juniper Networks (now combined with HPE), Dell/EMC, Extreme Networks, and Huawei, as well as emerging threats like Nvidia in the AI networking space and white-box networking vendors. This intense competition can result in increased pricing pressure, reduced profit margins, and challenges in maintaining market share and its technological edge.
- Supply Chain Risks and Technological Disruption: The company faces risks related to its supply chain, particularly its reliance on sole or limited sources for key components, such as merchant silicon from vendors like Broadcom. Geopolitical risks can further constrain the availability of these key components, and the rapid pace of new interconnect technology could disrupt current standards, leading to potential supply shortages, extended lead times, increased costs, and the need for continuous innovation to stay ahead.
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The increasing maturity and widespread adoption of disaggregated networking solutions, combining commodity "white box" hardware with sophisticated open-source network operating systems (such as SONiC), which offer lower costs and greater flexibility, potentially eroding the market for proprietary integrated networking solutions.
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Arista Networks (ANET) operates within several significant addressable markets related to cloud networking, Ethernet switching, and routing platforms.
According to statements by Arista Networks' CEO in March 2026, the company's total addressable market (TAM) has grown from $60 billion to an estimated $105 billion, driven by demand in AI and cloud infrastructure, data center growth, and strategic expansions into campus and routing, as well as increased observability market opportunities.
Specific addressable markets for Arista Networks' products and services include:
- Data Center Networking: The global data center networking market was estimated at USD 38.49 billion in 2024 and is projected to reach USD 154.83 billion by 2033, exhibiting a compound annual growth rate (CAGR) of 17.2% from 2025 to 2033. Another projection places the global data center networking market size at USD 44.37 billion in 2026, growing to USD 114.08 billion by 2034 with a CAGR of 12.53%. BNP Paribas projects the total addressable data center networking market to reach $120 billion by 2028.
- Ethernet Switching: The global Ethernet switch market was valued at USD 43.84 billion in 2025 and is projected to grow to USD 76.4 billion by 2034, with a CAGR of 6.48%. Separately, the worldwide Ethernet switch market recorded USD 14.7 billion in revenue in the third quarter of 2025 alone. Another estimate values the global Ethernet switch market at USD 12.66 billion in 2024, expecting it to reach USD 19.92 billion by 2032, growing at a CAGR of 5.89% from 2025 to 2032.
- Data Center Routing: The global data center router market was valued at USD 3.08 billion in 2024 and is projected to reach USD 14.23 billion by 2034, growing at a CAGR of 16.54% during the forecast period of 2025–2034. Another report estimates the global data center router market at USD 10.25 billion in 2025, anticipated to reach USD 13.44 billion by 2032, with a CAGR of 4.0% from 2026 to 2032.
- Cloud Managed Networking / Multi-Cloud Networking: The global multi-cloud networking market size was estimated at USD 2.03 billion in 2024 and is projected to reach USD 13.14 billion by 2033, growing at a CAGR of 23.7% from 2025 to 2033. The global multi-cloud networking market was valued at USD 2.8 billion in 2023 and is estimated to reach USD 18.7 billion by 2032, registering a CAGR of over 23.5% between 2024 and 2032.
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Arista Networks (ANET) is positioned for robust revenue growth over the next two to three years, driven by several key factors:
- Explosive Growth in AI Networking: Arista Networks is a primary beneficiary of the substantial investments being made in artificial intelligence (AI) infrastructure. The company has significantly raised its AI networking revenue targets for 2026 to $3.25 billion, reflecting accelerating customer adoption in both traditional and emerging cloud sectors. This growth is propelled by its Etherlink portfolio and strategic collaborations with AI leaders such as NVIDIA, Arm, AMD, and OpenAI, as well as the industry's shift from InfiniBand to Ethernet for AI clusters.
- Continued and Expanding Hyperscale Cloud Provider Business: Arista maintains strong, deep-seated relationships with major hyperscale cloud providers, including Microsoft and Meta, which represent a significant portion of its revenue. These "cloud titans" are undertaking large capital outlays for compute and data center build-outs, directly benefiting Arista. Furthermore, the company anticipates adding one or two additional 10% customers in 2026, indicating ongoing diversification and expansion within this critical segment.
- Accelerated Transition to Next-Generation Ethernet Switching Platforms: The rapid upgrade cycle for Ethernet switching technology, particularly the transition to 800 Gigabit Ethernet and the imminent 1.6 terabit migration, is a substantial revenue driver. The cadence for these upgrades has reportedly shortened from 3-5 years to approximately two years, leading to accelerated adoption and significant growth in demand for Arista's advanced 7000 Series platforms.
- Expansion into the Enterprise Market and Cognitive Campus: Beyond its core cloud business, Arista is experiencing an accelerating pace of acceptance and adoption within the enterprise customer base. The expansion of its cognitive campus and branch networking portfolio is positioning the company for diversified customer growth and broader market penetration.
- Increasing Contribution from Software and Services: Arista's software offerings, such as its CloudVision network-as-a-service platform and the Network Data Lake (NetDL) for AI/ML-driven automation and security, are gaining significant traction. These services are adding new customers and steadily contributing to the company's overall revenue, enhancing its comprehensive solution portfolio.
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Share Repurchases
- Arista's Board of Directors authorized an additional $1.5 billion stock repurchase program in May 2025.
- An additional $1.2 billion stock repurchase program was authorized by the Board in May 2024.
- In the first quarter of 2025, Arista completed $787 million in stock repurchases, which was the highest quarterly or annual amount in the company's history. Annual share buybacks were $1.603 billion in 2025, $423.619 million in 2024, and $112.279 million in 2023.
Share Issuance
- Arista Networks' shares outstanding saw a 0.42% decline in 2025 to 1.276 billion, following a 0.99% increase in 2024 to 1.281 billion and a 0.21% increase in 2023 to 1.269 billion.
- The net common equity issued/repurchased for 2025 was -$3.000 billion, indicating a net repurchase of shares.
Inbound Investments
- Arete Wealth Advisors LLC made a new investment of approximately $4.93 million in Arista Networks during the third quarter (as of a March 2026 report).
Outbound Investments
- In July 2025, Arista acquired the VeloCloud SD-WAN portfolio from Broadcom to accelerate its AI-driven campus and branch networking strategy.
- Arista Networks acquired Pluribus Networks, a unified cloud network company, in August 2022.
Capital Expenditures
- Arista Networks' capital expenditures averaged $34.643 million from fiscal years ending December 2020 to 2024.
- Capital expenditures are projected to increase significantly from $32 million in FY2024 to an estimated $120 million in FY2025.
- The primary focus of the increased capital expenditures for FY2025 includes investments in a 1.6T product development lab, VeloCloud integration, and internal AI/ML training facilities.
Peer Outperformance in Communications Equipment
| Industry | Names | 1Y med | 3Y med | 5Y med | Top 3 by 5Y |
|---|---|---|---|---|---|
| Electronic Manufacturing Services | 10 | 17.2% | 109.4% | 187.6% | FLEX 488% · TTMI 419% · JBL 311% |
| Technology Distributors | 9 | 52.3% | 67.5% | 72.9% | AVT 148% · SNX 123% · CNXN 99% |
| Electronic Components | 24 | 16.4% | 69.6% | 35.2% | CLS 2134% · BELFA 1016% · APH 318% |
| Communications Equipment ← | 36 | 8.7% | 75.7% | 31.6% | LITE 609% · AAOI 586% · ANET 445% |
| Semiconductor Materials & Equipment | 28 | 42.7% | 55.4% | 31.5% | AXTI 418% · LRCX 289% · KLAC 284% |
| Electronic Equipment & Instruments | 27 | -2.2% | 28.0% | 4.3% | PI 130% · OSIS 116% · CXT 71% |
| Semiconductors | 55 | 2.3% | 45.5% | 1.3% | MU 1027% · NVDA 575% · AVGO 548% |
| Technology Hardware, Storage & Peripherals | 21 | 7.9% | 85.9% | -14.2% | WDC 691% · DELL 652% · STX 574% |
| Internet Services & Infrastructure | 6 | 3.5% | 45.5% | -20.9% | GDDY 58% · VRSN 40% · DOCN -20% |
| IT Consulting & Other Services | 30 | -18.2% | 1.2% | -26.5% | APLD 303% · IBM 155% · GIB -8% |
| Application Software | 126 | -9.9% | -6.3% | -50.0% | PLTR 549% · AGYS 157% · FROG 144% |
| Systems Software | 70 | -8.4% | 24.1% | -51.9% | ZETA 255% · CRWD 245% · CVLT 146% |
Latest Trefis Analyses
Research & Analysis
Invest in Strategies
Wealth Management
Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 140.69 |
| Mkt Cap | 145.3 |
| Rev LTM | 26,881 |
| Op Inc LTM | 4,248 |
| FCF LTM | 4,587 |
| FCF 3Y Avg | 3,224 |
| CFO LTM | 5,967 |
| CFO 3Y Avg | 4,486 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 29.6% |
| Rev Chg 3Y Avg | 13.2% |
| Rev Chg Q | 35.4% |
| QoQ Delta Rev Chg LTM | 8.0% |
| Op Inc Chg LTM | 82.2% |
| Op Inc Chg 3Y Avg | 40.9% |
| Op Mgn LTM | 11.9% |
| Op Mgn 3Y Avg | 8.1% |
| QoQ Delta Op Mgn LTM | 1.5% |
| CFO/Rev LTM | 16.8% |
| CFO/Rev 3Y Avg | 14.2% |
| FCF/Rev LTM | 12.6% |
| FCF/Rev 3Y Avg | 9.0% |
Valuation
| Median | |
|---|---|
| Name | |
| Mkt Cap | 145.3 |
| P/S | 4.3 |
| P/Op Inc | 30.9 |
| P/EBIT | 31.2 |
| P/E | 39.0 |
| P/CFO | 24.1 |
| Total Yield | 3.5% |
| Dividend Yield | 0.3% |
| FCF Yield 3Y Avg | 3.2% |
| D/E | 0.1 |
| Net D/E | 0.0 |
Returns
| Median | |
|---|---|
| Name | |
| 1M Rtn | -20.8% |
| 3M Rtn | -13.6% |
| 6M Rtn | 17.4% |
| 12M Rtn | 47.3% |
| 3Y Rtn | 234.8% |
| 1M Excs Rtn | -20.4% |
| 3M Excs Rtn | -8.9% |
| 6M Excs Rtn | 14.7% |
| 12M Excs Rtn | 32.1% |
| 3Y Excs Rtn | 195.6% |
Comparison Analyses
Price Behavior
| Market Price | $178.48 | |
| Market Cap ($ Bil) | 225.3 | |
| First Trading Date | 06/06/2014 | |
| Distance from 52W High | -17.7% | |
| 50 Days | 200 Days | |
| DMA Price | $194.12 | $165.79 |
| DMA Trend | up | up |
| Distance from DMA | -8.1% | 7.7% |
| 3M | 1YR | |
| Volatility | 50.2% | 55.1% |
| Downside Capture | 251.72 | 212.89 |
| Upside Capture | 202.23 | 197.70 |
| Correlation (S&P 500) | 55.6% | 52.7% |
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 4.08 | 3.10 | 2.55 | 2.26 | 2.29 | 1.88 |
| Up Beta | 7.62 | 3.26 | 1.24 | 1.16 | 1.90 | 1.32 |
| Down Beta | 4.04 | 4.43 | 4.44 | 3.15 | 2.73 | 2.13 |
| Up Capture | 270% | 247% | 240% | 264% | 383% | 2183% |
| Bmk +ve Days | 12 | 18 | 28 | 62 | 130 | 427 |
| Stock +ve Days | 10 | 21 | 32 | 63 | 130 | 419 |
| Down Capture | 436% | 277% | 236% | 194% | 160% | 112% |
| Bmk -ve Days | 10 | 25 | 36 | 64 | 121 | 325 |
| Stock -ve Days | 12 | 22 | 32 | 63 | 121 | 332 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with ANET | |
|---|---|---|---|---|
| ANET | 13.3% | 55.1% | 0.42 | - |
| Sector ETF (XLK) | 17.5% | 27.3% | 0.56 | 63.9% |
| Equity (SPY) | 13.2% | 12.9% | 0.68 | 54.1% |
| Gold (GLD) | 1.0% | 28.8% | 0.03 | 22.7% |
| Commodities (DBC) | 35.9% | 21.2% | 1.34 | 1.2% |
| Real Estate (VNQ) | 14.3% | 14.1% | 0.70 | -7.7% |
| Bitcoin (BTCUSD) | -28.2% | 43.4% | -0.65 | 27.7% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with ANET | |
|---|---|---|---|---|
| ANET | 48.0% | 49.3% | 0.96 | - |
| Sector ETF (XLK) | 18.1% | 26.2% | 0.62 | 66.0% |
| Equity (SPY) | 12.5% | 17.2% | 0.55 | 56.8% |
| Gold (GLD) | 17.3% | 19.1% | 0.73 | 10.9% |
| Commodities (DBC) | 8.0% | 19.6% | 0.29 | 11.5% |
| Real Estate (VNQ) | 1.8% | 18.9% | -0.01 | 21.7% |
| Bitcoin (BTCUSD) | 5.5% | 51.5% | 0.29 | 24.6% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with ANET | |
|---|---|---|---|---|
| ANET | 42.2% | 45.9% | 0.94 | - |
| Sector ETF (XLK) | 23.4% | 25.2% | 0.85 | 61.7% |
| Equity (SPY) | 15.4% | 18.0% | 0.73 | 54.6% |
| Gold (GLD) | 11.9% | 16.5% | 0.59 | 7.3% |
| Commodities (DBC) | 7.4% | 18.1% | 0.33 | 13.6% |
| Real Estate (VNQ) | 5.7% | 20.7% | 0.23 | 27.9% |
| Bitcoin (BTCUSD) | 61.0% | 66.2% | 1.01 | 13.5% |
Smart multi-asset allocation framework can stack odds in your favor. Learn How
Returns Analyses
Earnings Returns History
Updated 9/4/2026| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 8/4/2026 | 3.6% | 3.9% | -2.3% |
| 5/5/2026 | -13.6% | -16.3% | -2.5% |
| 2/12/2026 | 4.8% | -1.7% | 0.2% |
| 11/4/2025 | -8.6% | -12.1% | -16.3% |
| 8/5/2025 | 17.5% | 19.6% | 19.5% |
| 5/6/2025 | -4.8% | 7.1% | 4.9% |
| 2/18/2025 | -6.4% | -16.4% | -24.0% |
| 11/7/2024 | -7.1% | -10.5% | -1.7% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 15 | 12 | 15 |
| # Negative | 9 | 12 | 9 |
| Median Positive | 5.8% | 11.3% | 12.5% |
| Median Negative | -6.4% | -9.9% | -2.5% |
| Max Positive | 20.4% | 28.8% | 25.7% |
| Max Negative | -15.7% | -16.4% | -24.0% |
| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 8/4/2026 | 3.6% | 3.9% | -2.3% |
| 5/5/2026 | -13.6% | -16.3% | -2.5% |
| 2/12/2026 | 4.8% | -1.7% | 0.2% |
| 11/4/2025 | -8.6% | -12.1% | -16.3% |
| 8/5/2025 | 17.5% | 19.6% | 19.5% |
| 5/6/2025 | -4.8% | 7.1% | 4.9% |
| 2/18/2025 | -6.4% | -16.4% | -24.0% |
| 11/7/2024 | -7.1% | -10.5% | -1.7% |
| 7/30/2024 | 11.3% | 3.9% | 9.5% |
| 5/7/2024 | 6.5% | 14.5% | 8.2% |
| 2/12/2024 | -5.5% | -7.6% | -0.1% |
| 10/30/2023 | 14.0% | 21.1% | 24.8% |
| 7/31/2023 | 19.7% | 15.6% | 19.6% |
| 5/1/2023 | -15.7% | -13.8% | 3.9% |
| 2/13/2023 | 4.0% | -1.1% | 13.1% |
| 10/31/2022 | 5.7% | 8.0% | 15.3% |
| 8/1/2022 | -0.4% | 6.0% | 3.0% |
| 5/2/2022 | -3.6% | -13.3% | -14.0% |
| 2/14/2022 | 5.8% | -0.8% | 1.1% |
| 11/1/2021 | 20.4% | 28.8% | 18.8% |
| 8/2/2021 | 0.5% | -0.4% | -2.0% |
| 5/4/2021 | 3.7% | 6.9% | 12.5% |
| 2/18/2021 | 0.7% | -9.3% | -7.7% |
| 11/2/2020 | 15.4% | 21.1% | 25.7% |
| SUMMARY STATS | |||
| # Positive | 15 | 12 | 15 |
| # Negative | 9 | 12 | 9 |
| Median Positive | 5.8% | 11.3% | 12.5% |
| Median Negative | -6.4% | -9.9% | -2.5% |
| Max Positive | 20.4% | 28.8% | 25.7% |
| Max Negative | -15.7% | -16.4% | -24.0% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 09/30/2026 | 11/04/2026 | 10-Q |
| 06/30/2026 | 08/05/2026 | 10-Q |
| 03/31/2026 | 05/06/2026 | 10-Q |
| 12/31/2025 | 02/17/2026 | 10-K |
| 09/30/2025 | 11/05/2025 | 10-Q |
| 06/30/2025 | 08/06/2025 | 10-Q |
| 03/31/2025 | 05/07/2025 | 10-Q |
| 12/31/2024 | 02/19/2025 | 10-K |
| 09/30/2024 | 11/08/2024 | 10-Q |
| 06/30/2024 | 07/31/2024 | 10-Q |
| 03/31/2024 | 05/08/2024 | 10-Q |
| 12/31/2023 | 02/13/2024 | 10-K |
| 09/30/2023 | 10/31/2023 | 10-Q |
| 06/30/2023 | 08/01/2023 | 10-Q |
| 03/31/2023 | 05/02/2023 | 10-Q |
| 12/31/2022 | 02/14/2023 | 10-K |
| Report Date | Filing Date | Filing |
|---|---|---|
| 09/30/2026 | 11/04/2026 | 10-Q |
| 06/30/2026 | 08/05/2026 | 10-Q |
| 03/31/2026 | 05/06/2026 | 10-Q |
| 12/31/2025 | 02/17/2026 | 10-K |
| 09/30/2025 | 11/05/2025 | 10-Q |
| 06/30/2025 | 08/06/2025 | 10-Q |
| 03/31/2025 | 05/07/2025 | 10-Q |
| 12/31/2024 | 02/19/2025 | 10-K |
| 09/30/2024 | 11/08/2024 | 10-Q |
| 06/30/2024 | 07/31/2024 | 10-Q |
| 03/31/2024 | 05/08/2024 | 10-Q |
| 12/31/2023 | 02/13/2024 | 10-K |
| 09/30/2023 | 10/31/2023 | 10-Q |
| 06/30/2023 | 08/01/2023 | 10-Q |
| 03/31/2023 | 05/02/2023 | 10-Q |
| 12/31/2022 | 02/14/2023 | 10-K |
| 09/30/2022 | 11/01/2022 | 10-Q |
| 06/30/2022 | 08/02/2022 | 10-Q |
| 03/31/2022 | 05/03/2022 | 10-Q |
| 12/31/2021 | 02/15/2022 | 10-K |
| 09/30/2021 | 11/02/2021 | 10-Q |
| 06/30/2021 | 08/03/2021 | 10-Q |
| 03/31/2021 | 05/06/2021 | 10-Q |
| 12/31/2020 | 02/19/2021 | 10-K |
| 09/30/2020 | 11/03/2020 | 10-Q |
| 06/30/2020 | 08/05/2020 | 10-Q |
| 03/31/2020 | 05/06/2020 | 10-Q |
| 12/31/2019 | 02/14/2020 | 10-K |
Recent Forward Guidance
Updated 11/4/2026Latest: Q3 2026 Earnings Reported 11/3/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q4 2026 Revenue | Reported | 3.90 Bil | 3.95 Bil | 4.00 Bil | 19.7% | Higher New | Guidance: 3.30 Bil for Q3 2026 | |
| Q4 2026 Non-GAAP operating margin | Reported | 48.0% | 48.5% | 49.0% | 0.0% | Same New | Guidance: 48.5% for Q3 2026 | |
| Q4 2026 Non-GAAP diluted net income per share | Reported | 1.26 | 1.28 | 1.3 | 19.6% | Higher New | Guidance: 1.07 for Q3 2026 | |
Prior: Q2 2026 Earnings Reported 8/4/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q3 2026 Revenue | Reported | 3.30 Bil | 17.9% | Higher New | Actual: 2.80 Bil for Q2 2026 | |||
| Q3 2026 Non-GAAP Operating Margin | Reported | 48.0% | 48.5% | 49.0% | 2.0% | Higher New | Actual: 46.5% for Q2 2026 | |
| Q3 2026 Non-GAAP Diluted Net Income Per Share | Reported | 1.06 | 1.07 | 1.08 | 21.6% | Higher New | Actual: 0.88 for Q2 2026 | |
Q1 2026 Earnings Reported 5/5/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q2 2026 Revenue | Reported | 2.80 Bil | 7.7% | Higher New | Actual: 2.60 Bil for Q1 2026 | |||
| Q2 2026 Non-GAAP Operating Margin | Reported | 46.0% | 46.5% | 47.0% | 0.5% | Higher New | Actual: 46.0% for Q1 2026 | |
| Q2 2026 Non-GAAP Diluted Net Income Per Share | Reported | 0.88 | ||||||
Q4 2025 Earnings Reported 2/12/2026
| Forward Guidance | Guidance Change | |||||||
|---|---|---|---|---|---|---|---|---|
| Metric | Source | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q1 2026 Revenue | Reported | 2.60 Bil | 10.6% | Higher New | Guidance: 2.35 Bil for Q4 2025 | |||
| Q1 2026 Non-GAAP Gross Margin | Reported | 62.0% | 62.5% | 63.0% | 0 | Same New | Guidance: 62.5% for Q4 2025 | |
| Q1 2026 Non-GAAP Operating Margin | Reported | 46.0% | -1.5% | Lower New | Guidance: 47.5% for Q4 2025 | |||
Insider Activity
Updated 11/4/2026| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Templeton, Mark B | Direct | Sell | 11042026 | 165.85 | 5,000 | 829,255 | 7,199,595 | Form | |
| 2 | Bechtolsheim, Andreas | by Trust | Sell | 11032026 | 171.19 | 267,892 | 45,859,344 | 30,860,571,828 | Form | |
| 3 | Duda, Kenneth | President and CTO | Direct | Sell | 10222026 | 180.91 | 17,333 | 3,135,761 | 2,347,524 | Form |
| 4 | Duda, Kenneth | President and CTO | Childrens' Trust | Sell | 10222026 | 180.91 | 16,000 | 2,894,606 | 208,939,527 | Form |
| 5 | Duda, Kenneth | President and CTO | Foundation | Sell | 10222026 | 180.91 | 10,000 | 1,809,129 | 78,226,750 | Form |
| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Templeton, Mark B | Direct | Sell | 11042026 | 165.85 | 5,000 | 829,255 | 7,199,595 | Form | |
| 2 | Bechtolsheim, Andreas | by Trust | Sell | 11032026 | 171.19 | 267,892 | 45,859,344 | 30,860,571,828 | Form | |
| 3 | Duda, Kenneth | President and CTO | Direct | Sell | 10222026 | 180.91 | 17,333 | 3,135,761 | 2,347,524 | Form |
| 4 | Duda, Kenneth | President and CTO | Childrens' Trust | Sell | 10222026 | 180.91 | 16,000 | 2,894,606 | 208,939,527 | Form |
| 5 | Duda, Kenneth | President and CTO | Foundation | Sell | 10222026 | 180.91 | 10,000 | 1,809,129 | 78,226,750 | Form |
| 6 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 1 | Sell | 10132026 | 217.10 | 18,656 | 4,050,139 | 1,036,565,362 | Form |
| 7 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 2 | Sell | 10132026 | 217.10 | 18,656 | 4,050,139 | 1,036,565,362 | Form |
| 8 | Ullal, Jayshree | CEO and Chairperson | by Trust | Sell | 10132026 | 217.10 | 93,241 | 20,242,229 | 3,350,332,453 | Form |
| 9 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 1 | Sell | 10132026 | 217.05 | 4,000 | 868,193 | 1,040,387,818 | Form |
| 10 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 2 | Sell | 10132026 | 217.05 | 4,000 | 868,193 | 1,040,387,818 | Form |
| 11 | Ullal, Jayshree | CEO and Chairperson | by Trust | Sell | 10132026 | 217.05 | 19,990 | 4,338,796 | 3,369,837,210 | Form |
| 12 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 1 | Sell | 10092026 | 217.14 | 13,860 | 3,009,571 | 1,041,699,765 | Form |
| 13 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 2 | Sell | 10092026 | 217.14 | 13,860 | 3,009,571 | 1,041,699,765 | Form |
| 14 | Ullal, Jayshree | CEO and Chairperson | by Trust | Sell | 10092026 | 217.14 | 69,272 | 15,041,777 | 3,375,613,986 | Form |
| 15 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 1 | Sell | 10082026 | 212.09 | 65,765 | 13,948,369 | 1,020,428,679 | Form |
| 16 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 2 | Sell | 10082026 | 212.09 | 65,765 | 13,948,369 | 1,020,428,679 | Form |
| 17 | Ullal, Jayshree | CEO and Chairperson | by Trust | Sell | 10082026 | 212.09 | 328,844 | 69,745,875 | 3,311,851,645 | Form |
| 18 | Breithaupt, Chantelle Yvette | Senior Vice President, CFO | Direct | Sell | 10082026 | 215.00 | 1,224 | 263,160 | 14,769,855 | Form |
| 19 | Templeton, Mark B | Direct | Sell | 10052026 | 204.37 | 5,000 | 1,021,829 | 9,893,353 | Form | |
| 20 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 1 | Sell | 9292026 | 211.40 | 8,948 | 1,891,569 | 1,030,970,910 | Form |
| 21 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 2 | Sell | 9292026 | 211.40 | 8,948 | 1,891,569 | 1,030,970,910 | Form |
| 22 | Ullal, Jayshree | CEO and Chairperson | by Trust | Sell | 9292026 | 211.40 | 44,726 | 9,454,884 | 3,370,462,177 | Form |
| 23 | Duda, Kenneth | President and CTO | Direct | Sell | 9232026 | 203.50 | 17,333 | 3,527,237 | 2,640,595 | Form |
| 24 | Duda, Kenneth | President and CTO | Childrens' Trust | Sell | 9232026 | 203.50 | 16,000 | 3,255,975 | 238,280,020 | Form |
| 25 | Duda, Kenneth | President and CTO | Foundation | Sell | 9232026 | 203.50 | 10,000 | 2,034,982 | 90,027,613 | Form |
| 26 | Bechtolsheim, Andreas | by Trust | Sell | 9212026 | 198.95 | 300,000 | 59,686,334 | 35,919,841,935 | Form | |
| 27 | Templeton, Mark B | Direct | Sell | 9102026 | 197.16 | 5,000 | 985,788 | 10,530,184 | Form | |
| 28 | Breithaupt, Chantelle Yvette | Senior Vice President, CFO | Direct | Sell | 9032026 | 195.77 | 612 | 119,811 | 13,688,434 | Form |
| 29 | Bechtolsheim, Andreas | by Trust | Sell | 8312026 | 202.60 | 300,000 | 60,780,047 | 36,638,830,073 | Form | |
| 30 | Ullal, Jayshree | CEO and Chairperson | Direct | Sell | 8272026 | 191.79 | 13,809 | 2,648,491 | 1,902,027 | Form |
| 31 | Battles, Kelly Bodnar | Direct | Sell | 8252026 | 187.34 | 422 | 79,057 | 1,909,744 | Form | |
| 32 | Duda, Kenneth | President and CTO | Direct | Sell | 8242026 | 185.42 | 17,333 | 3,213,844 | 2,405,979 | Form |
| 33 | Duda, Kenneth | President and CTO | Childrens' Trust | Sell | 8242026 | 185.42 | 16,000 | 2,966,680 | 188,229,882 | Form |
| 34 | Duda, Kenneth | President and CTO | Foundation | Sell | 8242026 | 185.42 | 10,000 | 1,854,176 | 83,882,903 | Form |
| 35 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 1 | Sell | 8142026 | 208.13 | 82,570 | 17,185,241 | 1,016,903,402 | Form |
| 36 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 2 | Sell | 8142026 | 208.13 | 82,570 | 17,185,241 | 1,016,903,402 | Form |
| 37 | Ullal, Jayshree | CEO and Chairperson | Trust for Nephew | Sell | 8142026 | 208.13 | 4,484 | 933,251 | 5,203,229 | Form |
| 38 | Ullal, Jayshree | CEO and Chairperson | Trust for Niece | Sell | 8142026 | 208.13 | 4,484 | 933,251 | 5,203,229 | Form |
| 39 | Ullal, Jayshree | CEO and Chairperson | by Trust | Sell | 8142026 | 208.13 | 399,401 | 83,127,084 | 3,327,693,284 | Form |
| 40 | Bechtolsheim, Andreas | Direct | Sell | 8102026 | 192.75 | 111,848 | Form | |||
| 41 | Bechtolsheim, Andreas | by Trust | Sell | 8102026 | 192.75 | 300,000 | 57,824,691 | 34,915,135,721 | Form | |
| 42 | Bechtolsheim, Andreas | by Trust | Sell | 8072026 | 203.30 | 300,000 | 60,989,688 | 36,887,182,793 | Form | |
| 43 | Ullal, Jayshree | CEO and Chairperson | by Trust | Sell | 8072026 | 201.22 | 767,029 | 154,341,086 | 3,297,579,075 | Form |
| 44 | Ullal, Jayshree | CEO and Chairperson | Trust for Nephew | Sell | 8072026 | 201.24 | 516 | 103,840 | 5,933,371 | Form |
| 45 | Ullal, Jayshree | CEO and Chairperson | Trust for Niece | Sell | 8072026 | 201.24 | 516 | 103,840 | 5,933,371 | Form |
| 46 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 1 | Sell | 8072026 | 201.22 | 165,717 | 33,345,457 | 999,756,024 | Form |
| 47 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 2 | Sell | 8072026 | 201.22 | 165,717 | 33,345,457 | 999,756,024 | Form |
| 48 | Giancarlo, Charles H | by Trust | Sell | 8052026 | 181.02 | 8,000 | 1,448,180 | 33,368,413 | Form | |
| 49 | Duda, Kenneth | President and CTO | Direct | Sell | 7222026 | 170.51 | 17,333 | 2,955,515 | 2,212,587 | Form |
| 50 | Duda, Kenneth | President and CTO | Childrens' Trust | Sell | 7222026 | 170.51 | 16,000 | 2,728,220 | 175,828,316 | Form |
| 51 | Duda, Kenneth | President and CTO | Foundation | Sell | 7222026 | 170.51 | 10,000 | 1,705,137 | 78,845,519 | Form |
| 52 | Bechtolsheim, Andreas | by Trust | Sell | 7162026 | 180.77 | 300,000 | 54,231,399 | 32,853,932,474 | Form | |
| 53 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 1 | Sell | 7142026 | 187.18 | 36,888 | 6,904,534 | 960,998,276 | Form |
| 54 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 2 | Sell | 7142026 | 187.18 | 36,888 | 6,904,534 | 960,998,276 | Form |
| 55 | Ullal, Jayshree | CEO and Chairperson | by Trust | Sell | 7142026 | 187.18 | 160,802 | 30,098,211 | 3,210,999,290 | Form |
| 56 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 1 | Sell | 7132026 | 188.17 | 38,112 | 7,171,484 | 973,037,980 | Form |
| 57 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 2 | Sell | 7132026 | 188.17 | 38,112 | 7,171,484 | 973,037,980 | Form |
| 58 | Ullal, Jayshree | CEO and Chairperson | by Trust | Sell | 7132026 | 188.17 | 166,198 | 31,273,253 | 3,258,292,898 | Form |
| 59 | Bechtolsheim, Andreas | by Trust | Sell | 7072026 | 162.67 | 240,000 | 39,040,876 | 29,612,999,969 | Form | |
| 60 | Bechtolsheim, Andreas | by Trust | Sell | 7062026 | 164.22 | 260,000 | 42,696,873 | 29,934,293,155 | Form | |
| 61 | Giancarlo, Charles H | by Trust | Sell | 7062026 | 167.06 | 8,000 | 1,336,474 | 32,131,003 | Form | |
| 62 | Duda, Kenneth | President and CTO | Direct | Sell | 6242026 | 171.42 | 17,333 | 2,971,253 | 2,224,368 | Form |
| 63 | Duda, Kenneth | President and CTO | Childrens' Trust | Sell | 6242026 | 171.42 | 16,000 | 2,742,760 | 179,508,127 | Form |
| 64 | Duda, Kenneth | President and CTO | Foundation | Sell | 6242026 | 171.42 | 10,000 | 1,714,221 | 80,979,807 | Form |
| 65 | Bechtolsheim, Andreas | by Trust | Sell | 6172026 | 165.57 | 260,000 | 43,049,018 | 30,224,226,743 | Form | |
| 66 | Bechtolsheim, Andreas | Direct | Sell | 6092026 | 157.93 | 220,000 | 34,743,812 | 17,663,754 | Form | |
| 67 | Bechtolsheim, Andreas | Direct | Sell | 6082026 | 163.06 | 240,000 | 39,135,436 | 54,112,567 | Form | |
| 68 | Giancarlo, Charles H | by Trust | Sell | 6032026 | 169.09 | 8,000 | 1,352,728 | 33,874,499 | Form | |
| 69 | Ullal, Jayshree | CEO and Chairperson | Direct | Sell | 5282026 | 155.04 | 13,809 | 2,141,004 | 1,537,572 | Form |
| 70 | Breithaupt, Chantelle Yvette | Senior Vice President, CFO | Direct | Sell | 5282026 | 157.00 | 2,448 | 384,336 | 10,112,056 | Form |
| 71 | Bechtolsheim, Andreas | by Trust | Sell | 5282026 | 156.86 | 220,000 | 34,508,850 | 28,674,195,150 | Form | |
| 72 | Battles, Kelly Bodnar | Direct | Sell | 5262026 | 146.44 | 422 | 61,797 | 1,475,808 | Form | |
| 73 | Wassenaar, Yvonne | Direct | Sell | 5222026 | 140.93 | 971 | 136,846 | 1,378,893 | Form | |
| 74 | Duda, Kenneth | President and CTO | Direct | Sell | 5202026 | 140.08 | 32,000 | 4,482,711 | 1,817,739 | Form |
| 75 | Duda, Kenneth | President and CTO | Childrens' Trust | Sell | 5202026 | 140.08 | 16,000 | 2,241,356 | 148,933,611 | Form |
| 76 | Duda, Kenneth | President and CTO | Foundation | Sell | 5202026 | 140.08 | 10,000 | 1,400,847 | 67,576,846 | Form |
| 77 | Giancarlo, Charles H | by Trust | Sell | 5052026 | 175.40 | 8,000 | 1,403,202 | 36,541,650 | Form | |
| 78 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 1 | Sell | 4242026 | 177.44 | 64,000 | 11,356,159 | 924,321,593 | Form |
| 79 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 2 | Sell | 4242026 | 177.44 | 64,000 | 11,356,159 | 924,321,593 | Form |
| 80 | Ullal, Jayshree | CEO and Chairperson | by Trust | Sell | 4242026 | 177.44 | 300,000 | 53,231,996 | 3,102,007,646 | Form |
| 81 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 1 | Sell | 4222026 | 167.31 | 45,920 | 7,682,967 | 884,626,563 | Form |
| 82 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 2 | Sell | 4222026 | 167.31 | 45,920 | 7,682,967 | 884,626,563 | Form |
| 83 | Ullal, Jayshree | CEO and Chairperson | by Trust | Sell | 4222026 | 167.31 | 214,299 | 35,854,794 | 2,986,136,223 | Form |
| 84 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 1 | Sell | 4202026 | 159.32 | 50,000 | 7,965,805 | 849,665,733 | Form |
| 85 | Ullal, Jayshree | CEO and Chairperson | Trust for Child 2 | Sell | 4202026 | 159.32 | 50,000 | 7,965,805 | 849,665,733 | Form |
| 86 | Ullal, Jayshree | CEO and Chairperson | by Trust | Sell | 4202026 | 159.32 | 250,000 | 39,829,021 | 2,877,568,675 | Form |
| 87 | Wassenaar, Yvonne | Direct | Sell | 4172026 | 153.07 | 1,395 | 213,533 | 1,497,636 | Form | |
| 88 | Ullal, Jayshree | CEO and Chairperson | Direct | Sell | 4152026 | 150.11 | 112,812 | 16,934,672 | 1,488,682 | Form |
| 89 | Giancarlo, Charles H | by Trust | Sell | 4032026 | 125.95 | 8,000 | 1,007,603 | 27,247,234 | Form | |
| 90 | Wassenaar, Yvonne | Direct | Sell | 3182026 | 134.34 | 1,395 | 187,404 | 1,501,788 | Form | |
| 91 | Giancarlo, Charles H | by Trust | Sell | 3042026 | 128.67 | 8,000 | 1,029,372 | 229,550 | Form | |
| 92 | Wassenaar, Yvonne | Direct | Sell | 2272026 | 132.44 | 1,815 | 240,380 | 1,665,314 | Form | |
| 93 | Battles, Kelly Bodnar | Direct | Sell | 2252026 | 128.06 | 422 | 54,042 | 1,220,307 | Form | |
| 94 | Duda, Kenneth | President and CTO | Direct | Sell | 2192026 | 142.44 | 32,000 | 4,557,938 | 1,848,244 | Form |
| 95 | Duda, Kenneth | President and CTO | Foundation | Sell | 2192026 | 142.44 | 10,000 | 1,424,355 | 72,983,960 | Form |
| 96 | Duda, Kenneth | President and CTO | Childrens' Trust | Sell | 2192026 | 142.29 | 16,000 | 2,276,709 | 158,112,858 | Form |
| 97 | Giancarlo, Charles H | by Trust | Sell | 2042026 | 140.43 | 8,000 | 1,123,469 | 1,374,002 | Form | |
| 98 | Duda, Kenneth | President and CTO | Direct | Sell | 1222026 | 128.43 | 30,000 | 3,852,972 | 1,666,539 | Form |
| 99 | Duda, Kenneth | President and CTO | Childrens' Trust | Sell | 1222026 | 128.43 | 16,000 | 2,054,918 | 144,764,864 | Form |
| 100 | Duda, Kenneth | President and CTO | Foundation | Sell | 1222026 | 128.43 | 10,000 | 1,284,322 | 67,093,005 | Form |
| 101 | Giancarlo, Charles H | by Trust | Sell | 1062026 | 133.79 | 8,000 | 1,070,291 | 2,379,258 | Form | |
| 102 | Duda, Kenneth | President and CTO | Direct | Sell | 12192025 | 123.16 | 30,000 | 3,694,672 | 1,598,069 | Form |
| 103 | Duda, Kenneth | President and CTO | Childrens' Trust | Sell | 12192025 | 123.16 | 16,000 | 1,970,493 | 140,787,769 | Form |
| 104 | Duda, Kenneth | President and CTO | Foundation | Sell | 12192025 | 123.16 | 10,000 | 1,231,557 | 65,568,094 | Form |
| 105 | Giancarlo, Charles H | by Trust | Sell | 12032025 | 128.09 | 8,000 | 1,024,749 | 3,302,765 | Form | |
| 106 | Ullal, Jayshree | CEO and Chairperson | Direct | Sell | 11262025 | 124.55 | 24,042 | 2,994,534 | 1,235,205 | Form |
| 107 | Battles, Kelly Bodnar | Direct | Sell | 11252025 | 117.15 | 422 | 49,436 | 1,051,982 | Form | |
| 108 | Duda, Kenneth | President and CTO | Direct | Sell | 11192025 | 128.61 | 30,000 | 3,858,423 | 1,668,897 | Form |
| 109 | Duda, Kenneth | President and CTO | Childrens' Trust | Sell | 11192025 | 128.61 | 16,000 | 2,057,828 | 149,085,508 | Form |
| 110 | Duda, Kenneth | President and CTO | Foundation | Sell | 11192025 | 128.61 | 10,000 | 1,286,140 | 69,760,231 | Form |
| 111 | Giancarlo, Charles H | by Trust | Sell | 11052025 | 157.12 | 8,000 | 1,256,957 | 5,308,129 | Form |
Investor Activity (13F)
Updated Nov 5, 2026Active managers (13F portfolio over $250M, at least 3 holdings) with a position over $5M that is either over 10% of their portfolio or held in a concentrated book of 50 or fewer total positions. Index/ETF, sovereign, bank, community-bank and charitable/donor-advised filers are excluded.
| Active Manager | Value | % of Portfolio | Total Positions | QoQ | Filing |
|---|---|---|---|---|---|
| Varenne Capital Partners | $51.7 Mil | 12.8% | 27 | Hold | 13F |
| Cresset Asset Management, LLC | $2.5 Bil | 11.0% | 1582 | Hold | 13F |
| Capital Counsel Llc/Ny | $242.7 Mil | 10.3% | 62 | Hold | 13F |
| DSM Capital Partners LLC | $329.9 Mil | 5.8% | 44 | Hold | 13F |
| Anomaly Capital Management, LP | $70.6 Mil | 4.3% | 21 | New | 13F |
| Timucuan Asset Management Inc/Fl | $112.7 Mil | 4.1% | 28 | Hold | 13F |
| Nepsis Inc. | $9.7 Mil | 3.2% | 29 | Hold | 13F |
| Cambridge Financial Group, Inc. | $7.3 Mil | 2.7% | 33 | Hold | 13F |
| Ithaka Group LLC | $12.8 Mil | 2.6% | 38 | Hold | 13F |
| M & L Capital Management Ltd | $10.6 Mil | 2.6% | 19 | Hold | 13F |
| Eleva Capital SAS | $5.8 Mil | 1.7% | 24 | New | 13F |
| First Washington CORP | $5.3 Mil | 1.5% | 50 | Hold | 13F |
| Active Manager | Value | % of Portfolio | Total Positions | QoQ | Filing |
|---|---|---|---|---|---|
| Cresset Asset Management, LLC | $2.5 Bil | 11.0% | 1582 | Hold | 13F |
| DSM Capital Partners LLC | $329.9 Mil | 5.8% | 44 | Hold | 13F |
| Capital Counsel Llc/Ny | $242.7 Mil | 10.3% | 62 | Hold | 13F |
| Timucuan Asset Management Inc/Fl | $112.7 Mil | 4.1% | 28 | Hold | 13F |
| Anomaly Capital Management, LP | $70.6 Mil | 4.3% | 21 | New | 13F |
| Varenne Capital Partners | $51.7 Mil | 12.8% | 27 | Hold | 13F |
| Ithaka Group LLC | $12.8 Mil | 2.6% | 38 | Hold | 13F |
| M & L Capital Management Ltd | $10.6 Mil | 2.6% | 19 | Hold | 13F |
| Nepsis Inc. | $9.7 Mil | 3.2% | 29 | Hold | 13F |
| Cambridge Financial Group, Inc. | $7.3 Mil | 2.7% | 33 | Hold | 13F |
| Eleva Capital SAS | $5.8 Mil | 1.7% | 24 | New | 13F |
| First Washington CORP | $5.3 Mil | 1.5% | 50 | Hold | 13F |
ANET Trade Sentinel
High Conviction
CONVICTION RATIONALE
Arista is capturing a dominant share of the AI networking buildout, a multi-year cycle. The company's accelerating revenue, three guidance raises to 40% annual growth, and $9.7 billion in purchase commitments provide strong visibility. This execution demonstrates a clear ability to convert unprecedented demand into financial results, justifying a positive outlook.
STOCK ARCHETYPE
Capital Equipment / Infrastructure Provider(Number of devices sold) x (Average Selling Price per device) Product mix shifting towards higher-performance, more complex AI systems, combined with operating leverage from a scalable software model.
INVESTMENT THESIS
Evidence suggests Arista is a primary beneficiary, converting unprecedented demand into accelerating growth.
- Full-year 2026 revenue guidance was raised for a third time to $12.6 billion.
- Latest quarterly revenue growth accelerated to 37.7% year-over-year.
- Purchase commitments for components have nearly tripled to $9.7 billion.
- The company has a total deferred revenue balance of approximately $6.9 billion.
- The AI Etherlink customer base now exceeds 100 cumulative customers.
PRIMARY RISK
Extreme customer concentration and reliance on a single key supplier create significant vulnerability to spending shifts or component shortages, which could derail growth.
- Two customers accounted for 26% and 16% of total revenue in 2025.
- The company is 'primarily reliant' on Broadcom for its switching chips.
- Management has noted 'tightening supply conditions in the memory market'.
- Gross margin in the latest quarter fell 2.3 percentage points year-over-year.
| KPI | Status | Rationale |
|---|---|---|
| Revenue Growth | 37.7% year-over-year growth for the quarter ended 6/30/2026 - Accelerating | Year-over-year revenue growth has accelerated for two consecutive quarters, indicating strengthening demand and execution. The latest quarter's growth represents a significant step-up from the high-20s rate seen two quarters prior. |
| AI Fabrics Revenue Goal | Fiscal year 2026 AI fabrics revenue goal of at least $3.5 billion. - Accelerating | Management has repeatedly raised its full-year 2026 AI revenue target, signaling increasing confidence in both demand for its AI networking solutions and its ability to supply the necessary products. This progression from $3.25 billion to $3.5 billion reflects a strengthening outlook. |
| Cumulative AI Etherlink Customers | exceeds 100 (Q2 2026) | Signals the breadth of adoption for Arista's AI-focused networking solutions beyond its initial large customers, indicating market penetration and diversification. |
| Net Promoter Score (NPS) | 89 (Q1 2026) | Measures customer satisfaction and loyalty. A high score indicates strong customer relationships and a competitive advantage in service and support, which is critical for mission-critical network infrastructure. |
| Cumulative Ports Shipped | 150,000,000 (Q4 2025) | Indicates the scale of the company's installed base, which drives future opportunities for upgrades, services, and software subscriptions. |
AI Supercycle vs. Supply-Side Execution
BULL VIEW
Unprecedented AI demand, evidenced by a 40% growth forecast, will power results as Arista's $9.7 billion in purchase commitments show it has secured the necessary supply.
CORE TENSION
Can accelerating demand, reflected in a $6.9 billion deferred revenue balance, overcome supply constraints, which previously caused a -15.0% post-earnings stock decline?
PREVAILING SENTIMENT
The latest evidence favors the bull view. Management's third guidance raise this year indicates growing confidence in its ability to secure components and meet demand.
BEAR VIEW
The company's growth is capped by a fragile supply chain. Any de-commitment from its key silicon vendor could cause a material miss on its ambitious $12.6 billion revenue target.
| Timeline | Event & Metric To Watch |
|---|---|
by the end of fiscal 2026 | Santa Clara Facility Completion Watch: Construction work to build expanded facilities in Santa Clara is expected to be completed. |
9/3/2026 | Peer Ciena Earnings Watch: Peer Ciena (CIEN) is scheduled to report earnings. |
10/27/2026 | Peer Extreme Networks Earnings Watch: Peer Extreme Networks (EXTR) is scheduled to report earnings. |
11/2/2026 | Margin Pressure From Costs and Mix Watch: Q3 gross margin relative to 63% guide and any change to the full-year 62-64% range. |
11/2/2026 | Supply Constraints Impacting Raised Guidance Watch: Q3 revenue versus the $3.3 billion guide and any commentary on ability to meet the new $12.6 billion annual target. |
11/10/2026 | Negative Read-Through From Peers Watch: Peers' commentary on data center, campus, and AI networking demand and their outlooks for the communications equipment industry. |
| Date | Event | Stock Impact |
|---|---|---|
2026-08-04 | Raised Full-Year 2026 Guidance Details: Management raised its 2026 fiscal year outlook to 40% revenue growth, equating to approximately $12.6 billion. This was an increase from the prior projection of $11.5 billion. | +6.7% $184.89 -> $197.31 |
2026-08-04 | Reported Strong Q2 2026 Results Details: The company reported its first $3 billion quarter, with revenue of just over $3 billion, up 37.7% year-over-year, beating guidance of $2.8 billion. | +6.7% $184.89 -> $197.31 |
2026-07-07 | Announced Q2 2026 Earnings Date Details: Arista announced it would release its financial results for the quarter ended June 30th, 2026, after markets close on Tuesday, August 4th, 2026. | +4.5% $173.28 -> $181.05 |
2026-06-09 | Announced 1.6T AI Fabric Portfolio Details: The company introduced a new portfolio of 1.6Terabit networking platforms designed as the foundation for rack-scale AI infrastructure. | -3.0% $156.40 -> $151.76 |
2026-05-05 | Reported Q1 2026 Results Details: Revenue grew 35.1% year-over-year. Management raised the 2026 outlook to 27.7% growth ($11.5 billion) but highlighted industry-wide supply shortages. The stock reacted negatively, falling 15.0%. | -14.8% $172.62 -> $147.06 |
2026-02-12 | Reported Q4 2025 Results Details: The company reported record revenue of $9 billion for FY2025, a 28.6% growth. It also issued initial 2026 guidance for 25% annual growth to $11.25 billion. | +0.7% $140.66 -> $141.59 |
Position Sizing
2% - 4%
REDUCED POSITION
Sizing is volatility-based: ANET trades at roughly 60% annualized options-implied volatility versus about 14% for the S&P 500 (4.4x the market), around the 92nd percentile of its own trailing year. A 2% - 4% position keeps a single-name swing of that size within a diversified portfolio's risk budget.
Diversification Alternatives
CSCO - Cisco Systems
Incumbent ExposureCisco offers a broader portfolio and a massive established enterprise customer base, providing more diversified and mature, albeit slower, growth.
NVDA - Nvidia
Vertical Integration PlayNvidia provides a fully integrated hardware and software stack for AI, including proprietary InfiniBand and NVLink interconnects that compete directly with Arista's Ethernet solutions.
The premier 'plumber' for the AI data center boom, providing the essential high-speed Ethernet networking that connects massive clusters of AI accelerators.
Arista has pivoted from being a key supplier for cloud data centers to a critical enabler of the AI revolution. Its high-performance Ethernet fabrics are the nervous system for AI supercomputers, a market where demand is currently outstripping the entire industry's ability to supply. The company's primary challenge and opportunity is navigating severe supply chain constraints to meet this unprecedented demand, with its revenue growth being a direct function of its execution on supply.
Announcements of new large-scale AI fabric design wins with Cloud Titans or neo-clouds, continued upward revisions to revenue guidance, and commentary indicating further improvements in component supply.
A major Cloud Titan announcing a large-scale deployment using a competing technology (like InfiniBand or a competitor's Ethernet solution), a significant slowdown in AI-related capital expenditures, or a failure to secure components leading to guidance cuts.
Quarter-to-quarter fluctuations in customer concentration or gross margin due to the timing of large deployments, which management has flagged as normal.
Repricing Catalyst
The company's demonstrated ability to manage supply chain constraints better than expected, leading to a third significant upward revision of its 2026 revenue guidance to 40% annual growth.
Network Software and Services
$1.6B TTM (15% of Total)What It Is
This segment consists of subscription-based offerings, including A-Care support services, CloudVision for network management and automation, and solutions for observability and security.
Who Pays & How
Customers pay for ongoing support, bug fixes, new feature releases, and advanced software capabilities to manage, monitor, and secure their networks. They choose these services for high-quality support and to simplify network operations through automation and AI-driven insights (AIVA).
Competition
Arista Networks — Investor Video Playlist
Industry Resources
| Information Technology Resources |
| TechCrunch |
| Wired |
| CIO |
| MIT Technology Review |
| Gartner Insights |
| Ars Technica |
| Communications Equipment Resources |
| Light Reading |
| Fierce Network |
| Telecoms.com |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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