Arista Networks (NYSE:ANET) Releases Quarterly Earnings Results, Beats Expectations By $0.07 EPS

Arista Networks (NYSE:ANET) posted its earnings results on Thursday. The technology company reported $0.82 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.75 by $0.07, FiscalAI reports. The firm had revenue of $2.49 billion for the quarter, compared to analyst estimates of $2.38 billion. Arista Networks had a return on equity of 30.28% and a net margin of 39.73%.

Arista Networks Price Performance

Shares of ANET traded down $4.87 during mid-day trading on Thursday, reaching $135.79. The company’s stock had a trading volume of 14,360,008 shares, compared to its average volume of 8,437,183. The company’s 50 day moving average is $132.65 and its 200 day moving average is $136.71. The stock has a market cap of $171.00 billion, a PE ratio of 51.63, a price-to-earnings-growth ratio of 2.42 and a beta of 1.42. Arista Networks has a 12-month low of $59.43 and a 12-month high of $164.94.

Insider Activity at Arista Networks

In related news, Director Charles H. Giancarlo sold 8,000 shares of the business’s stock in a transaction on Monday, February 2nd. The shares were sold at an average price of $140.43, for a total value of $1,123,440.00. Following the completion of the sale, the director directly owned 9,784 shares of the company’s stock, valued at $1,373,967.12. The trade was a 44.98% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Kenneth Duda sold 26,000 shares of the company’s stock in a transaction on Tuesday, January 20th. The shares were sold at an average price of $128.43, for a total transaction of $3,339,180.00. Following the completion of the transaction, the insider owned 522,400 shares of the company’s stock, valued at $67,091,832. This represents a 4.74% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 216,464 shares of company stock worth $27,553,548 in the last ninety days. Company insiders own 3.39% of the company’s stock.

Institutional Trading of Arista Networks

Several institutional investors and hedge funds have recently made changes to their positions in ANET. Sivia Capital Partners LLC increased its stake in Arista Networks by 48.4% in the 2nd quarter. Sivia Capital Partners LLC now owns 10,723 shares of the technology company’s stock valued at $1,097,000 after buying an additional 3,496 shares during the period. Bison Wealth LLC purchased a new position in Arista Networks during the fourth quarter worth about $251,000. Stonebridge Financial Planning Group LLC acquired a new stake in Arista Networks in the third quarter valued at about $201,000. Fred Alger Management LLC purchased a new stake in Arista Networks in the 3rd quarter valued at approximately $214,000. Finally, Ancora Advisors LLC increased its position in Arista Networks by 68.7% during the 3rd quarter. Ancora Advisors LLC now owns 1,228 shares of the technology company’s stock worth $179,000 after purchasing an additional 500 shares during the period. 82.47% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Several analysts have recently issued reports on ANET shares. UBS Group reissued a “buy” rating and set a $155.00 price target on shares of Arista Networks in a research report on Wednesday, December 3rd. Morgan Stanley reduced their target price on shares of Arista Networks from $171.00 to $159.00 and set an “overweight” rating on the stock in a report on Wednesday, December 17th. Piper Sandler raised shares of Arista Networks from a “neutral” rating to an “overweight” rating and raised their price target for the company from $145.00 to $159.00 in a research report on Monday, January 5th. Barclays reiterated an “overweight” rating and issued a $183.00 price objective (up from $179.00) on shares of Arista Networks in a research note on Wednesday, November 5th. Finally, Erste Group Bank cut Arista Networks from a “buy” rating to a “hold” rating in a research note on Monday, November 10th. Seventeen research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $166.00.

Arista Networks Company Profile

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.