Arista Networks (NYSE:ANET) Hits New 1-Year High - Should You Buy?

Key Points

• Arista Networks' stock reached a new **52-week high** of $157.56, indicating strong market confidence, with a trading volume of over **5.7 million shares**.
• Recent analyst ratings show a positive outlook, with **19 analysts giving a "Buy" rating** and an average target price of **$162.00** for the stock.
• The company reported **Q2 earnings** of **$0.73 per share**, exceeding estimates, with a significant **30.4% year-over-year revenue growth** and a net margin of **40.90%**.

Arista Networks, Inc. (NYSE:ANET - Get Free Report) shares reached a new 52-week high during mid-day trading on Wednesday . The stock traded as high as $157.00 and last traded at $157.56, with a volume of 5730856 shares traded. The stock had previously closed at $145.29.

Wall Street Analyst Weigh In

A number of research firms have recently weighed in on ANET. Erste Group Bank upgraded shares of Arista Networks from a "hold" rating to a "buy" rating in a research note on Wednesday, July 23rd. Morgan Stanley raised their target price on shares of Arista Networks from $135.00 to $140.00 and gave the company an "overweight" rating in a research report on Friday, September 12th. Piper Sandler raised their price objective on Arista Networks from $89.00 to $143.00 and gave the company a "neutral" rating in a report on Wednesday, August 6th. BNP Paribas Exane raised Arista Networks from a "neutral" rating to an "outperform" rating and set a $172.00 price objective on the stock in a report on Thursday, September 25th. Finally, UBS Group raised their price objective on Arista Networks from $115.00 to $155.00 and gave the company a "buy" rating in a report on Wednesday, August 6th. Nineteen investment analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company's stock. According to MarketBeat, Arista Networks has an average rating of "Moderate Buy" and a consensus target price of $162.00.

Arista Networks Price Performance

The firm's fifty day moving average price is $138.70 and its two-hundred day moving average price is $107.40. The stock has a market cap of $198.24 billion, a price-to-earnings ratio of 62.04, a price-to-earnings-growth ratio of 3.12 and a beta of 1.47.

Arista Networks (NYSE:ANET - Get Free Report) last posted its earnings results on Tuesday, August 5th. The technology company reported $0.73 earnings per share for the quarter, topping analysts' consensus estimates of $0.65 by $0.08. The company had revenue of $2.20 billion for the quarter, compared to analyst estimates of $2.11 billion. Arista Networks had a net margin of 40.90% and a return on equity of 31.05%. The firm's revenue was up 30.4% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.53 EPS. Arista Networks has set its Q3 2025 guidance at EPS. On average, equities research analysts anticipate that Arista Networks, Inc. will post 2.2 earnings per share for the current year.

Insider Activity at Arista Networks

In related news, insider Kenneth Duda sold 30,000 shares of the stock in a transaction that occurred on Wednesday, September 17th. The stock was sold at an average price of $141.79, for a total transaction of $4,253,700.00. Following the completion of the sale, the insider directly owned 12,976 shares of the company's stock, valued at approximately $1,839,867.04. This trade represents a 69.81% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CEO Jayshree Ullal sold 1,247,688 shares of the firm's stock in a transaction on Wednesday, September 10th. The shares were sold at an average price of $148.53, for a total value of $185,319,098.64. Following the sale, the chief executive officer directly owned 5,383,207 shares of the company's stock, valued at approximately $799,567,735.71. This represents a 18.82% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 6,678,904 shares of company stock valued at $894,021,161. 3.54% of the stock is owned by insiders.

Hedge Funds Weigh In On Arista Networks

Large investors have recently modified their holdings of the business. Patriot Financial Group Insurance Agency LLC purchased a new position in shares of Arista Networks in the third quarter valued at $1,424,000. Armstrong Advisory Group Inc. grew its position in shares of Arista Networks by 131.7% in the third quarter. Armstrong Advisory Group Inc. now owns 505 shares of the technology company's stock valued at $74,000 after purchasing an additional 287 shares in the last quarter. Wealth Group Ltd purchased a new position in Arista Networks during the 3rd quarter valued at about $301,000. RDA Financial Network purchased a new position in Arista Networks during the 3rd quarter valued at about $2,521,000. Finally, Wedmont Private Capital grew its holdings in Arista Networks by 2.5% during the 3rd quarter. Wedmont Private Capital now owns 20,141 shares of the technology company's stock valued at $2,926,000 after buying an additional 486 shares in the last quarter. Hedge funds and other institutional investors own 82.47% of the company's stock.

About Arista Networks

Arista Networks, Inc engages in the development, marketing, and sale of data-driven, client to cloud networking solutions for data center, campus, and routing environments in the Americas, Europe, the Middle East, Africa, and the Asia-Pacific. Its cloud networking solutions consist of Extensible Operating System (EOS), a publish-subscribe state-sharing networking operating system offered in combination with a set of network applications.

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