173,321 Arista Networks, Inc. $ANET Shares Sold by Smith Group Asset Management LLC

Key Points

• Smith Group Asset Management cut its Arista Networks stake by 39.9%, selling 173,321 shares in the third quarter and retaining 261,528 shares valued at approximately $53.2 million.
• Institutional ownership remains substantial at 82.47%, with several large investors increasing positions. Analysts maintain a consensus “Buy” rating and an average price target of $233.20.
• Arista reported strong quarterly results, including $1.02 in EPS versus the $0.89 estimate and 37.7% year-over-year revenue growth, though its elevated valuation and upcoming earnings report could contribute to volatility.

Smith Group Asset Management LLC decreased its stake in shares of Arista Networks, Inc. (NYSE:ANET - Free Report) by 39.9% in the third quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 261,528 shares of the technology company's stock after selling 173,321 shares during the quarter. Arista Networks makes up 3.5% of Smith Group Asset Management LLC's portfolio, making the stock its 8th largest position. Smith Group Asset Management LLC's holdings in Arista Networks were worth $53,244,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other large investors also recently added to or reduced their stakes in the company. State Street Corp grew its stake in 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 acquiring an additional 74,541,134 shares in the last quarter. Jupiter Topco LLC bought a new stake in shares of Arista Networks during the second quarter valued at approximately $1,101,860,000. Envestnet Asset Management Inc. raised its stake 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 valued at $1,635,978,000 after acquiring an additional 6,409,612 shares in the last quarter. Alyeska Investment Group L.P. bought a new stake in shares of Arista Networks during the second quarter valued at approximately $537,736,000. Finally, Massachusetts Financial Services Co. MA boosted its holdings in shares of Arista Networks by 34.6% in the second 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 purchasing an additional 2,497,275 shares during the period. 82.47% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of analysts recently issued reports on the company. Needham & Company LLC reissued a "buy" rating and issued a $260.00 price objective (up from $200.00) on shares of Arista Networks in a research note on Wednesday, August 5th. UBS Group restated a "buy" rating and set a $259.00 price objective (up from $187.00) on shares of Arista Networks in a report on Wednesday, August 5th. TD Cowen decreased their target price on Arista Networks from $250.00 to $205.00 and set a "buy" rating for the company in a research report on Monday, October 19th. The Goldman Sachs Group reaffirmed a "buy" rating and set a $225.00 target price on shares of Arista Networks in a research report on Wednesday, August 5th. Finally, Bank of America reiterated a "buy" rating and issued a $240.00 target price (up from $200.00) on shares of Arista Networks in a report on Wednesday, August 5th. Two analysts have rated the stock with a Strong Buy rating, twenty-one have issued a Buy rating and one has given a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Buy" and a consensus price target of $233.20.

Arista Networks Stock Performance

NYSE:ANET opened at $186.84 on Thursday. Arista Networks, Inc. has a one year low of $114.52 and a one year high of $217.41. The firm has a market cap of $235.65 billion, a P/E ratio of 58.94, a P/E/G ratio of 2.00 and a beta of 1.60. The firm has a 50-day simple moving average of $195.53 and a 200-day simple moving average of $164.17.

Arista Networks (NYSE:ANET - Get Free Report) last announced its earnings results on Tuesday, August 4th. The technology company reported $1.02 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.89 by $0.13. Arista Networks had a return on equity of 30.65% and a net margin of 38.37%. The business had revenue of $3.04 billion for the quarter, compared to analysts' expectations of $2.83 billion. During the same quarter last year, the firm earned $0.73 EPS. The business's revenue for the quarter was up 37.7% on a year-over-year basis. Arista Networks has set its Q3 2026 guidance at 1.060-1.080 EPS. On average, research analysts predict that Arista Networks, Inc. will post 3.79 EPS for the current fiscal year.

More Arista Networks News

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

• Positive Sentiment: Arista’s AI and cloud-networking growth story remains strong. The company is reportedly gaining share in AI data-center networking, including projects that could otherwise have used Nvidia’s InfiniBand technology. Management has also raised its 2026 revenue outlook, citing increased adoption of open Ethernet fabrics. Arista Networks Is Winning AI Data Center Network Share
• Positive Sentiment: Analysts are heading into the next earnings report with rising estimates, supported by strong AI-networking demand and continued product innovation. Arista’s prior quarter included revenue growth of 37.7% year over year and earnings above consensus, while third-quarter guidance calls for $1.06–$1.08 in EPS. ANET Stock Before Q3 Earnings
• Positive Sentiment: Arista was highlighted as a high-growth company with substantial insider ownership, which may appeal to investors seeking businesses whose founders and insiders remain financially aligned with shareholders. Arista Networks and Two Fast-Growing Insider Stocks
• Neutral Sentiment: The stock recently posted a strong advance ahead of its November earnings test, but the upcoming report creates a near-term catalyst and raises the risk of volatility if results or guidance do not exceed high expectations. Arista Networks Gains Ahead of Earnings
• Negative Sentiment: Investors are focusing on a Prometheus networking deployment, which appears to be prompting renewed scrutiny of Arista’s competitive positioning and execution. Details surrounding the deployment may be contributing to the current weakness. Arista Networks Stocks Move Lower With Prometheus Networking Deployment in Focus
• Negative Sentiment: Valuation and costs remain key risks. With a high earnings multiple, Arista needs continued strong growth to justify its share price, while supply-chain expenses could pressure margins. ANET Investment Analysis

Insiders Place Their Bets

In other news, CEO Jayshree Ullal sold 767,029 shares of the business's stock in a transaction dated Wednesday, August 5th. The stock was sold at an average price of $201.22, for a total transaction of $154,341,575.38. Following the sale, the chief executive officer owned 16,387,981 shares in the company, valued at approximately $3,297,589,536.82. The trade was a 4.47% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, major shareholder Andreas Bechtolsheim sold 300,000 shares of the business's stock in a transaction dated Wednesday, August 5th. The stock was sold at an average price of $203.30, for a total value of $60,990,000.00. Following the sale, the insider owned 181,143,048 shares in the company, valued at $36,826,381,658.40. The trade was a 0.17% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 3,627,449 shares of company stock worth $741,235,386. Insiders own 2.70% of the company's stock.

About Arista Networks

Arista Networks, Inc develops and sells cloud networking solutions for data centers, cloud service providers, enterprises and specialized computing environments. The company's products are designed to support high-performance, scalable and automated networks used for cloud computing, artificial intelligence, data analytics and other demanding applications.

Arista's portfolio includes data center and campus switches, routing platforms, wireless networking products, network operating software and network management tools.

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