Gateway Investment Advisers LLC Grows Stake in Arista Networks, Inc. $ANET

Key Points

• Gateway Investment Advisers LLC increased its stake in Arista Networks, Inc. by 57.4%, owning 14,704 shares valued at approximately $1.5 million by the end of the second quarter.
• Arista Networks recently reported earnings that exceeded expectations, with $0.73 EPS against a consensus estimate of $0.65, and achieved a revenue increase of 30.4% year-over-year.
• Analysts have a consensus rating of "Moderate Buy" for Arista Networks and indicate a price target average of $157.88.

Gateway Investment Advisers LLC increased its position in Arista Networks, Inc. (NYSE:ANET - Free Report) by 57.4% in the second quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm owned 14,704 shares of the technology company's stock after purchasing an additional 5,364 shares during the quarter. Gateway Investment Advisers LLC's holdings in Arista Networks were worth $1,504,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds also recently made changes to their positions in the company. Vanguard Group Inc. lifted its position in Arista Networks by 1.8% during the first quarter. Vanguard Group Inc. now owns 97,856,933 shares of the technology company's stock valued at $7,581,955,000 after buying an additional 1,771,982 shares during the period. Alliancebernstein L.P. increased its stake in shares of Arista Networks by 9.0% in the 1st quarter. Alliancebernstein L.P. now owns 22,959,214 shares of the technology company's stock worth $1,778,880,000 after acquiring an additional 1,889,198 shares in the last quarter. Nuveen LLC bought a new position in shares of Arista Networks in the 1st quarter worth about $933,626,000. Northern Trust Corp lifted its position in Arista Networks by 3.7% during the 1st quarter. Northern Trust Corp now owns 10,315,493 shares of the technology company's stock valued at $799,244,000 after acquiring an additional 372,677 shares during the period. Finally, Goldman Sachs Group Inc. boosted its stake in Arista Networks by 37.3% during the first quarter. Goldman Sachs Group Inc. now owns 9,552,484 shares of the technology company's stock worth $740,126,000 after acquiring an additional 2,594,184 shares in the last quarter. 82.47% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

A number of equities research analysts have weighed in on the stock. Wells Fargo & Company upped their price objective on shares of Arista Networks from $150.00 to $175.00 and gave the stock an "overweight" rating in a report on Friday, September 12th. Erste Group Bank raised Arista Networks from a "hold" rating to a "buy" rating in a research report on Wednesday, July 23rd. KeyCorp raised their price objective on Arista Networks from $115.00 to $145.00 and gave the company an "overweight" rating in a research report on Wednesday, August 6th. Redburn Atlantic started coverage on Arista Networks in a research note on Wednesday, May 28th. They set a "buy" rating and a $112.00 price objective for the company. Finally, Wolfe Research increased their target price on Arista Networks from $160.00 to $185.00 and gave the stock an "outperform" rating in a research note on Friday, September 12th. Sixteen research analysts have rated the stock with a Buy rating and five have given a Hold rating to the company's stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $157.88.

Insider Transactions at Arista Networks

In other news, CEO Jayshree Ullal sold 1,785,165 shares of Arista Networks stock in a transaction that occurred on Wednesday, August 6th. The shares were sold at an average price of $136.22, for a total value of $243,175,176.30. Following the completion of the sale, the chief executive officer directly owned 5,698,074 shares in the company, valued at $776,191,640.28. The trade was a 23.86% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. In the last quarter, insiders have sold 7,582,614 shares of company stock worth $983,487,717. 3.54% of the stock is currently owned by corporate insiders.

Arista Networks Stock Down 2.7%

Shares of Arista Networks stock traded down $4.10 on Monday, reaching $145.51. The company's stock had a trading volume of 8,663,402 shares, compared to its average volume of 9,369,324. Arista Networks, Inc. has a 52 week low of $59.43 and a 52 week high of $156.32. The firm's fifty day simple moving average is $131.59 and its two-hundred day simple moving average is $102.73. The company has a market capitalization of $182.89 billion, a price-to-earnings ratio of 57.23, a P/E/G ratio of 3.12 and a beta of 1.49.

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

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.