Los Angeles Capital Management LLC Cuts Stock Position in Arista Networks, Inc. $ANET

Key Points

• Los Angeles Capital Management cut its Arista Networks stake by 7.0% in the fourth quarter, selling 110,638 shares and leaving it with 1,468,670 shares worth about $192.4 million.
• Arista Networks reported strong quarterly results, with EPS of $0.87 beating estimates and revenue of $2.71 billion topping expectations, while revenue rose 35.1% year over year.
• Despite some insider selling and a recent 7.1% share drop, analysts remain constructive on ANET, with a consensus Buy rating and an average price target of $185.72.

Los Angeles Capital Management LLC lowered its position in Arista Networks, Inc. (NYSE:ANET - Free Report) by 7.0% during the fourth quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund owned 1,468,670 shares of the technology company's stock after selling 110,638 shares during the period. Arista Networks makes up about 0.7% of Los Angeles Capital Management LLC's portfolio, making the stock its 29th largest position. Los Angeles Capital Management LLC owned approximately 0.12% of Arista Networks worth $192,440,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also recently modified their holdings of the company. Knuff & Co LLC purchased a new position in shares of Arista Networks in the 3rd quarter worth approximately $29,000. Board of the Pension Protection Fund purchased a new position in shares of Arista Networks in the 4th quarter worth approximately $26,000. Quarry LP purchased a new position in shares of Arista Networks in the 3rd quarter worth approximately $33,000. Ameliora Wealth Management Ltd. purchased a new position in shares of Arista Networks in the 4th quarter worth approximately $30,000. Finally, Ares Financial Consulting LLC purchased a new position in shares of Arista Networks in the 4th quarter worth approximately $34,000. Hedge funds and other institutional investors own 82.47% of the company's stock.

Arista Networks Trading Down 7.1%

Shares of NYSE ANET opened at $154.23 on Friday. Arista Networks, Inc. has a 12 month low of $85.58 and a 12 month high of $179.80. The company has a 50 day simple moving average of $150.97 and a two-hundred day simple moving average of $138.82. The stock has a market cap of $194.21 billion, a price-to-earnings ratio of 52.82, a PEG ratio of 2.38 and a beta of 1.61.

Arista Networks (NYSE:ANET - Get Free Report) last announced its quarterly earnings data on Tuesday, May 5th. The technology company reported $0.87 EPS for the quarter, beating the consensus estimate of $0.81 by $0.06. Arista Networks had a net margin of 38.32% and a return on equity of 30.10%. The business had revenue of $2.71 billion during the quarter, compared to analysts' expectations of $2.62 billion. During the same period in the previous year, the business posted $0.65 EPS. The business's quarterly revenue was up 35.1% compared to the same quarter last year. Arista Networks has set its Q2 2026 guidance at 0.880-0.880 EPS. Analysts forecast that Arista Networks, Inc. will post 3.27 EPS for the current year.

Arista Networks News Summary

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

• Positive Sentiment: Arista’s latest bullish commentary highlighted surging AI networking demand, market leadership, and pricing power, with management/model assumptions pointing to a larger total addressable market and strong revenue growth through 2028. Arista Networks: TAM Expansion And Surging AI Demand
• Positive Sentiment: Several recent pieces emphasized that Arista remains a favorite among growth investors because of AI infrastructure spending, high gross margins, and expectations for continued earnings expansion. US High Growth Tech Stocks with Promising Potential
• Positive Sentiment: Investor interest has stayed elevated, with multiple articles noting ANET’s strong post-earnings performance and continued attention from traders and analysts. Arista Networks, Inc. (ANET) is Attracting Investor Attention: Here is What You Should Know
• Neutral Sentiment: Some coverage focused on valuation debate after Arista’s strong rally, suggesting investors are weighing rich expectations against its growth profile. Is It Too Late To Consider Arista Networks (ANET) After Its Strong 1-Year Rally?
• Negative Sentiment: A director sold 8,000 shares under a pre-arranged trading plan, which can create mild sentiment pressure even though the sale was not viewed as a surprise. Arista Networks NYSE: ANET Director Charles Giancarlo Sells 8,000 Shares

Insider Activity at Arista Networks

In related news, insider Kenneth Duda sold 32,000 shares of the business's stock in a transaction on Tuesday, March 17th. The shares were sold at an average price of $134.14, for a total value of $4,292,480.00. Following the completion of the transaction, the insider directly owned 12,976 shares in the company, valued at $1,740,600.64. The trade was a 71.15% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, major shareholder Andreas Bechtolsheim sold 220,000 shares of the business's stock in a transaction on Tuesday, May 26th. The shares were sold at an average price of $156.86, for a total transaction of $34,509,200.00. Following the completion of the transaction, the insider owned 182,803,048 shares of the company's stock, valued at approximately $28,674,486,109.28. This represents a 0.12% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 1,943,142 shares of company stock worth $314,941,943 in the last three months. Company insiders own 2.70% of the company's stock.

Analysts Set New Price Targets

ANET has been the topic of several research analyst reports. Evercore reissued an "outperform" rating and set a $200.00 target price on shares of Arista Networks in a research report on Friday, February 13th. Susquehanna raised shares of Arista Networks to a "strong-buy" rating in a research report on Wednesday, April 1st. JPMorgan Chase & Co. boosted their target price on shares of Arista Networks from $190.00 to $200.00 and gave the stock an "overweight" rating in a research report on Thursday, April 16th. Needham & Company LLC reissued a "buy" rating and set a $185.00 target price on shares of Arista Networks in a research report on Wednesday, May 6th. Finally, The Goldman Sachs Group reissued a "buy" rating and set a $188.00 target price (up from $165.00) on shares of Arista Networks in a research report on Friday, February 13th. Two research analysts have rated the stock with a Strong Buy rating, nineteen have given a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat, Arista Networks presently has a consensus rating of "Buy" and a consensus target price of $185.72.

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.

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