JPMorgan Chase & Co. Forecasts Strong Price Appreciation for Arista Networks (NYSE:ANET) Stock

Key Points

• JPMorgan Chase & Co. raised its price target for Arista Networks from $150 to $175, suggesting a potential upside of 22.37% from the current stock price.
• Several analysts, including UBS and Citigroup, have also increased their price targets for Arista Networks, contributing to a consensus rating of "Moderate Buy" with an average target price of $154.07.
• Despite strong earnings and a year-over-year revenue increase of 30.4%, Arista Networks' stock recently traded down 6.6% to $143.01.

Arista Networks (NYSE:ANET - Get Free Report) had its price target raised by stock analysts at JPMorgan Chase & Co. from $150.00 to $175.00 in a report issued on Friday,Benzinga reports. The brokerage currently has an "overweight" rating on the technology company's stock. JPMorgan Chase & Co.'s price objective indicates a potential upside of 22.37% from the company's previous close.

A number of other equities research analysts have also weighed in on ANET. UBS Group boosted their price objective on Arista Networks from $115.00 to $155.00 and gave the stock a "buy" rating in a research report on Wednesday, August 6th. Wedbush initiated coverage on Arista Networks in a research note on Wednesday, May 28th. They set an "outperform" rating on the stock. Citigroup increased their price objective on Arista Networks from $136.00 to $176.00 and gave the stock a "buy" rating in a research note on Friday. Wolfe Research increased their price target on Arista Networks from $160.00 to $185.00 and gave the company an "outperform" rating in a research report on Friday. Finally, Barclays raised their target price on Arista Networks from $151.00 to $179.00 and gave the stock an "overweight" rating in a research report on Friday. Fifteen analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average target price of $154.07.

Arista Networks Stock Down 6.6%

Shares of ANET traded down $10.03 during midday trading on Friday, hitting $143.01. The company's stock had a trading volume of 3,396,405 shares, compared to its average volume of 10,330,495. Arista Networks has a one year low of $59.43 and a one year high of $156.32. The company's fifty day simple moving average is $126.11 and its two-hundred day simple moving average is $99.86. The stock has a market capitalization of $179.75 billion, a price-to-earnings ratio of 56.42, a price-to-earnings-growth ratio of 3.54 and a beta of 1.50.

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

Insider Activity at Arista Networks

In other news, CEO Jayshree Ullal sold 1,785,165 shares of Arista Networks stock in a transaction dated Wednesday, August 6th. The stock was sold at an average price of $136.22, for a total value of $243,175,176.30. Following the transaction, the chief executive officer owned 5,698,074 shares in the company, valued at approximately $776,191,640.28. The trade was a 23.86% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders sold a total of 6,334,926 shares of company stock valued at $795,392,998 in the last quarter. 3.39% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of ANET. Bare Financial Services Inc grew its position in shares of Arista Networks by 2,118.2% in the 2nd quarter. Bare Financial Services Inc now owns 244 shares of the technology company's stock worth $25,000 after buying an additional 233 shares during the last quarter. HighMark Wealth Management LLC grew its position in shares of Arista Networks by 179.7% in the 1st quarter. HighMark Wealth Management LLC now owns 358 shares of the technology company's stock worth $28,000 after buying an additional 230 shares during the last quarter. Cloud Capital Management LLC bought a new stake in shares of Arista Networks in the 1st quarter worth approximately $30,000. Saudi Central Bank bought a new stake in shares of Arista Networks in the 1st quarter worth approximately $33,000. Finally, REAP Financial Group LLC grew its position in shares of Arista Networks by 108.0% in the 2nd quarter. REAP Financial Group LLC now owns 337 shares of the technology company's stock worth $34,000 after buying an additional 175 shares during the last quarter. Hedge funds and other institutional investors own 82.47% of the company's stock.

Arista Networks Company Profile

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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