Short Interest in Arista Networks, Inc. (NYSE:ANET) Declines By 30.2%

Key Points

• Short interest in Arista Networks declined by 30.2%, from 17,960,000 shares at the end of July to 12,540,000 shares as of August 15th.
• In its latest quarterly earnings, Arista Networks reported earnings per share of $0.73, exceeding expectations of $0.65, with revenue growth of 30.4% year-over-year.
• CEO Jayshree Ullal sold a substantial amount of stock, totaling over $243 million, reducing her ownership by nearly 24% in a recent transaction.

Arista Networks, Inc. (NYSE:ANET - Get Free Report) was the recipient of a significant decrease in short interest in August. As of August 15th, there was short interest totaling 12,540,000 shares, adecreaseof30.2% from the July 31st total of 17,960,000 shares. Based on an average daily volume of 9,550,000 shares, the short-interest ratio is presently 1.3 days. Based on an average daily volume of 9,550,000 shares, the short-interest ratio is presently 1.3 days.

Arista Networks Trading Up 1.2%

Arista Networks stock opened at $142.83 on Friday. The company has a market cap of $179.52 billion, a PE ratio of 56.18, a PEG ratio of 3.36 and a beta of 1.50. Arista Networks has a 1 year low of $59.43 and a 1 year high of $145.46. The company's 50-day moving average is $122.49 and its two-hundred day moving average is $98.53.

Arista Networks (NYSE:ANET - Get Free Report) last posted its quarterly 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. Arista Networks had a net margin of 40.90% and a return on equity of 31.05%. The business had revenue of $2.20 billion during the quarter, compared to the consensus estimate of $2.11 billion. During the same period in the previous year, the firm posted $0.53 earnings per share. Arista Networks'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. Research analysts forecast that Arista Networks will post 2.2 EPS for the current year.

Insider Buying and Selling

In other Arista Networks news, CEO Jayshree Ullal sold 1,785,165 shares of Arista Networks stock in a transaction that occurred on Wednesday, August 6th. The stock was sold at an average price of $136.22, for a total transaction of $243,175,176.30. Following the sale, the chief executive officer directly owned 5,698,074 shares of the company's stock, 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 document filed with the Securities & Exchange Commission, which can be accessed through this link. Insiders have sold a total of 5,839,614 shares of company stock worth $724,163,153 in the last three months. 3.39% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in the stock. Brighton Jones LLC lifted its stake in Arista Networks by 321.7% in the fourth quarter. Brighton Jones LLC now owns 7,806 shares of the technology company's stock valued at $863,000 after buying an additional 5,955 shares during the period. Revolve Wealth Partners LLC acquired a new stake in shares of Arista Networks in the 4th quarter valued at approximately $202,000. Bank Pictet & Cie Europe AG boosted its stake in Arista Networks by 433.7% during the 4th quarter. Bank Pictet & Cie Europe AG now owns 10,856 shares of the technology company's stock worth $1,200,000 after acquiring an additional 8,822 shares during the last quarter. Bison Wealth LLC acquired a new position in Arista Networks during the fourth quarter valued at approximately $251,000. Finally, Fred Alger Management LLC increased its stake in Arista Networks by 40.0% in the fourth quarter. Fred Alger Management LLC now owns 41,989 shares of the technology company's stock valued at $4,641,000 after purchasing an additional 11,990 shares in the last quarter. Institutional investors and hedge funds own 82.47% of the company's stock.

Analyst Upgrades and Downgrades

ANET has been the topic of a number of recent analyst reports. Barclays restated an "overweight" rating and issued a $151.00 price target (up from $119.00) on shares of Arista Networks in a research report on Thursday, August 7th. Erste Group Bank raised Arista Networks from a "hold" rating to a "buy" rating in a report on Wednesday, July 23rd. Rosenblatt Securities raised their price target on Arista Networks from $106.00 to $125.00 and gave the company a "neutral" rating in a report on Wednesday, August 6th. Needham & Company LLC boosted their price objective on Arista Networks from $130.00 to $155.00 and gave the stock a "buy" rating in a research note on Wednesday, August 6th. Finally, Morgan Stanley restated an "overweight" rating and issued a $135.00 target price (up from $125.00) on shares of Arista Networks in a research note on Wednesday. Fourteen equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the stock. Based on data from MarketBeat, the company presently has an average rating of "Moderate Buy" and an average target price of $138.79.

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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