Pegasystems (PEGA) Competitors

Pegasystems (NASDAQ:PEGA) and Arista Networks (NYSE:ANET) are both large-cap computer and technology companies, but which is the superior business? We will compare the two businesses based on the strength of their dividends, media sentiment, analyst recommendations, earnings, risk, valuation, profitability and institutional ownership.

Which has more volatility and risk, PEGA or ANET?

Pegasystems has a beta of 1.1, indicating that its share price is 10% more volatile than the S&P 500. Comparatively, Arista Networks has a beta of 1.37, indicating that its share price is 37% more volatile than the S&P 500.

Does the media prefer PEGA or ANET?

In the previous week, Arista Networks had 66 more articles in the media than Pegasystems. MarketBeat recorded 77 mentions for Arista Networks and 11 mentions for Pegasystems. Arista Networks' average media sentiment score of 1.12 beat Pegasystems' score of 0.44 indicating that Arista Networks is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Pegasystems	3 Very Positive mention(s)	3 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral
Arista Networks	51 Very Positive mention(s)	5 Positive mention(s)	13 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do analysts prefer PEGA or ANET?

Pegasystems currently has a consensus target price of $61.83, indicating a potential upside of 8.29%. Arista Networks has a consensus target price of $116.86, indicating a potential downside of 1.04%. Given Pegasystems' stronger consensus rating and higher possible upside, research analysts plainly believe Pegasystems is more favorable than Arista Networks.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Pegasystems	0 Sell rating(s)	2 Hold rating(s)	7 Buy rating(s)	0 Strong Buy rating(s)	2.78
Arista Networks	0 Sell rating(s)	5 Hold rating(s)	14 Buy rating(s)	0 Strong Buy rating(s)	2.74

Do insiders & institutionals hold more shares of PEGA or ANET?

46.9% of Pegasystems shares are owned by institutional investors. Comparatively, 82.5% of Arista Networks shares are owned by institutional investors. 50.1% of Pegasystems shares are owned by insiders. Comparatively, 3.5% of Arista Networks shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Which has preferable valuation and earnings, PEGA or ANET?

Arista Networks has higher revenue and earnings than Pegasystems. Pegasystems is trading at a lower price-to-earnings ratio than Arista Networks, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Pegasystems	$1.50B	6.52	$99.19M	$1.16	49.22
Arista Networks	$7.00B	21.18	$2.85B	$2.36	50.03

Is PEGA or ANET more profitable?

Arista Networks has a net margin of 40.72% compared to Pegasystems' net margin of 13.14%. Pegasystems' return on equity of 42.42% beat Arista Networks' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Pegasystems	13.14%	42.42%	16.24%
Arista Networks	40.72%	30.48%	21.72%

Summary

Arista Networks beats Pegasystems on 12 of the 16 factors compared between the two stocks.