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Arista Networks (ANET)

Common Stock · Currency in USD · XNYS

Arista Networks is a networking equipment provider that primarily sells Ethernet switches and software to data centers. Its marquee product is its extensible operating system, or EOS, that runs a single image across every single one of its devices. The firm operates as one reportable segment. It has steadily gained market share since its founding in 2004, with a focus on high-speed applications. Arista counts Microsoft and Meta Platforms as its largest customers and derives roughly three quarters of its sales from North America.

Company Info

SIC3576
Composite FIGIBBG000N2HDY5
CIK0001596532
IPOJun 6, 2014
Sectorcomputer communications equipment

Highlights

Market Cap$159.18B
EPS$2.72
P/E Ratio46.65
Revenue$9.03B
Gross Profit$5.96B
Net Income$3.41B
Employees5,115
WSO1,256,537,906
Phone408-547-5500

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Analysis

Share Price Chart

Performance Chart

The chart shows the growth of an initial investment of $10,000 in Arista Networks, comparing it to the performance of the S&P 500 index.
All prices have been adjusted for splits and dividends.

Returns By Period

Arista Networks (ANET) has returned -5.50% so far this year and 87.62% over the past 12 months. Looking at the last ten years, ANET has achieved an annualized return of 41.68%, outperforming the Benchmark (SPY), which averaged 12.23% per year.

ANET

1M-0.93%
6M-16.44%
YTD-5.50%
1Y87.62%
5Y45.46%
10Y41.68%

Benchmark (SPY)

1M-3.79%
6M-2.35%
YTD-4.36%
1Y25.24%
5Y10.20%
10Y12.23%

Monthly Returns

The table below presents the monthly returns of Arista Networks (ANET) with color gradation from worst to best to easily spot seasonal factors.

JanFebMarAprMayJunJulAugSepOctNovDec
20265.74%-5.53%-5.30%0.49%
20253.51%-15.15%-16.75%6.64%-1.29%18.54%20.44%15.89%10.04%9.01%-18.58%1.59%
202410.55%5.93%2.98%-12.22%16.94%16.67%-2.30%0.82%9.32%-0.50%4.77%8.94%
20232.53%10.53%20.94%-3.31%3.61%-2.26%-3.87%9.99%-7.00%8.59%8.27%7.53%
2022-13.73%-1.20%13.83%-17.64%-11.61%-9.43%25.22%4.04%-4.99%5.21%15.72%-13.35%
20215.78%-9.73%6.86%3.65%7.46%6.99%4.68%-3.01%-7.01%18.75%21.45%14.42%
20208.59%-14.42%4.04%12.70%8.15%-9.85%23.35%-14.06%-7.68%0.19%28.91%7.62%
20194.77%32.47%9.34%-2.02%-22.32%6.52%3.01%-17.06%5.76%1.79%12.36%4.10%
201817.08%-1.27%-5.67%4.38%-4.91%1.91%0.29%16.56%-7.98%-13.79%2.45%-14.87%
2017-3.63%26.36%10.23%6.01%5.64%1.55%-1.17%17.10%7.26%5.21%15.74%1.32%
20166.82%9.31%-11.48%10.39%12.00%6.44%-0.19%12.37%2.14%

Performance Indicators

The charts below present risk-adjusted performance metrics for Arista Networks (ANET) and compare them to a Benchmark (SPY). These indicators evaluate an investment's returns against its associated risks.

Sharpe ratio

-2.00-1.000.001.002.003.00SPY: 0.92ANET: 1.16

Sortino ratio

-6.00-4.00-2.000.002.004.00SPY: 1.40ANET: 1.74

Omega ratio

0.501.001.502.00SPY: 1.22ANET: 1.22

Calmar ratio

0.002.004.006.00SPY: 1.20ANET: 2.20

Martin ratio

0.001.003.00ANET: 0.30SPY: 0.42

The Sharpe ratio helps investors understand how much return they're getting for the level of risk taken. A higher Sharpe ratio indicates better risk-adjusted performance, meaning more reward for each unit of risk.

These values reflect how efficiently the investment has delivered returns relative to its volatility over different time periods. All figures are annualized and based on daily total returns.

The chart below shows the rolling Sharpe ratio of ANET compared to the benchmark. This view highlights how the investment's risk-adjusted performance has changed over time.

Volatility Chart

The current Arista Networks volatility is 3.49%, representing the standart deviation of percentage change in the investments's value, either up or down over the past month. The chart below shows the rolling one-month volatility.

Drawdowns Chart

The Drawdowns chart displays portfolio losses from any high point along the way. It shows the maximum percentage drop from a peak to a trough over a specified period, indicating the risk of significant losses.
Although chart shows positive values, it represents the percentage drop from the peak, so a value of 10% means the portfolio has dropped 10% from its highest point.

Income Statement

The income statement provides a summary of a company's revenues, expenses, and profits over a specific period. It shows how much money the company earned (revenues) and how much it spent (expenses), leading to the net income or profit. This statement is crucial for understanding a company's financial performance and profitability.

20252023202220212020201920182017201620152014
Liabilities And Equity (USD)19.45B9.95B6.78B5.73B4.74B4.19B3.08B2.46B1.73B1.16B811.02M
Equity Attributable To Parent (USD)12.37B7.22B4.89B3.98B3.32B2.89B2.14B1.66B1.11B788.15M555.66M
Equity Attributable To Noncontrolling Interest (USD)-----------
Equity (USD)12.37B7.22B4.89B3.98B3.32B2.89B2.14B1.66B1.11B788.15M555.66M
Noncurrent Liabilities (USD)1.70B818.14M596.06M646.00M650.39M693.53M332.09M269.04M161.63M136.73M110.99M
Other Current Liabilities (USD)4.72B1.34B943.91M807.62M560.37M424.84M441.99M421.08M327.24M151.57M81.20M
Wages (USD)-134.23M117.05M99.57M73.63M80.13M70.76M56.63M52.85M39.48M30.75M
Accounts Payable (USD)651.70M435.06M232.57M202.64M134.24M92.11M93.76M52.20M79.46M43.97M32.43M
Current Liabilities (USD)5.38B1.91B1.29B1.11B768.24M597.07M606.50M529.91M459.55M235.01M144.37M
Liabilities (USD)7.08B2.73B1.89B1.76B1.42B1.29B938.59M798.95M621.19M371.74M255.37M
Other Non-current Assets (USD)2.86B1.45B1.13B843.12M869.69M674.38M291.83M84.02M89.78M69.22M23.35M
Fixed Assets (USD)203.10M101.58M95.01M78.63M32.23M39.27M75.36M74.28M76.96M79.71M71.56M
Long Term Investments (USD)-------36.14M36.14M36.64M36.64M
Noncurrent Assets (USD)3.06B1.56B1.22B921.75M901.92M713.65M367.18M194.43M202.88M185.56M131.54M
Other Current Assets (USD)14.14B6.45B4.26B4.16B3.36B3.23B2.45B1.96B1.29B882.20M598.96M
Inventory (USD)2.25B1.95B1.29B650.12M479.67M243.83M264.56M306.20M236.49M92.13M80.52M
Current Assets (USD)16.39B8.39B5.55B4.81B3.84B3.47B2.71B2.27B1.53B974.33M679.48M
Assets (USD)19.45B9.95B6.78B5.73B4.74B4.19B3.08B2.46B1.73B1.16B811.02M

News and Insights

Here's Why Arista Networks (ANET) is the First Stock I've Purchased in 2026

Arista Networks is positioned for strong growth in 2026 due to massive capex spending by big tech companies on AI infrastructure. Google's breakthrough TurboQuant algorithm, which reduces memory usage by up to 8x, is expected to ease memory chip shortages and lower costs for Arista. With record Q4 revenue of $2.49B, a 25% growth outlook, and an attractive valuation of 30x forward earnings, the networking hardware specialist presents a compelling investment opportunity.

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GlobeNewswire Inc. faviconGlobeNewswire Inc.
This Artificial Intelligence (AI) Stock Could Handily Outperform Management's Own Guidance. Buy It Now.

Arista Networks, a high-speed ethernet switch provider for data centers, is positioned to benefit from hyperscalers' $700+ billion spending on AI infrastructure. The company achieved 28.5% revenue growth in 2025 to $9 billion, with management guiding for 25% growth in 2026. However, analysts believe management's outlook is overly conservative given strong deferred revenue of $5.4 billion and consistent market share gains, suggesting the stock could outperform guidance.

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Nvidia's networking revenue surged 263% year-over-year, signaling that AI infrastructure demand extends beyond GPUs across the entire supply chain. The article highlights three key beneficiaries: Nvidia itself with $11 billion in networking revenue, Arista Networks with record $9 billion revenue and AI networking revenue expected to double to $3.2 billion in 2026, and Vertiv Holdings with 252% surge in orders and a $15 billion backlog, driven by power management and cooling needs for AI data centers.

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1 Top Stock to Play the Data Center Boom

Equinix (EQIX), a real estate investment trust specializing in data center properties, is positioned as an attractive investment to capitalize on the AI-driven data center infrastructure boom. With projected capex reaching $602 billion this year and a potential $3 trillion infrastructure investment supercycle by 2030, Equinix offers steady recurring revenue, 11 consecutive years of dividend increases, and strong fundamentals including $9.2 billion in revenue and 10% projected growth for 2026.

The Motley Fool faviconThe Motley FoolMatt Hunter
Optical Interconnect Market Size to Hit USD 67.14 Billion by 2035 | Research by SNS Insider

The U.S. optical interconnect market is experiencing strong growth driven by hyperscale data centers, AI/ML acceleration, and 5G infrastructure expansion. The market is projected to grow at a CAGR of 13.86-14.14% through 2035, with optical transceivers and silicon photonics leading product segments. North America dominates with 36.2% market share, while Asia Pacific shows the fastest regional growth at 14.99% CAGR.

GlobeNewswire Inc. faviconGlobeNewswire Inc.Sns Insider
1 Underrated Artificial Intelligence (AI) Stock to Buy Before It Jumps 33%, According to Wall Street

Arista Networks, a provider of networking solutions for AI data centers, is positioned for strong growth in 2026 despite recent supply constraints. The company exceeded Q4 2025 expectations with 29% revenue growth and raised its 2026 guidance to 25%. With a $5.4 billion deferred revenue backlog and Wall Street's median price target of $177.50 (33% upside), analysts are bullish on the stock as the data center Ethernet switch market is expected to grow significantly.

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The article highlights that investors are favoring companies combining high earnings growth (20%+) with strong balance sheets in a market with elevated valuations. NVIDIA is noted as one of the fastest-growing large-cap companies driven by AI accelerator demand, while Eli Lilly has delivered robust earnings growth through innovation in therapeutic areas. The article emphasizes that strong financial foundations combined with significant earnings growth signal durable competitive advantages and offer compelling upside potential with resilience.

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Markets are balancing AI-driven momentum, sector rotation into energy, and earnings volatility. The article highlights five U.S. stocks to watch: Nvidia for AI leadership momentum, Palantir for mid-cap AI breakout potential, Exxon Mobil for energy sector rotation, an unnamed large-cap tech stock for earnings guidance, and Arista for networking demand from data center upgrades.

Investing.com faviconInvesting.comTafara Tsoka
Beyond Nvidia: 4 AI Stocks Flying Under the Radar

While Nvidia dominates AI accelerators, the broader AI ecosystem is expanding rapidly with lesser-known companies benefiting from surging AI infrastructure spending. The article highlights four underrated AI stocks: Super Micro Computer (server infrastructure), Arista Networks (cloud networking), Vertiv Holdings (cooling and power management), and Synopsys (semiconductor design software) as compelling alternatives to mega-cap AI plays.

Investing.com faviconInvesting.comTafara Tsoka