ANET
Arista Networks, Inc.

Arista Networks, Inc.ANET

Technology · Computer Hardware
176.98USD
-4.63%
Oct 17, 2026
ANET overview ready
Provider of Ethernet switching and network OS for AI data centers
Arista is a direct provider of Ethernet switching platforms, network operating software, and fabric-management capabilities used in hyperscale cloud and AI data-center networks.
Strong narrative exposure
Exposed to the AI Compute Infrastructure Buildout narrative through AI Fabric Networking and Optical Interconnect — infrastructure supplier.
An early price trend
Longer-term context reads mature trend, with a near-term setup of daily advance.
The setup is constructive, but the underlying structure is still poor.
Demanding valuation
The price embeds expectations that run ahead of the cash the business currently produces.
Unremarkable fundamentals
Primary risk
Intense competition from other networking hardware providers.
Market Oct 16Filing Jun 30Price action Aug 3

Conviction Level

Theme Heat has no canonical measurement for this company — a research-profile dimension, not an input to this score.

NarrativeHeat—ThemeHeat—PriceAction9.0Valuation0.3CompanyPosition9.3BusinessQuality9.3
Price
Loading price history…

Price Action

An early price trend
Longer-term context reads mature trend, with a near-term setup of daily advance.
The setup is constructive, but the underlying structure is still poor.

Key Financials

Market Cap
$223.2B
Avg Volume (60D)
5.2M
60 sessions
Revenue Growth YoY
+28.6%
FY2025 vs FY2024
Gross Margin
+63.0%
Trailing twelve months
Operating Margin
+43.1%
Trailing twelve months
Free Cash Flow Yield
+1.4%
P/E
55.2x
Market metrics as of Oct 16, 2026
Financial results for the period ended Jun 30, 2026
Filed balance-sheet data as of Jun 30, 2026

Fundamentals & Valuation

Both valuation perspectives agree this company is expensive.
Arista Networks, Inc. has an Expensive valuation stance because the price embeds expectations that run ahead of the cash the business currently produces. It trades at a 1.4% free-cash-flow yield, which requires sustained delivery to be justified.

Company Research

Thesis
Arista is a direct provider of Ethernet switching platforms, network operating software, and fabric-management capabilities used in hyperscale cloud and AI data-center networks.
Opportunity
High opportunity
AI-cluster buildouts require rapidly scaling, high-bandwidth, low-latency Ethernet switching fabrics and optical interconnects to connect accelerators, servers, and racks efficiently.
Key risk
Intense competition from other networking hardware providers.

Narrative & Theme

AI Compute Infrastructure Buildout
Part of AI Fabric Networking and Optical Interconnect, with strong fit.
ANET has a strong and specific fit to AI Compute Infrastructure Buildout: growing accelerator-cluster scale raises the required bandwidth, port speeds, fabric performance, power efficiency, and operational reliability of data-center networks.
Narrative HeatUnavailable
Theme HeatUnavailable

Business & Markets

Technology · Computer Hardware
What they do

Arista Networks develops, markets, and sells data-driven networking solutions including hardware and software for AI, data center, campus, and routing environments globally.

How it earns

The company generates revenue primarily through product sales combined with software subscriptions and network services.

Products & services
Extensible Operating System (EOS)
Ethernet switching platforms
Cognitive network software and services
Customers & end markets
Hyperscale cloud providers
AI data centers
Enterprise data centers
Market position

Leader in high-performance Ethernet switching and network operating systems for AI and cloud data centers.

Demand drivers
Medium cyclicality

Demand tied to capital expenditure cycles in cloud and AI infrastructure buildouts.

Related companies

Finding other covered companies in the same part of this story…