Arista Networks (ANET) Gains As Market Dips: What You Should Know

Arista Networks (ANET) closed at $111.79 in the latest trading session, marking a +1.14% move from the prior day. The stock's change was more than the S&P 500's daily loss of 0.22%. Elsewhere, the Dow lost 0.36%, while the tech-heavy Nasdaq lost 0.16%.The cloud networking company's stock has climbed by 4.84% in the past month, exceeding the Computer and Technology sector's gain of 1.86% and the S&P 500's loss of 2.36%.Analysts and investors alike will be keeping a close eye on the performance of Arista Networks in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $0.57, reflecting a 9.62% increase from the same quarter last year. Meanwhile, our latest consensus estimate is calling for revenue of $1.89 billion, up 22.42% from the prior-year quarter.Investors should also take note of any recent adjustments to analyst estimates for Arista Networks. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.92% higher. Arista Networks presently features a Zacks Rank of #3 (Hold).With respect to valuation, Arista Networks is currently being traded at a Forward P/E ratio of 45.82. For comparison, its industry has an average Forward P/E of 23.1, which means Arista Networks is trading at a premium to the group.Investors should also note that ANET has a PEG ratio of 2.68 right now. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. By the end of yesterday's trading, the Communication - Components industry had an average PEG ratio of 1.29.The Communication - Components industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 86, finds itself in the top 35% echelons of all 250+ industries.The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.Just Released: Zacks Top 10 Stocks for 2024Hurry – you can still get in early on our 10 top tickers for 2025. Handpicked by Zacks Director of Research Sheraz Mian, this portfolio has been stunningly and consistently successful. From inception in 2012 through November, 2024, the Zacks Top 10 Stocks gained +2,112.6%, more than QUADRUPLING the S&P 500’s +475.6%. Sheraz has combed through 4,400 companies covered by the Zacks Rank and handpicked the best 10 to buy and hold in 2025. You can still be among the first to see these just-released stocks with enormous potential. See New Top 10 Stocks >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Arista Networks, Inc. (ANET): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks