Arista Networks, Inc.

New York Stock Exchange
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Bullish +55

Counterpoint Mutual Funds LLC Acquires Shares of 4,498 Arista Networks ...

📈 Counterpoint Mutual Funds LLC initiated a new position of 4,498 shares valued at $552,000 in the first quarter.

📈 Major institutional holders including Vanguard Group and State Street Corp increased their stakes by approximately 1% to 1.8% in the fourth quarter.

📊 Arista Networks reported Q1 EPS of $0.87, beating the consensus estimate of $0.81 by $0.06.

💰 Revenue reached $2.71 billion, surpassing analyst expectations of $2.62 billion and growing 35.1% year-over-year.

📉 The company achieved a net margin of 38.32% and a return on equity of 30.10% during the quarter.

📉 Zacks Research downgraded Arista Networks from a 'strong-buy' rating to a 'hold' rating in mid-May.

📈 JPMorgan Chase raised its price target to $200 and maintained an 'overweight' rating on Thursday, April 16th.

📉 CEO Jayshree Ullal sold 13,809 shares worth approximately $2.14 million, reducing her ownership by 58.2%.

📉 CFO Chantelle Breithaupt sold 2,448 shares worth about $384,000 in a pre-arranged trading plan.

💰 Insiders have collectively sold over $430 million in company stock over the last 90 days.

📈 The consensus analyst price target is currently set at $187.63 with a 'Buy' rating from MarketBeat data.

📉 Shares of ANET opened at $160.38, trading above its 50-day moving average of $159.07.

Bullish Signals
  • Arista Networks beat quarterly earnings expectations with EPS of $0.87 versus the consensus of $0.81.
  • Revenue grew significantly by 35.1% year-over-year to reach $2.71 billion, exceeding analyst forecasts of $2.62 billion.
  • The company maintains a strong net margin of 38.32% and a return on equity of 30.10%.
  • JPMorgan Chase raised its price target to $200 and reaffirmed an 'overweight' rating.
  • Morgan Stanley increased its price target to $190 and reissued an 'overweight' rating.
  • Vanguard Group, State Street Corp, and Price T Rowe Associates all increased their stakes in the fourth quarter.
  • Norges Bank initiated a new stake valued at approximately $1.56 billion during the fourth quarter.
  • The stock trades above its 50-day moving average of $159.07 and 200-day moving average of $143.91.
Risk Factors
  • Zacks Research downgraded Arista Networks from a 'strong-buy' rating to a 'hold' rating in mid-May.
  • CEO Jayshree Ullal significantly reduced her personal stake by 58.2%, selling shares worth over $2 million.
  • CFO Chantelle Breithaupt sold shares worth approximately $384,000 in late May.
  • Insiders have collectively sold over $430 million in company stock over the last 90 days.
Full Analysis
Arista Networks (NYSE:ANET) saw activity from several institutional investors in the first quarter, with Counterpoint Mutual Funds LLC initiating a new position of 4,498 shares valued at approximately $552,000. Major holders including Vanguard Group, State Street Corp, and Price T Rowe Associates increased their stakes by roughly 1% to 1.8% each in the fourth quarter, while Norges Bank also established a new stake worth about $1.56 billion. Collectively, institutional investors own 82.47% of the company's outstanding stock. Analyst sentiment remains mixed but generally positive regarding the stock's valuation and growth prospects. JPMorgan Chase raised its price target to $200 with an overweight rating, while Morgan Stanley increased its target to $190. Conversely, Zacks Research downgraded the stock from a strong-buy to a hold rating. The consensus analyst rating is currently 'Buy' with an average price target of $187.63, though recent insider selling has occurred. Financially, Arista Networks reported strong quarterly results in May, beating earnings estimates of $0.81 per share with actual EPS of $0.87 and revenue of $2.71 billion, which exceeded expectations of $2.62 billion. Revenue grew 35.1% year-over-year, supported by a net margin of 38.32% and a return on equity of 30.10%. The company has provided Q2 2026 guidance for EPS between $0.88 and $0.88. Despite the strong financial performance, insider selling activity was notable in late May. CFO Chantelle Breithaupt sold shares worth approximately $384,000, while CEO Jayshree Ullal sold a significant portion of her holdings, reducing her stake by 58.2% to own roughly $1.5 million worth of stock. In total, insiders have sold over $430 million in shares over the last 90 days, though these transactions were executed under pre-arranged Rule 10b5-1 trading plans.