Arista Networks (NYSE:ANET) Stock Price Down 2.7% on Disappointing Earnings

by · The Cerbat Gem

Arista Networks, Inc. (NYSE:ANET – Get Free Report)’s stock price fell 2.7% during trading on Tuesday after the company announced weaker than expected quarterly earnings. The company traded as low as $150.99 and last traded at $153.4070. 8,399,948 shares were traded during trading, a decline of 16% from the average session volume of 9,984,020 shares. The stock had previously closed at $157.59.

The technology company reported $0.67 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.72 by ($0.05). Arista Networks had a return on equity of 31.05% and a net margin of 40.90%. Arista Networks has set its Q4 2025 guidance at EPS.

Analyst Ratings Changes

A number of brokerages recently issued reports on ANET. Morgan Stanley set a $171.00 price target on Arista Networks and gave the stock an “overweight” rating in a research report on Friday, October 10th. UBS Group increased their price target on Arista Networks from $115.00 to $155.00 and gave the stock a “buy” rating in a research report on Wednesday, August 6th. JPMorgan Chase & Co. increased their price target on Arista Networks from $150.00 to $175.00 and gave the stock an “overweight” rating in a research report on Friday, September 12th. Zacks Research downgraded Arista Networks from a “strong-buy” rating to a “hold” rating in a report on Monday, October 6th. Finally, Barclays raised their target price on Arista Networks from $151.00 to $179.00 and gave the company an “overweight” rating in a report on Friday, September 12th. Nineteen equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus target price of $163.94.

Get Our Latest Analysis on ANET

Insider Activity

In other news, CEO Jayshree Ullal sold 1,785,165 shares of the stock in a transaction on Wednesday, August 6th. The stock was sold at an average price of $136.22, for a total value of $243,175,176.30. Following the completion of the transaction, the chief executive officer directly owned 5,698,074 shares in the company, valued at approximately $776,191,640.28. This represents a 23.86% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Charles H. Giancarlo sold 58,000 shares of the stock in a transaction on Friday, September 19th. The shares were sold at an average price of $148.42, for a total value of $8,608,360.00. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 4,325,040 shares of company stock worth $611,632,257. Insiders own 3.39% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. AdvisorNet Financial Inc lifted its stake in shares of Arista Networks by 56.7% in the 3rd quarter. AdvisorNet Financial Inc now owns 199 shares of the technology company’s stock valued at $29,000 after acquiring an additional 72 shares during the last quarter. Richardson Financial Services Inc. raised its position in Arista Networks by 141.3% during the 3rd quarter. Richardson Financial Services Inc. now owns 222 shares of the technology company’s stock worth $32,000 after purchasing an additional 130 shares during the last quarter. Bare Financial Services Inc raised its position in Arista Networks by 2,118.2% during the 2nd quarter. Bare Financial Services Inc now owns 244 shares of the technology company’s stock worth $25,000 after purchasing an additional 233 shares during the last quarter. SJS Investment Consulting Inc. raised its position in Arista Networks by 979.2% during the 3rd quarter. SJS Investment Consulting Inc. now owns 259 shares of the technology company’s stock worth $38,000 after purchasing an additional 235 shares during the last quarter. Finally, Guerra Advisors Inc bought a new position in Arista Networks during the 3rd quarter worth $41,000. 82.47% of the stock is currently owned by institutional investors.

Arista Networks Trading Down 2.7%

The firm has a market capitalization of $192.81 billion, a P/E ratio of 60.34, a price-to-earnings-growth ratio of 3.37 and a beta of 1.47. The company has a 50-day moving average of $146.21 and a 200-day moving average of $118.11.

Arista Networks Company Profile

(Get Free Report)

Arista Networks, Inc engages in the development, marketing, and sale of data-driven, client to cloud networking solutions for data center, campus, and routing environments in the Americas, Europe, the Middle East, Africa, and the Asia-Pacific. Its cloud networking solutions consist of Extensible Operating System (EOS), a publish-subscribe state-sharing networking operating system offered in combination with a set of network applications.

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