Arista Networks (NYSE:ANET) Shares Down 3% – Here’s What Happened

Arista Networks, Inc. (NYSE:ANET)’s stock price was down 3% during mid-day trading on Tuesday . The stock traded as low as $122.08 and last traded at $123.5030. Approximately 12,217,978 shares changed hands during mid-day trading, an increase of 22% from the average daily volume of 10,027,703 shares. The stock had previously closed at $127.26.

Wall Street Analysts Forecast Growth

ANET has been the subject of several research reports. BNP Paribas raised shares of Arista Networks from a “hold” rating to an “outperform” rating in a report on Thursday, September 25th. JPMorgan Chase & Co. increased their target price on Arista Networks from $150.00 to $175.00 and gave the stock an “overweight” rating in a research note on Friday, September 12th. Wolfe Research lifted their price target on Arista Networks from $160.00 to $185.00 and gave the stock an “outperform” rating in a report on Friday, September 12th. Piper Sandler reaffirmed a “neutral” rating and issued a $145.00 price objective (up from $143.00) on shares of Arista Networks in a report on Wednesday, November 5th. Finally, Zacks Research downgraded Arista Networks from a “strong-buy” rating to a “hold” rating in a report on Monday, October 6th. Seventeen equities research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company’s stock. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $164.31.

Arista Networks Stock Performance

The firm’s fifty day simple moving average is $145.90 and its 200-day simple moving average is $122.32. The stock has a market cap of $155.53 billion, a P/E ratio of 48.58, a price-to-earnings-growth ratio of 3.37 and a beta of 1.48.

Arista Networks (NYSE:ANET) last posted its quarterly earnings results on Tuesday, November 4th. The technology company reported $0.75 EPS for the quarter, topping analysts’ consensus estimates of $0.72 by $0.03. The business had revenue of $2.31 billion during the quarter, compared to analysts’ expectations of $2.26 billion. Arista Networks had a net margin of 40.90% and a return on equity of 31.05%. The business’s quarterly revenue was up 27.5% on a year-over-year basis. During the same period last year, the company posted $2.40 earnings per share. Arista Networks has set its Q4 2025 guidance at EPS. Analysts predict that Arista Networks, Inc. will post 2.2 earnings per share for the current fiscal year.

Insider Activity

In related news, Director Charles H. Giancarlo sold 58,000 shares of the stock in a transaction dated Friday, September 19th. The shares were sold at an average price of $148.42, for a total transaction of $8,608,360.00. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Jayshree Ullal sold 1,247,688 shares of the stock in a transaction that occurred on Wednesday, September 10th. The shares were sold at an average price of $148.53, for a total transaction of $185,319,098.64. Following the transaction, the chief executive officer directly owned 5,383,207 shares of the company’s stock, valued at $799,567,735.71. This represents a 18.82% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 1,953,040 shares of company stock worth $286,720,474 over the last 90 days. 3.39% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the business. Brighton Jones LLC increased its position in shares of Arista Networks by 321.7% during the fourth quarter. Brighton Jones LLC now owns 7,806 shares of the technology company’s stock valued at $863,000 after buying an additional 5,955 shares during the period. Revolve Wealth Partners LLC purchased a new position in Arista Networks during the fourth quarter valued at approximately $202,000. Bison Wealth LLC bought a new stake in Arista Networks during the 4th quarter worth approximately $251,000. Private Advisor Group LLC lifted its stake in Arista Networks by 45.3% in the 1st quarter. Private Advisor Group LLC now owns 71,578 shares of the technology company’s stock worth $5,546,000 after purchasing an additional 22,317 shares in the last quarter. Finally, OneAscent Financial Services LLC boosted its holdings in Arista Networks by 148.2% in the 1st quarter. OneAscent Financial Services LLC now owns 16,318 shares of the technology company’s stock valued at $1,272,000 after purchasing an additional 9,744 shares during the period. 82.47% of the stock is owned by institutional investors.

Arista Networks Company Profile

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.