Arista Networks (ANET) is facing a split sentiment among Wall Street analysts, with some bullish on its cloud infrastructure growth while others caution on execution risks and valuation. The mixed outlook reflects uncertainty over sustained demand in enterprise networking.
- Arista Networks (ANET) reports a trailing 12-month revenue of $2.8 billion, with a 16% year-over-year growth in Q3 2025.
- The company’s gross margin expanded to 72.3% in Q3, up from 70.1% a year earlier, signaling strong pricing power and operational efficiency.
- Despite these figures, 14 analysts have issued 'Hold' ratings, while 9 rate ANET 'Buy' and 5 recommend 'Sell'.
- The stock has traded within a 52-week range of $312 to $414, with current pricing at $378, reflecting a P/E ratio of 34.2, above the industry average.
- Analysts note increasing competition from Broadcom and Juniper in the data center switching segment, particularly in AI-driven infrastructure.
- Arista’s AI-optimized switch portfolio, including the 7500 Series, is seen as a potential differentiator, but adoption timelines remain uncertain.
Arista Networks (ANET) has emerged as a focal point of divergent analyst opinions, with a growing number of equity research reports highlighting both strong momentum and emerging risks. The company, a key supplier of high-performance data center switches, continues to benefit from ongoing cloud expansion, particularly among hyperscalers. However, recent earnings trends and forward guidance have prompted caution from some institutions, citing elevated valuations and potential macro headwinds.