Arista Networks Inc (NYSE: ANET) has experienced a decline in its stock price by -2.21 compared to its previous closing price of 114.34. However, the company has seen a fall of -2.94% in its stock price over the last five trading days. fool.com reported 2025-01-12 that The S&P 500 is in the throes of a bull market that’s been running riot for more than two years now. The rally is currently taking a breather, but most experts believe there’s still upside ahead.
Is It Worth Investing in Arista Networks Inc (NYSE: ANET) Right Now?
The price-to-earnings ratio for Arista Networks Inc (NYSE: ANET) is above average at 53.67x, Company’s 36-month beta value is 1.09.Analysts have differing opinions on the stock, with 14 analysts rating it as a “buy,” 7 as “overweight,” 4 as “hold,” and 1 as “sell.”
The public float for ANET is 1.03B, and currently, short sellers hold a 1.26% ratio of that floaft. The average trading volume of ANET on January 13, 2025 was 7.48M shares.
ANET’s Market Performance
ANET’s stock has seen a -2.94% decrease for the week, with a 6.71% rise in the past month and a 9.15% gain in the past quarter. The volatility ratio for the week is 3.08%, and the volatility levels for the past 30 days are at 3.13% for Arista Networks Inc The simple moving average for the past 20 days is -1.02% for ANET’s stock, with a 25.71% simple moving average for the past 200 days.
Analysts’ Opinion of ANET
Many brokerage firms have already submitted their reports for ANET stocks, with Citigroup repeating the rating for ANET by listing it as a “Buy.” The predicted price for ANET in the upcoming period, according to Citigroup is $385 based on the research report published on June 27, 2024 of the previous year 2024.
Jefferies, on the other hand, stated in their research note that they expect to see ANET reach a price target of $320, previously predicting the price at $240. The rating they have provided for ANET stocks is “Buy” according to the report published on May 03rd, 2024.
Rosenblatt gave a rating of “Sell” to ANET, setting the target price at $210 in the report published on April 12th of the previous year.
ANET Trading at 5.72% from the 50-Day Moving Average
After a stumble in the market that brought ANET to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -7.04% of loss for the given period.
Volatility was left at 3.13%, however, over the last 30 days, the volatility rate increased by 3.08%, as shares surge +4.51% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +11.63% upper at present.
During the last 5 trading sessions, ANET fell by -2.72%, which changed the moving average for the period of 200-days by +50.52% in comparison to the 20-day moving average, which settled at $112.97. In addition, Arista Networks Inc saw 1.16% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at ANET starting from Duda Kenneth, who sale 80,000 shares at the price of $118.47 back on Jan 06 ’25. After this action, Duda Kenneth now owns 12,976 shares of Arista Networks Inc, valued at $9,477,878 using the latest closing price.
Duda Kenneth, the CTO and SVP Software Eng. of Arista Networks Inc, sale 80,000 shares at $118.47 during a trade that took place back on Jan 06 ’25, which means that Duda Kenneth is holding 666,400 shares at $9,477,878 based on the most recent closing price.
Stock Fundamentals for ANET
Current profitability levels for the company are sitting at:
- 0.42 for the present operating margin
- 0.64 for the gross margin
The net margin for Arista Networks Inc stands at 0.4. The total capital return value is set at 0.27. Equity return is now at value 33.83, with 24.32 for asset returns.
Currently, EBITDA for the company is 2.33 billion with net debt to EBITDA at -1.12. When we switch over and look at the enterprise to sales, we see a ratio of 20.83. The receivables turnover for the company is 5.85for trailing twelve months and the total asset turnover is 0.51. The liquidity ratio also appears to be rather interesting for investors as it stands at 4.47.
Conclusion
In a nutshell, Arista Networks Inc (ANET) has experienced a better performance in recent times. The stock has received mixed “buy” and “hold” ratings from analysts. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
