Arista Networks (NYSE:ANET) Stock Price Down 1% – Should You Sell?

Shares of Arista Networks, Inc. (NYSE:ANET) traded down 1% during mid-day trading on Wednesday . The stock traded as low as $110.78 and last traded at $111.81. 1,170,208 shares traded hands during trading, a decline of 87% from the average session volume of 8,802,737 shares. The stock had previously closed at $112.95.

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on ANET shares. UBS Group upped their price objective on Arista Networks from $92.25 to $106.25 and gave the company a “neutral” rating in a report on Friday, November 8th. Barclays reduced their price objective on shares of Arista Networks from $495.00 to $125.00 and set an “overweight” rating for the company in a research report on Wednesday, December 4th. Piper Sandler reaffirmed a “neutral” rating and issued a $105.25 price objective (up previously from $86.25) on shares of Arista Networks in a research note on Friday, November 8th. Citigroup increased their target price on shares of Arista Networks from $96.25 to $115.00 and gave the company a “buy” rating in a research note on Tuesday, October 8th. Finally, Morgan Stanley lifted their price target on shares of Arista Networks from $102.50 to $118.00 and gave the stock an “overweight” rating in a research report on Tuesday. One analyst has rated the stock with a sell rating, four have given a hold rating and fifteen have issued a buy rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $100.70.

Arista Networks Price Performance

The firm has a market cap of $137.40 billion, a PE ratio of 52.44, a P/E/G ratio of 3.21 and a beta of 1.10. The business has a fifty day moving average price of $102.00 and a two-hundred day moving average price of $92.07.

Arista Networks (NYSE:ANET) last posted its quarterly earnings results on Thursday, November 7th. The technology company reported $0.60 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.52 by $0.08. Arista Networks had a net margin of 40.29% and a return on equity of 30.52%. The business had revenue of $1.81 billion during the quarter, compared to analyst estimates of $1.76 billion. During the same period in the prior year, the firm earned $0.41 earnings per share. The firm’s revenue was up 20.0% compared to the same quarter last year. As a group, sell-side analysts forecast that Arista Networks, Inc. will post 1.96 EPS for the current fiscal year.

Insider Buying and Selling at Arista Networks

In related news, SVP Kenneth Duda sold 80,000 shares of the firm’s stock in a transaction that occurred on Monday, October 7th. The shares were sold at an average price of $98.67, for a total transaction of $7,893,800.00. Following the transaction, the senior vice president now owns 12,976 shares of the company’s stock, valued at approximately $1,280,374.36. This trade represents a 86.04 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, SVP Marc Taxay sold 2,496 shares of the business’s stock in a transaction that occurred on Tuesday, October 1st. The stock was sold at an average price of $97.09, for a total transaction of $242,342.88. The disclosure for this sale can be found here. Insiders sold 353,476 shares of company stock valued at $36,841,998 in the last quarter. Company insiders own 3.54% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of the business. Ameriprise Financial Inc. increased its position in Arista Networks by 97.2% during the second quarter. Ameriprise Financial Inc. now owns 1,794,586 shares of the technology company’s stock worth $628,966,000 after buying an additional 884,703 shares during the last quarter. International Assets Investment Management LLC boosted its stake in shares of Arista Networks by 39,841.1% during the 3rd quarter. International Assets Investment Management LLC now owns 875,110 shares of the technology company’s stock worth $3,358,850,000 after acquiring an additional 872,919 shares in the last quarter. 1832 Asset Management L.P. boosted its position in Arista Networks by 4,160.9% during the second quarter. 1832 Asset Management L.P. now owns 515,700 shares of the technology company’s stock worth $180,743,000 after purchasing an additional 503,597 shares during the period. Wellington Management Group LLP grew its holdings in Arista Networks by 22.7% during the third quarter. Wellington Management Group LLP now owns 2,660,695 shares of the technology company’s stock valued at $1,021,228,000 after purchasing an additional 492,615 shares during the last quarter. Finally, State Street Corp raised its position in shares of Arista Networks by 3.8% in the third quarter. State Street Corp now owns 11,237,635 shares of the technology company’s stock valued at $4,313,229,000 after purchasing an additional 411,109 shares during the period. Institutional investors own 82.47% of the company’s stock.

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.