Arista Networks, Inc.ANET
NYSE•Technology•Computer Hardware
Arista Networks, Inc. engages in the development, marketing, and sale of data-driven, client to cloud networking solutions for AI, 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. The company offers data center, cloud and AI networking, cognitive adjacencies, and cognitive network software and services. It also provides post contract customer support services, such as technical support, hardware repair and replacement parts beyond standard warranty, bug fixes, patches, and upgrade services. The company serves a range of industries comprising internet companies, cloud service providers, financial services organizations, government agencies, media and entertainment, healthcare, oil and gas, education, manufacturing, industrial, and others. It markets and sells its products through distributors, system integrators, value-added resellers, and original equipment manufacturer partners, as well as through its direct sales force. Arista Networks, Inc. was formerly known as Arastra, Inc. and changed its name to Arista Networks, Inc. in October 2008. The company was incorporated in 2004 and is headquartered in Santa Clara, California.
Arista Networks, Inc. (ANET) reported trailing twelve months revenue of $9.71B as of March 2026, a 30.6% increase year-over-year. Quarterly revenue reached $2.71B, reflecting continued top-line momentum.
Arista Networks, Inc. generated $3.72B in TTM net income, with quarterly EBITDA of $1.18B. The operating margin contracted from 42.8% to 42.7%, suggesting rising cost pressures or pricing headwinds.
The spread between operating margin (42.7%) and net margin (37.8%) indicates tight cost control with minimal non-operating drag. Net margin has narrowed from 40.6% a year ago, reflecting increased costs or interest expense.
ANET trades at a P/E of 39.3x (a premium multiple) and a P/S of 15.0x. The price-to-book ratio of 10.8x indicates a significant premium over book value.
The company generated $1.64B in free cash flow over the trailing twelve months, a 167.2% increase year-over-year, indicating cash generation ability. The balance sheet shows $21.66B in total assets with no in long-term debt against $13.49B in stockholders equity. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are stable at ~42.5%, suggesting durable pricing power and cost discipline.
Consistently high ROE averaging 28.8% suggests a durable competitive advantage and efficient capital allocation.
Free cash flow is consistently positive and growing — a hallmark of a capital-light business that can self-fund growth.
TTM revenue has grown consistently (7 of 7 quarters up), with ~53.8% growth over the period. Strong demand durability.
Data-driven red flags and warnings across 21 quarters
Margins are stable or improving at ~42.8% — no sign of cost or pricing stress.
FCF covers net income by 1.3x on average — earnings are well-supported by cash generation.
Limited debt-to-equity data available.
Revenue is stable or growing over recent quarters — demand appears durable.
Free cash flow is consistently positive — the business self-funds without external capital reliance.
Share count is stable — no significant dilution or buyback activity.
Quarterly standardized metrics.
Stock price and market valuation
Revenue and earnings growth across quarters
Assets, cash, debt, and leverage
Price multiples and return ratios
Operating efficiency and return metrics
Free cash flow, earnings quality, and capital allocation