Arista(US:ANET) ZACKS·2025-01-15 23:51Company Performance - Arista Networks (ANET) closed at $116.10, reflecting a +1.04% change from the previous day, underperforming compared to the S&P 500's gain of 1.83% [1] - Over the past month, shares of Arista Networks increased by 1.74, while the Computer and Technology sector and the S&P 500 declined by 3.84% and 3.31%, respectively [1] Upcoming Earnings - The upcoming earnings release is anticipated, with an expected EPS of $0.57, indicating a 9.62% increase from the same quarter last year [2] - Revenue is projected to reach $1.89 billion, representing a 22.42% growth compared to the previous year [2] Analyst Estimates - Recent adjustments to analyst estimates for Arista Networks are noteworthy, as positive revisions suggest optimism regarding the company's business outlook [3] - The Zacks Rank system, which incorporates these estimate changes, indicates a current Zacks Rank of 2 (Buy) for Arista Networks, with a 0.53% rise in the Zacks Consensus EPS estimate over the past month [5] Valuation Metrics - Arista Networks has a Forward P/E ratio of 47.43, which is significantly higher than the industry's average Forward P/E of 22.33 [6] - The company's PEG ratio stands at 2.77, compared to the Communication - Components industry's average PEG ratio of 1.28 [7] Industry Context - The Communication - Components industry, part of the Computer and Technology sector, holds a Zacks Industry Rank of 42, placing it in the top 17% of over 250 industries [8] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [8]