Why Is Wall Street Obsessed With AI (Artificial Intelligence) Leader Arista Networks?

Core Viewpoint - Analysts on Wall Street have a strong preference for artificial intelligence (AI) stocks, with Arista Networks being a standout favorite among them [1][2]. Group 1: Analyst Sentiment - Arista Networks has seen increased enthusiasm from analysts, particularly in July, following upgrades in June [4]. - JPMorgan raised its price target for Arista Networks from $117 to $130 on July 17, while Citigroup increased its target from $112 to $123 on July 11 [8]. - Wolfe Research initiated coverage on Arista Networks with an outperform rating on July 7 [8]. Group 2: Market Demand and Projections - The demand for Arista Networks' industry-leading switches is high as data centers enhance their computing infrastructure to support AI [6]. - The company's total addressable market is projected to grow from $41 billion in 2024 to $70 billion in 2028 [6]. - Analysts' price targets are based on expectations of strong cloud spending in the second half of 2025 and a growing Ethernet switching market [5].