Arista Networks, Inc. (ANET)
Computer Communications Equipment · Computer Communications Equipment · NYSE
$186.46
-3.48%
Investingg Score
61.3 / 100
Hold
Business overview
- Gross margin stands at 64.1%.
- Operating margin is reported at 42.8%.
- Free cash flow margin reaches 47.2%.
These high margins demonstrate exceptional operational efficiency and profitability in generating cash from core operations.
Financial health
- Free cash flow yield is 1.8%.
- The balance sheet score is 60 out of 100.
These metrics suggest stable financial standing, though the low cash flow yield reflects the company's premium market pricing.
- Gross Margin
- 64.1%
- Operating Margin
- 42.8%
- Current Ratio
- 3.0x
- Debt / Equity
- Data unavailable
- Free Cash Flow (TTM)
- $4.3B
- Interest Coverage
- Data unavailable
Valuation
- Price-to-earnings ratio is 58.9.
- Forward price-to-earnings ratio is 46.37.
- Price-to-sales ratio is 22.84.
These elevated multiples indicate that investors are paying a significant premium for the company's anticipated future growth.
- P/E (TTM)
- 58.9x
- Forward P/E
- 46.4x
- Price / Sales
- 22.8x
- EV / EBITDA
- Data unavailable
- FCF Yield
- 1.8%
Key risks
- High valuation multiples, including a price-to-earnings ratio of 58.9, create potential downside risk if growth slows.
- Uncertainty regarding whether high gross margins of 64.1% can be sustained over the long term.
- General market uncertainty reflected in the overall Investingg score of 61.3 and a Hold verdict.
Market cap $234.3B · data as of 2026-08-19
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Analyze ANET with Investingg AINot investment advice. Investingg AI summarizes public data and AI-generated analysis for informational purposes only.