Arista Networks Stock Beta
| ANET Stock | USD 404.97 23.26 6.09% |
Arista Networks fundamentals help investors to digest information that contributes to Arista Networks' financial success or failures. It also enables traders to predict the movement of Arista Stock. The fundamental analysis module provides a way to measure Arista Networks' intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Arista Networks stock.
Arista | Beta |
Arista Networks Company Beta Analysis
Arista Networks' Beta is one of the most important measures of equity market volatility. Beta can be thought of as asset elasticity or sensitivity to market. In other words, it is a number that shows the relationship of an equity instrument to the financial market in which this instrument is traded. For example, if Beta of equity is 2, it is expected to significantly outperform market when the market is going up and significantly underperform when the market is going down. Similarly, Beta of 1 indicates that an asset and market will generate similar returns over time.
Current Arista Networks Beta | 1.08 |
Most of Arista Networks' fundamental indicators, such as Beta, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Arista Networks is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Arista Beta Driver Correlations
Understanding the fundamental principles of building solid financial models for Arista Networks is extremely important. It helps to project a fair market value of Arista Stock properly, considering its historical fundamentals such as Beta. Since Arista Networks' main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Arista Networks' historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Arista Networks' interrelated accounts and indicators.
Click cells to compare fundamentals
In a nutshell, Beta is a measure of individual stock risk relative to the overall volatility of the stock market. and is calculated based on very sound finance theory - Capital Assets Pricing Model (CAPM).However, since Beta is calculated based on historical price movements it may not predict how a firm's stock is going to perform in the future.
| Competition |
In accordance with the recently published financial statements, Arista Networks has a Beta of 1.077. This indicator is about the same for the Communications Equipment average (which is currently at 1.06) sector and significantly higher than that of the Information Technology industry. The beta for all United States stocks is notably lower than that of the firm.
Arista Beta Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Arista Networks' direct or indirect competition against its Beta to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Arista Networks could also be used in its relative valuation, which is a method of valuing Arista Networks by comparing valuation metrics of similar companies.Arista Networks is currently under evaluation in beta category among its peers.
Arista Networks ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Arista Networks' sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Arista Networks' managers, analysts, and investors.Environmental | Governance | Social |
Arista Networks Institutional Holders
Institutional Holdings refers to the ownership stake in Arista Networks that is held by large financial organizations, pension funds or endowments. Institutions may purchase large blocks of Arista Networks' outstanding shares and can exert considerable influence upon its management. Institutional holders may also work to push the share price higher once they own the stock. Extensive social media coverage, TV shows, articles in high-profile magazines, and presentations at investor conferences help move the stock higher, increasing Arista Networks' value.| Shares | Norges Bank | 2024-06-30 | 2.8 M | Capital Research Global Investors | 2024-09-30 | 2.5 M | Amundi | 2024-06-30 | 2.3 M | Ubs Asset Mgmt Americas Inc | 2024-09-30 | 2.3 M | Legal & General Group Plc | 2024-06-30 | 2.2 M | Northern Trust Corp | 2024-09-30 | 2.2 M | Wellington Management Company Llp | 2024-06-30 | 2.2 M | Nuveen Asset Management, Llc | 2024-06-30 | 2 M | Dz Bank Ag Deutsche Zentral-genossenschaftsbank Frankfurt Am Main | 2024-06-30 | 2 M | Vanguard Group Inc | 2024-09-30 | 23.8 M | Blackrock Inc | 2024-06-30 | 20.1 M |
Arista Networks returns are very sensitive to returns on the market. As the market goes up or down, Arista Networks is expected to follow.
Arista Fundamentals
| Return On Equity | 0.34 | ||||
| Return On Asset | 0.16 | ||||
| Profit Margin | 0.40 % | ||||
| Operating Margin | 0.43 % | ||||
| Current Valuation | 123.13 B | ||||
| Shares Outstanding | 314.94 M | ||||
| Shares Owned By Insiders | 18.15 % | ||||
| Shares Owned By Institutions | 69.96 % | ||||
| Number Of Shares Shorted | 2.72 M | ||||
| Price To Earning | 16.73 X | ||||
| Price To Book | 13.79 X | ||||
| Price To Sales | 19.29 X | ||||
| Revenue | 5.86 B | ||||
| Gross Profit | 2.68 B | ||||
| EBITDA | 2.33 B | ||||
| Net Income | 2.09 B | ||||
| Cash And Equivalents | 2.9 B | ||||
| Cash Per Share | 9.54 X | ||||
| Total Debt | 65.52 M | ||||
| Debt To Equity | 0.01 % | ||||
| Current Ratio | 3.70 X | ||||
| Book Value Per Share | 29.37 X | ||||
| Cash Flow From Operations | 2.03 B | ||||
| Short Ratio | 1.81 X | ||||
| Earnings Per Share | 8.34 X | ||||
| Price To Earnings To Growth | 2.35 X | ||||
| Target Price | 424.3 | ||||
| Number Of Employees | 4.02 K | ||||
| Beta | 1.08 | ||||
| Market Capitalization | 127.54 B | ||||
| Total Asset | 9.95 B | ||||
| Retained Earnings | 5.11 B | ||||
| Working Capital | 6.48 B | ||||
| Current Asset | 974.33 M | ||||
| Current Liabilities | 235.01 M | ||||
| Net Asset | 9.95 B |
About Arista Networks Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Arista Networks's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Arista Networks using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Arista Networks based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Thematic Opportunities
Explore Investment Opportunities
Additional Tools for Arista Stock Analysis
When running Arista Networks' price analysis, check to measure Arista Networks' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Arista Networks is operating at the current time. Most of Arista Networks' value examination focuses on studying past and present price action to predict the probability of Arista Networks' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Arista Networks' price. Additionally, you may evaluate how the addition of Arista Networks to your portfolios can decrease your overall portfolio volatility.