Arista Networks Valuation
| A1NE34 Stock | BRL 160.09 0.87 0.54% |
At this time, the firm appears to be overvalued. Arista Networks shows a prevailing Real Value of R$144.86 per share. The current price of the firm is R$160.09. Our model approximates the value of Arista Networks from analyzing the firm fundamentals such as Current Valuation of 172.2 B, profit margin of 0.30 %, and Return On Equity of 0.28 as well as examining its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that Arista Networks' price fluctuation is very steady at this time. Calculation of the real value of Arista Networks is based on 3 months time horizon. Increasing Arista Networks' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Arista Networks is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Arista Stock. However, Arista Networks' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 160.09 | Real 144.86 | Hype 160.09 |
The real value of Arista Stock, also known as its intrinsic value, is the underlying worth of Arista Networks Company, which is reflected in its stock price. It is based on Arista Networks' financial performance, growth prospects, management team, or industry conditions. The intrinsic value of Arista Networks' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
Estimating the potential upside or downside of Arista Networks helps investors to forecast how Arista stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Arista Networks more accurately as focusing exclusively on Arista Networks' fundamentals will not take into account other important factors: Arista Networks Total Value Analysis
Arista Networks is presently estimated to have takeover price of 172.2 B with market capitalization of 216.41 B, debt of 64.3 M, and cash on hands of 3.28 B. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Arista Networks fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
172.2 B | 216.41 B | 64.3 M | 3.28 B |
Arista Networks Investor Information
The company has Price/Earnings To Growth (PEG) ratio of 1.29. Arista Networks had not issued any dividends in recent years. The entity had 1:4 split on the 29th of August 2024. Based on the key indicators related to Arista Networks' liquidity, profitability, solvency, and operating efficiency, Arista Networks is not in a good financial situation at the moment. It has a very high risk of going through financial straits in January.Arista Networks Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Arista Networks has an asset utilization ratio of 51.41 percent. This suggests that the Company is making R$0.51 for each dollar of assets. An increasing asset utilization means that Arista Networks is more efficient with each dollar of assets it utilizes for everyday operations.Arista Networks Profitability Analysis
The company reported the revenue of 2.95 B. Net Income was 840.85 M with profit before overhead, payroll, taxes, and interest of 1.88 B.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Arista Networks' worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Arista Networks and how it compares across the competition.
About Arista Networks Valuation
The stock valuation mechanism determines Arista Networks' current worth on a weekly basis. Our valuation model uses a comparative analysis of Arista Networks. We calculate exposure to Arista Networks's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Arista Networks's related companies.Arista Networks, Inc. develops, markets, and sells cloud networking solutions in the Americas, Europe, the Middle East, Africa, and the Asia-Pacific. Arista Networks, Inc. was incorporated in 2004 and is headquartered in Santa Clara, California. ARISTA NETWODRN operates under Computer Hardware classification in Brazil and is traded on Sao Paolo Stock Exchange. It employs 2613 people.
8 Steps to conduct Arista Networks' Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Arista Networks' potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Arista Networks' valuation analysis, follow these 8 steps:- Gather financial information: Obtain Arista Networks' financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Arista Networks' revenue streams: Identify Arista Networks' primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Arista Networks' industry and market trends, including the size of the market, growth rate, and competition.
- Establish Arista Networks' growth potential: Evaluate Arista Networks' management, business model, and growth potential.
- Determine Arista Networks' financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Arista Networks' estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Complementary 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.
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