Arista Networks, Inc. (ANET) Factsheet
Arista Networks, Inc. (ANET) Stock Analysis
Analysis from 10-Q filed 2025-11-05. Data as of Q1 2026.
Overall Grade: F (Concerning)
Grade F (Concerning). ROIC 28.8%. FCF margin 54.4%. D/E 0.0x. Source: 10-Q filed 2025-11-05.
| Metric | Value | Context |
|---|---|---|
| ROIC | 28.8% | Above industry average |
| FCF Margin | 54.4% | Strong cash generation |
| Debt/Equity | 0.0x | Conservative leverage |
ROIC 28.8% — Top 5% of sector peers. FCF margin 54.4% — Top 5%.
Explore Arista Networks, Inc.: Earnings History | Filings
Programmatic access: Available via MCP at mcp.metricduck.com. Tools for ANET: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.
Profitability: Arista Networks, Inc. earns 28.8% ROIC, Top 5% in Technology
ROIC TTM 28.8%, sector median 3.7%, Top 5%. DuPont: NOPAT margin 34.9% × asset turnover 0.5x. Gross margin 63.5%. Operating margin 42.8%. Source: 10-Q filed 2025-11-05.
| Metric | ANET | Rating | Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 28.8% | Excellent | Above sector median of 3.7% |
| Return on Equity (ROE) | 31.7% | Excellent | Efficient use of shareholder equity |
| Gross Margin | 63.5% | Excellent | Strong pricing power |
| Operating Margin | 42.8% | Excellent | Efficient operations |
Cash Flow: Arista Networks, Inc. generates $5.3B FCF at 54.4% margin, positive NaN/8 quarters
FCF TTM $5.3B. FCF margin 54.4%, Top 5%. OCF/Net income 1.5x. Positive FCF in NaN/8 trailing quarters. Source: 10-Q filed 2025-11-05.
| Metric | ANET | Rating | Context |
|---|---|---|---|
| Free Cash Flow Margin | 54.4% | Excellent | Excellent cash conversion |
| Free Cash Flow (TTM) | $5.3B | Good | Positive cash generation |
| OCF/Net Income | 1.5x | Excellent | High earnings quality |
| FCF Consistency (8Q) | N/A | Warning | Variable cash flow |
Balance Sheet: Arista Networks, Inc. at 0.0x leverage
Debt/Equity 0.0x. Source: 10-Q filed 2025-11-05.
| Metric | ANET | Rating | Context |
|---|---|---|---|
| Debt to Equity | 0.0x | Excellent | Conservative capital structure |
Valuation: Arista Networks, Inc. trades at 41.5x earnings
P/E 41.5x. EV/Sales 14.9x. FCF yield 3.4%. Source: 10-Q filed 2025-11-05.
| Metric | ANET | Rating | Context |
|---|---|---|---|
| P/E Ratio | 41.5x | Adequate | Premium valuation |
| EV/Sales | 14.9x | Warning | Growth premium priced in |
| FCF Yield | 3.4% | Adequate | Lower cash yield |
Capital Allocation: Arista Networks, Inc. returns 0.5% shareholder yield
Total shareholder yield 0.5% (buyback 0.5%). Capital returned $816.0M TTM. Source: 10-Q filed 2025-11-05.
| Metric | ANET | Rating | Context |
|---|---|---|---|
| Total Shareholder Yield | 0.5% | Adequate | Dividend + buyback yield combined |
| Buyback Yield | 0.5% | Adequate | Minimal buyback activity |
| Total Capital Returned (TTM) | $816.0M | Good | Dividends + buybacks returned to shareholders |
Sector Rankings
| Metric | Value | Percentile | vs Median |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 28.8% | Top 5% | 7.7x above |
| Free Cash Flow Margin | 54.4% | Top 5% | 6.4x above |
| Gross Margin | 63.5% | Top 50% | 1.3x above |
| Operating Margin | 42.8% | Top 5% | 9.4x above |
| Return on Equity (ROE) | 31.7% | Top 25% | 6.1x above |
| P/E Ratio | 41.5x | N/A | - |
Financial Scorecard
| Metric | ANET | Rating | Sector Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | 28.8% | Excellent | Top 5% of sector (median: 3.7%) |
| Free Cash Flow Margin | 54.4% | Excellent | Top 5% of sector (median: 8.5%) |
| Gross Margin | 63.5% | Excellent | Top 50% of sector (median: 50.3%) |
| Debt to Equity Ratio | 0.0% | Excellent | Conservative capital structure |
| P/E Ratio (Price-to-Earnings) | 41.5x | Adequate | High expectations priced in |
| Free Cash Flow Yield | 3.4% | Adequate | Moderate yield |
Frequently Asked Questions
Q: What is Arista Networks, Inc.'s Return on Invested Capital (ROIC)?
Arista Networks, Inc. (ANET) has a trailing twelve-month Return on Invested Capital (ROIC) of 28.8%. Sector median 3.7%. Source: 10-Q filed 2025-11-05.
Q: What is Arista Networks, Inc.'s Free Cash Flow Margin?
Arista Networks, Inc. (ANET) has a free cash flow margin of 54.4%, generating $5.3 billion in free cash flow over the trailing twelve months. Source: 10-Q filed 2025-11-05.
Q: What is Arista Networks, Inc.'s P/E ratio and how does it compare to peers?
Arista Networks, Inc. (ANET) trades at a P/E ratio of 41.5x, which is above the sector median of N/A. EV/Sales 14.9x. FCF yield 3.4%. Source: 10-Q filed 2025-11-05.
Q: What is Arista Networks, Inc.'s revenue and earnings growth?
Arista Networks, Inc. (ANET) grew revenue by 30.6% year-over-year. EPS +23.5% YoY. Source: 10-Q filed 2025-11-05.
Q: Is Arista Networks, Inc. buying back stock?
Arista Networks, Inc. (ANET) repurchased $816.0 million of stock over the trailing twelve months. This represents a buyback yield of 0.5%. Source: 10-Q filed 2025-11-05.
Q: How does Arista Networks, Inc. compare to competitors in Technology?
Compared to other companies in Technology, Arista Networks, Inc. (ANET) shows: ROIC 28.8%, sector median 3.7% (Top 5%). FCF margin 54.4%, sector median 8.5% (Top 5%). Gross margin 63.5%, 13.3pp above sector median. These rankings are based on MetricDuck's analysis of all Technology companies with available SEC filings.
Q: What warning signs should I watch for with Arista Networks, Inc.?
No quantitative warning flags fired for Arista Networks, Inc. (ANET) on margin trend, FCF trend, ROIC trend, or leverage thresholds. Source: 10-Q filed 2025-11-05.
Data Source: Data sourced from 10-Q filed 2025-11-05. TTM metrics as of Q1 2026.
Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.
Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.
This analysis is for informational purposes only and does not constitute investment advice.