Arista Networks (ANET) $275 post earnings, HOLD
Beats all around and guidance is raised as well.
For the period ending March 31, Arista earned an adjusted $1.99 per share as revenue rose 16.3% year-over-year to $1.57B.
A consensus of analysts expected the company to earn $1.74 per share on $1.55B in revenue.
Looking ahead, Arista Networks expects to generate sales between $1.62B and $1.65B, compared to estimates of $1.62B.
Adjusted gross margin is forecast to be around 64% while adjusted operating margin is expected to be around 44%.
Arista also said that it has finished its previous $2B share buyback program and its board of directors has approved an additional program to repurchase up to $1.2B worth of shares.
Arista’s biggest clients Meta and Microsoft are ramping up Datacenter buildouts so Arista should remain strong. Excellent company, but has been expensive for the past 6 months, holding for now, and will re-assess if the price falls.