By Carly Forster
Arista Networks Inc (NYSE:ANET) is waking up and coming out of their quiet period.
Arista Networks In The News
Arista Networks Inc (NYSE:ANET) is a Santa Clara, California based computer networking company that designs, distributes, and sells multilayer network switches in order to deliver software-defined networking solutions for cloud computing, high-performance computing, high-frequency trading environments, and large data centers. On Tuesday, June 1 shares of the computer networking company had a 20% increase. The reason for the jump is due to enough time passing since Arista Network’s initial public offering, also known as “the end of the quiet period”. The end of Arista’s quiet period has continues to drive their stock higher and higher.
What Does This Mean For Arista Network’s Stock?
On June 1, Morgan Stanley analyst James Faucette issued an Overweight rating for Arista Networks Inc (NYSE:ANET) with a $77 price target. He noted, “Strength of platform creating opportunity for share gains in the $7.7 bn data center switch market drives a favorable risk-reward, even trading at 6.4x 2015e EV/Sales. Strong management is a plus. We see 23% upside to our $77 PT.” Faucette has a +18.4% average return on all stocks and a 79% success rate in making recommendations, according to TipRanks.
On the other hand, on June 1 Raymond James analyst Simon Leopold issued a Market Perform rating for Arista Networks Inc (NYSE:ANET). He explained, “Although we see opportunities for Arrest in the backdrop of healthy demand driven by data center growth, and as cloud and virtualization begin to push SDN towards reality, initial consensus expectations seem optimistic.” Leopold has a +6.8% average return on all stocks and a 76% success rate in making recommendations.
These analysts can’t seem to agree if now is the time to add Arista Networks to their portfolios. Who do you trust?
Carly Forster writes about stock market news. She can be reached at Carly@tipranks.com