$Arista Networks (ANET.US)$Historically, this company, along with other network companies (AVGO, MRVL, COHR, ALAB, CRDO etc), have not traded at such a high valuation. In 2018-2019, the EPS was about 0.5 to 0.6, the price level was between 14-20. At high end P/E, that’s about 33-40. The present price (forward PE ~ 40) with a high teen revenue growth certainly reflects an elevated expectation. The price doubled from the 8/5/2024 low to the recent high. Be careful.
$Arista Networks (ANET.US)$Honstly, hardware stocks are much more attractive than software stocks at the moment. This company is traded at 15.6 times of 2025 sale, 40 times of eps, both are high given a high-teen growth, but this is still more attractive than high-growth software names, e.g., TEAM, SNOW, PANW etc, many of which are at similar P/S level, but with much worse operating margins. The software names usually have outrageous SBC, very poor gaap profitability.
The market went from unmoving to climbing to fresh highs after Apple's new iPhone and FOMC meeting minutes sent equities on smooth sailing waters Wednesday afternoon. The grouchy Dow climbed out of its negative spunk, following the S&P 500's record. Just past 4 pm ET the$S&P 500 Index (.SPX.US)$traded +0.24%, the$Dow Jones Industrial Average (.DJI.US)$climbed 0.16%, and the$Nasdaq Composite Index (.IXIC.US)$climbed 0...
Happy Wednesday, investors. It's February 19th, and the market was pulling back after the S&P 500 sprinted to a record finish Tuesday, following more tariff threats on auto and pharma trade. All eyes are watching for two major events today that might push some stock turnaround: one is boring, and one could be exhilarating. Can you guess what sent the market to a fresh record this afternoon? Let's look at Live Stock N...
102408816 : How is that?