1. I rate Arista Networks a Buy due to its strong cash flow, premium valuation, and potential for value creation through M&A or increased buybacks. 2. Despite lower growth guidance, ANET's management has a history of underpromising and overdelivering. 3. The Company's premium multiple makes acquisitions highly accretive, potentially adding significant value via the valuation gap vs. the target.
Related Articles
- Micron confirms memory price hikes as AI and data center demand surges2 months ago
- China's AI data center boom goes bust: Rush leaves billions of dollars in idle infrastructure2 months ago
- Mapping Licensing for Virtualization is Cool Now2 months ago
- Advanced Oscilloscopes For 1.6T Optical Transceiver Testing2 months ago
- OpenAI has run out of GPUs, says Sam Altman — GPT-4.5 rollout delayed due to lack of processing power3 months ago
- Lumotive raises $45m Series B3 months ago
- 2024 wafers down 2.7%; wafer revenues down 6.5%4 months ago
- Intel's head of datacenter and AI unit leaves to lead Nokia4 months ago
- Intel data center CPU sales hit the lowest point in 13 years4 months ago
- AMD Issues Warning, Stock Price Plummets4 months ago