ANET

TIER 2 · 3%RESEARCH PENDING

Arista Networks • Semi Connectivity • NYSE

Open in TradingView

External Research

Yahoo Finance →TradingView →Seeking Alpha →News →

Key Metrics

Mkt Cap$168B
Fwd P/E38.3x
Gross Margin64.1%
D/E0.00
Rev Growth+28.6%
Customer RiskHigh

Supply Chain Position

18.9% DC Ethernet share. Top 3 customers are MSFT, META, GOOGL — existing AI industry holdings.

Why Included

Zero debt. 64% gross margin. 42.8% operating margin. The existing AI industry portfolio’s companies are Arista’s biggest customers, creating a direct demand linkage. $4.3B FCF.

Customers: MSFT ~20%, META ~15%, GOOGL. Top 3 customers are existing AI industry portfolio holdings.

Red Flags

  • •Extreme customer concentration — MSFT + META + GOOGL represent >50% of revenue
  • •Premium valuation at 38.3x forward P/E — growth deceleration would compress multiple
  • •Cisco competitive response in AI networking could pressure share

Citrini Research Note

Not in Citrini basket (not photonics-specific). Added because top 3 customers are existing AI industry holdings — direct demand linkage.