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Arista Networks Inc
NYSE:ANET

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Arista Networks Inc
NYSE:ANET
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Price: 172.7 USD -0.01% Market Closed
Market Cap: $217B

EV/IC

25.5
Current
42%
More Expensive
vs 3-y average of 18

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
25.5
=
Enterprise Value
$156.3B
/
Invested Capital
$8.1B

Enterprise Value to Invested Capital (EV/IC) ratio compares a company`s total enterprise value to the capital invested in its business. It shows how efficiently the company`s market value reflects the funds used to generate returns.

EV/IC
25.5
=
Enterprise Value
$156.3B
/
Invested Capital
$8.1B

Valuation Scenarios

Arista Networks Inc is trading above its 3-year average

If EV/IC returns to its 3-Year Average (18), the stock would be worth $121.81 (29% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-94%
Maximum Upside
No Upside Scenarios
Average Downside
63%
Scenario EV/IC Value Implied Price Upside/Downside
Current Multiple 25.5 $172.7
0%
3-Year Average 18 $121.81
-29%
5-Year Average 15.1 $102.34
-41%
Industry Average 2.9 $19.52
-89%
Country Average 1.5 $10.06
-94%

Forward EV/IC
Today’s price vs future invested capital

Not enough data available to calculate forward EV/IC

Peer Comparison

All Multiples
EV/IC
P/E
All Countries
Close
Market Cap EV/IC P/E
US
Arista Networks Inc
NYSE:ANET
217B USD 25.5 61.8
JP
Nakayo Inc
TSE:6715
111.4T JPY 7 835.5 7 956 708
US
Cisco Systems Inc
NASDAQ:CSCO
362.9B USD 3.5 32.8
CN
Zhongji Innolight Co Ltd
SZSE:300308
952.8B CNY 35.6 63.7
US
Ciena Corp
NYSE:CIEN
75.7B USD 18.8 330.6
US
Motorola Solutions Inc
NYSE:MSI
72.2B USD 4.7 33.5
FI
Nokia Oyj
OMXH:NOKIA
59.3B EUR 2 75.8
US
Lumentum Holdings Inc
NASDAQ:LITE
67.8B USD 20.1 268.7
US
Ubiquiti Inc
NYSE:UI
61.7B USD 57.8 69
CN
Yangtze Optical Fibre and Cable Joint Stock Ltd Co
SSE:601869
290.9B CNY 11.6 357.5
TW
Accton Technology Corp
TWSE:2345
1.3T TWD 36.8 48.4

Market Distribution

Higher than 95% of companies in the United States of America
Percentile
95th
Based on 11 657 companies
95th percentile
25.5
Low
0 — 0.9
Typical Range
0.9 — 2.9
High
2.9 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 0.9
Median 1.5
70th Percentile 2.9
Max 566 432.7

Arista Networks Inc
Glance View

Arista Networks Inc., nestled at the intersection of innovation and connectivity, embarked on its journey in 2004, revolutionizing the landscape of cloud networking. At the heart of this transformation is Arista's pioneering Extensible Operating System (EOS), a software platform that orchestrates seamless networking for a digital age. This robust software foundation enables Arista's myriad of high-performance switches, which collectively form the backbone of data centers, cloud computing environments, and high-frequency trading platforms. By delivering unparalleled scalability, programmability, and security features, Arista has carved its niche among tech giants like Amazon and Microsoft, effectively becoming the silent architect of modern cloud infrastructure. What sets Arista apart is its strategic focus on software-driven networking, which has allowed the company to tap into the rapidly expanding demand for high-speed data transmission and connectivity. Through its comprehensive suite of products and services, Arista monetizes its offerings by catering to large-scale enterprises and technology companies that require efficient, reliable, and adaptable networking solutions. These clients, in tackling their own digital transformation journeys, rely heavily on Arista's innovative solutions to ensure seamless service delivery and operational efficiency. This customer-centric approach, combined with continuous advancements in their proprietary technology, has anchored Arista's growth and solidified its status as a formidable player in the networking industry.

ANET Intrinsic Value
75.12 USD
Overvaluation 57%
Intrinsic Value
Price $172.7
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