Arista Networks (ANET)

Summary

• Arista Networks builds the high-speed digital highways (networks) that large companies and cloud giants (such as Microsoft and Meta Platforms) need to run their apps, AI models and data centres. Arista has a software-first approach, with flexible and scalable network tools, which makes it the vendor of choice.
• The company is growing quickly by riding trends in cloud computing, artificial intelligence (AI) and automation. While it's in a strong position, it does face risks. It is possibly relying too much on a few major customers and may face potential problems from global supply chains or trade issues.
• Since its IPO in 2014, Arista's share price has grown by 2,727%.