Up 13% Last Week, Arista Networks Stock Looks Set To Continue Its Streak

[view original post]

Arista Networks Inc. stock (NYSE: ANET) is up 13% in the past week (five trading days), performing better than the S&P 500 which was up 4.2% over this period. If you look at the change over the last ten days and one month, too, the stock has returned 16% and 24%, performing much better than the broader markets. Arista’s most recent Q1 ’22 earnings, saw revenue rising from $668 million in Q1 ’21 to $877 million in Q1 ’22. Additionally, despite rising COGS and other operating expenses, the company reported an operating income of $278 million, up from $206 million for the same period last year. This helped boost the company’s net income and EPS came in higher at $0.88, compared to $0.59 in Q1 ’21. With the markets recovering over the past couple of weeks, and strong Q2 ’22 earnings expected this week, Arista stock has rallied.

Now, is Arista stock set to continue its rally or could we expect a pullback? We believe that there is a strong 71% chance of a rise in ANET stock over the next month (21 trading days) based on our machine learning analysis of trends in the stock price over the last eight years. See our analysis on ANET Stock Chance of Rise. For additional details about the company’s historical returns and comparison to peers, see Arista Networks Stock Return. Additionally, for details about ANET revenue and comparison to peers, see Arista Networks Revenue Comparison.

Twenty-One Day: ANET 24%, vs. S&P500 9.2%; Outperformed market

(4% likelihood event; 71% probability of rise over next 21 days)

  • ANET stock gained 24% over the last twenty-one trading days (one month), compared to a broader market (S&P500) rise of 9.2%
  • A change of 24% or more over twenty-one trading days is a 4% likelihood event, which has occurred 84 times out of 2030 in the last 8 years
  • Of these 84 instances, the stock has seen a positive movement over the next twenty-one trading days on 60 occasions
  • This points to a 71% probability for the stock rising over the next twenty-one trading days

MORE FOR YOU

Ten Day: ANET 16%, vs. S&P500 7.9%; Outperformed market

(4% likelihood event; 51% probability of rise over next 10 days)

  • ANET stock rose 16% over the last ten trading days (two weeks), compared to a broader market (S&P500) rise of 7.9%
  • A change of 16% or more over ten trading days is a 4% likelihood event, which has occurred 83 times out of 2041 in the last 8 years
  • Of these 83 instances, the stock has seen a positive movement over the next ten trading days on 42 occasions
  • This points to a 51% probability for the stock rising over the next ten trading days

Five Day: ANET 13%, vs. S&P500 4.2%; Outperformed market

(2% likelihood event; 51% probability of rise over next five days)

  • ANET stock rose 13% over a five-day trading period ending 7/29/2022, compared to the broader market (S&P500) which was up 4.2% over this period.
  • A change of 13% or more over five trading days (one week) is a 2% likelihood event, which has occurred 49 times out of 2046 in the last eight years
  • Of these 49 instances, the stock has seen a positive movement over the next five trading days on 25 occasions
  • This points to a 51% probability for the stock rising over the next five trading days

What if you’re looking for a more balanced portfolio instead? Our high-quality portfolio and multi-strategy portfolio have beaten the market consistently since the end of 2016.

Invest with Trefis Market Beating Portfolios

See all Trefis Price Estimates