Arista Networks stock (ANET) fell 8.9% in a single day following the company’s analyst day event, where management outlined its long-term outlook. The networking solutions provider projected sales to grow at a 20% compounded annual rate between fiscal 2023 and fiscal 2026. While this guidance is pretty strong, investors appeared underwhelmed, especially given the stock’s 55% plus rally over the past 12 months. Moreover, the aggressive growth forecasts recently issued by other AI driven companies, including Oracle, have likely left investors expecting more from the company.
CHONGQING, CHINA – MAY 04: In this photo illustration, the logo of Arista Networks, Inc. is displayed on a smartphone screen, with a stock market chart in the background, on May 4, 2025, in Chongqing, China. Arista Networks is an American cloud networking company that designs and sells multilayer network switches for large data center and high-performance computing environments. (Photo illustration by Cheng Xin/Getty Images)
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So do you already own the stock? You might want to consider holding it. Planning to buy? This might be your opportunity. Consider the following data:
- Size: A $175 Bil company with $8.0 Bil in revenue currently trading at $139.39.
- Fundamentals: Last 12 month revenue growth of 26.0% and operating margin of 43.1%.
- Liquidity: Has Debt to Equity ratio of 0.0 and Cash to Assets ratio of 0.53
- Valuation: Currently trading at P/E multiple of 53.9 and P/EBIT multiple of 51.1
- Has returned (median) 81.5% within a year following sharp dips since 2010. See ANET Dip Buy Analysis.
While we like to buy dips if the fundamentals check out – for ANET, see Buy or Sell ANET Stock – we are wary of falling knives. Specifically, it is worth trying to answer if things get really bad, and ANET drops another 20-30% to $97.57 levels, will we be able to hold on to the stock? What is the worst case scenario? We call it downturn resilience.
Below is a deep dive into Arista Networks (ANET) downturn resilience – specifically, its performance vs the market during past crises? Turns out, the stock saw an impact slightly worse than the S&P 500 index during various economic downturns. We assess this based on both (a) how much the stock fell and, (b) how quickly it recovered.
Below are the details, but before that, as a quick background: ANET provides cloud networking solutions and comprehensive post-contract support, including technical assistance, hardware repair, and software updates across global markets.
2022 Inflation Shock
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- ANET stock fell 38.4% from a high of $36.71 on 27 December 2021 to $22.61 on 16 June 2022 vs. a peak-to-trough decline of 25.4% for the S&P 500.
- However, the stock fully recovered to its pre-Crisis peak by 8 March 2023
- Since then, the stock increased to a high of $153.04 on 11 September 2025 , and currently trades at $139.39
Inflation Shock
Trefis
2020 Covid Pandemic
- ANET stock fell 34.0% from a high of $14.88 on 24 January 2020 to $9.81 on 16 March 2020 vs. a peak-to-trough decline of 33.9% for the S&P 500.
- However, the stock fully recovered to its pre-Crisis peak by 23 July 2020
Covid
Trefis
2018 Correction
- ANET stock fell 43.6% from a high of $20.53 on 16 April 2019 to $11.58 on 1 November 2019 vs. a peak-to-trough decline of 19.8% for the S&P 500.
- However, the stock fully recovered to its pre-Crisis peak by 20 May 2021
2018 Correction
ANET
Worried that ANET could fall much more? You could take a look at the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 – the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.