Citi initiated coverage of Arista Networks with a Neutral rating and $160 price target. The analyst initiated coverage of the communication equipment sector, saying equipment orders have stabilized after a sharp 30% quarter-over-quarter drop in the March quarter. Longer-term, big data continues to drive the need for higher network capacity with 100G for enterprises, 400G for Cloud, and 800G and beyond for artificial intelligence, the analyst tells investors in a research note. The firm likes Arista in the datacenter switching market and its exposure to the generative AI “megatrend,” but is concerned of multiple compression should 400G cloud spend slow further this year.
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
See the top stocks recommended by analysts >>
Read More on ANET:
- Early notable gainers among liquid option names on June 27th
- JPMorgan sees ‘ample upside’ in Arista Networks after selloff
- AI: Investment Value at Every Link of the Value Chain
- Arista Networks price target raised to $190 from $170 at BofA
- Arista Networks down 5% in pre-market trading
Questions or Comments about the article? Write to editor@tipranks.com