For most investors, how much a stock's price changes over time is important. Not only can it impact your investment portfolio, but it can also help you compare investment results across sectors and industries.
FOMO, or the fear of missing out, also plays a role in investing, particularly with tech giants and popular consumer-facing stocks.
What if you'd invested in Arista Networks (ANET) ten years ago? It may not have been easy to hold on to ANET for all that time, but if you did, how much would your investment be worth today?
Arista Networks' Business In-Depth
With that in mind, let's take a look at Arista Networks' main business drivers.
Santa Clara, CA-based Arista Networks, Inc. is engaged in providing cloud networking solutions for data centers and cloud computingenvironments. The company offers 10/25/40/50/100 Gigabit Ethernet switches and routers optimized for next-generation data center networks. Arista uses multiple silicon architectures across its products. At the core of the company’s cloud networking solutions is the Linux-based Extensible Operating System (EOS), which was architected to be fully programmable and highly modular.
EOS supports leading cloud and virtualization solutions, including Microsoft System Center, OpenStack and other cloud management frameworks. The company co-authored the Virtual Extensible LAN (VXLAN) protocol specification with VMware and was the first to demonstrate VXLAN integration. It has now expanded VXLAN routing and integration.
In 2015, Arista introduced CloudVision, a network-wide approach for workload orchestration and workflow automation delivering a turnkey solution for cloud networking. In 2019, Arista introduced 10 new 400G platforms. In the Leaf/Spine High Network Radix category, it now offers two new fixed 32 port 400G switches and a 128 port 100G/32 port 400G modular switch. For the Universal Leaf and Spine category of switching, the company introduced R3 series 100G and 400G products supporting up to 2.5M routes on its 7280R3 series fixed and 7500R3 series modular platforms.
Arista introduced a modular family called the 7800R3, a high-density 100G and 400G platform supporting up to 460 Tbps of system throughput. Also, it launched the 720XP Series of fixed Power over Ethernet leaf switches with 60W PoE, enabling it to offer a complete end-to-end solution for cognitive campus Ethernet as well as WiFi-6 wireless Access Points. The company has also expanded AI networking capabilities with AI spine solutions powered by the 7800 platform and introduced XPO high-density liquid-cooled pluggable optics designed for next-generation AI data centers.
The company serves five verticals, namely cloud titans, cloud specialty providers, service providers, financial services and the rest of enterprise. Arista’s customers include six of the largest cloud service providers based on annual revenues. In the second quarter of 2026, total revenues were $3.04 billion.
Bottom Line
Anyone can invest, but building a successful investment portfolio takes a combination of a few things: research, patience, and a little bit of risk. So, if you had invested in Arista Networks a decade ago, you're probably feeling pretty good about your investment today.
According to our calculations, a $1000 investment made in August 2016 would be worth $40,967.00, or a gain of 3,996.70%, as of August 27, 2026, and this return excludes dividends but includes price increases.
The S&P 500 rose 253.88% and the price of gold increased 234.25% over the same time frame in comparison.
Analysts are forecasting more upside for ANET too.
Arista reported strong second-quarter 2026 results with both adjusted earnings and revenues beating the Zacks Consensus Estimate. It is well positioned as cloud, AI and enterprise customers upgrade high-speed Ethernet networks. Demand spans AI fabrics, core data centers, campus and routing, aided by a stronger supply chain and deeper software automation. New AI fabric platforms, including liquid-cooling options and scale-across capabilities, support next-generation AI clusters, while campus recognition shows traction beyond hyperscale cloud. Strong operating leverage and a robust cash position further support its financial strength. However, Arista faces intense competition in cloud networking, AI Ethernet and high-speed switching markets. The company derives a substantial portion of revenue from a limited number of large customers.
The stock has jumped 28.03% over the past four weeks. Additionally, no earnings estimate has gone lower in the past two months, compared to 11 higher, for fiscal 2026; the consensus estimate has moved up as well.
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Arista Networks, Inc. (ANET): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).