Rosenblatt has revised its outlook on Arista Networks (ANET, Financial), reducing the price target significantly from $85 to $55. Despite expectations of a generally strong performance for the optical sector in the March quarter, the firm maintains a Sell rating on Arista's shares.
The adjustment in price target reflects concerns over potential pressures on gross margins due to increased tariffs and anticipated economic slowdowns. Rosenblatt projects that these factors, alongside heightened market uncertainties and rising costs, could impact companies in the sector, including Arista Networks, particularly in the latter half of 2025.
On average, Rosenblatt has lowered its price targets across the companies it covers by approximately 19%, anticipating challenging macroeconomic conditions ahead.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 19 analysts, the average target price for Arista Networks Inc (ANET, Financial) is $109.73 with a high estimate of $145.00 and a low estimate of $73.00. The average target implies an upside of 62.16% from the current price of $67.67. More detailed estimate data can be found on the Arista Networks Inc (ANET) Forecast page.
Based on the consensus recommendation from 25 brokerage firms, Arista Networks Inc's (ANET, Financial) average brokerage recommendation is currently 1.9, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Arista Networks Inc (ANET, Financial) in one year is $84.88, suggesting a upside of 25.43% from the current price of $67.67. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Arista Networks Inc (ANET) Summary page.
