Should you consider ARISTA NETWORKS INC (NYSE:ANET) for quality investing?

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if ARISTA NETWORKS INC (NYSE:ANET) is suited for quality investing. Investors should of course do their own research, but we spotted ARISTA NETWORKS INC showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

A Deep Dive into ARISTA NETWORKS INC's Quality Metrics.

• ARISTA NETWORKS INC has achieved substantial revenue growth over the past 5 years, with a 22.19% increase. This signifies the company's ability to successfully capture market opportunities and generate sustained revenue growth.
• ARISTA NETWORKS INC exhibits a strong ROIC excluding cash and goodwill, indicating efficient capital utilization and profitable operations. The 78.56% reflects the company's ability to generate returns on invested capital and underscores its commitment to delivering value to shareholders.
• With a favorable Debt/Free Cash Flow Ratio of 0.0, ARISTA NETWORKS INC showcases its sound financial discipline and cash flow management. This ratio indicates the company's ability to service its debt obligations while maintaining sufficient free cash flow for future investments or operational needs.
• The Profit Quality (5-year) of ARISTA NETWORKS INC stands at 93.14%, highlighting its ability to consistently generate reliable profits. This metric underscores the company's strong business fundamentals and reinforces its position as a financially stable entity.
• ARISTA NETWORKS INC has experienced impressive EBIT growth over the past 5 years, with 27.18% increase. This reflects the company's effective operational performance and highlights its potential for long-term financial success.
• ARISTA NETWORKS INC has achieved superior EBIT 5-year growth compared to its Revenue 5-year growth. This demonstrates the company's ability to maximize its profitability through effective cost management and operational strategies.

What else is there to say on the fundamentals of NYSE:ANET?

ChartMill utilizes a proprietary algorithm to assign a Fundamental Rating to every stock. This rating, ranging from 0 to 10, is computed daily by analyzing a variety of fundamental indicators and properties.

Taking everything into account, ANET scores 7 out of 10 in our fundamental rating. ANET was compared to 51 industry peers in the Communications Equipment industry. ANET has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. ANET is valued quite expensive, but it does show an excellent growth. These ratings could make ANET a good candidate for growth and quality investing.

Check the latest full fundamental report of ANET for a complete fundamental analysis.

Our Caviar Cruise screen will find you more ideas suited for quality investing.

Keep in mind

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.