Arista Networks Gains as Strong Earnings and AI Networking Demand Support Shares

Arista Networks (ANET) raised its 2026 revenue outlook to about $12.6B, citing improved supply-chain visibility and component availability. The company said its June quarter revenue exceeded $3B for the first time. It secured memory for 2026 and expanded liquid-cooling supply, with multiyear purchase commitments rising to about $9.7B and cash and marketable securities around $13.3B.

US stock indices closed mixed as investors digested the July CPI report, with the Dow down 0.04% and the Nasdaq 100 up 0.74%. The Russell 2000 hit a record close. Nebius Group (NBIS) shares rose about 34% after its Q2 results, including $582.3M revenue and $3B ARR. Cisco (CSCO) beat EPS and revenue but guided lower EPS.

Arista Networks reported Q2 revenue of $3.04 billion, up 37.7% year over year, beating analyst estimates by $210 million. Adjusted EPS was $1.02 versus $0.89 consensus. Q3 2026 guidance calls for about $3.3 billion revenue, above $2.95 billion estimates. Shares opened at $197.35 and have risen about 50% since February.

Arista Networks (ANET) reported its first $3 billion-plus quarter on Aug. 4. Revenue was $3.036B (+37.7% YoY) and non-GAAP EPS was $1.02 (+40%). The company raised full-year revenue guidance to about $12.6B and Q3 revenue to about $3.3B. Shares rose up to 12.8% on Aug. 5.

Arista Networks reported Q2 product revenue up 38.8% to $2.61B and services revenue up 31.3% to $430.5M. Total revenue rose 37.7% to $3.04B, with operating income up 39.7% to $1.38B and net income up 36.5% to $1.21B. The company raised 2026 guidance, including AI network revenue to $3.6B and full-year revenue to $12.6B.

Arista Networks shares rose as much as 12.8% on Wednesday after the company reported Q2 results. Arista said revenue reached a record $3.3 billion, up 40% year over year, and non-GAAP EPS was $1.02, up 40%, beating consensus. It also forecast Q3 revenue of $3.3 billion and non-GAAP EPS of $1.07.