Jim Cramer Said Arista Networks, Inc. (NYSE:ANET) and Snowflake Inc. (NYSE:SNOW) Were Worth It
CNBC host Jim Cramer discussed Arista Networks (ANET) and Snowflake (SNOW). He said profit taking followed ANET’s Aug 5 Q2 results. Arista reported $3.04B revenue and $1.02 EPS, beating estimates, and guided Q3 revenue to $3.3B. The article cites 63.4% non-GAAP gross margin and notes customer concentration risk.
How this was made
The 30-second read
Why it matters
Arista’s Q2 beat and Q3 revenue forecast beat are the only concrete fundamentals; the rest is sentiment framing (profit taking) and valuation/customer-concentration risk.
Market read
Traders get a quick reminder of Arista’s earnings beats and the market’s likely near-term reaction risk after a strong run, but no new actionable catalyst beyond the earnings numbers already tied to August 5.
What to watch
No discussion of backlog, customer churn, competitive wins/losses, or Western Digital agreement terms, which are key to validating the “AI buildout” durability claim.
Background
The piece is an editorial-style recap of Cramer’s commentary around Arista’s earnings and related AI networking/software momentum.
Ticker impact
Article cites Arista’s Q2 results and a Q3 revenue forecast that beat estimates, framing AI buildout strength and profit-taking risk.
Bias modestly positive, with elevated odds of short-term volatility tied to “profit taking” after the earnings-driven run.
The only concrete, decision-relevant facts are the reported Q2 revenue/EPS and the Q3 revenue forecast beat; the rest is commentary (profit-taking, customer concentration, valuation).
Snowflake is mentioned via Cramer’s comment that it “goes up and up and up,” implying profit-taking risk after Arista’s earnings-driven tape.
Limited incremental impact; any price effect would be indirect via broader AI-software momentum rather than Snowflake-specific news.
No Snowflake earnings, guidance, or other primary datapoint is disclosed; it is referenced as a board connection and a general price-momentum observation.
Market effects
Reinforces AI networking and enterprise software momentum, but offers no new sector datapoints beyond Arista’s results.
No explicit regional market linkage beyond US-listed tech sentiment.
No global macro or cross-border catalyst described.
Counterpoint
Despite the Q2 and Q3 beat, the article’s own risk note (big-tech customer concentration and potential custom switching) could cap upside if investors re-rate forward durability.
Key entities
- public_companyArista Networks, Inc.
Reported Q2 revenue and EPS, and guided Q3 revenue above estimates; discussed as an AI networking beneficiary.
- public_companySnowflake Inc.
Referenced in Cramer’s commentary via board connection and general price-momentum observation, without new fundamentals.
- personJayshree Ullal
Arista CEO mentioned as the person Cramer spoke with; also noted as on Snowflake’s board.
