Should Quality Investors Include NYSE:ANET in Their Portfolio?

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.

Exploring Why NYSE:ANET Holds Appeal for Quality Investors.

• 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.
• With a notable ROIC excluding cash and goodwill at 70.39%, ARISTA NETWORKS INC demonstrates its commitment to generating sustainable returns for shareholders. This metric emphasizes the company's effective use of capital and its ability to deliver long-term value.
• With a Debt/Free Cash Flow Ratio of 0.0, ARISTA NETWORKS INC exhibits solid financial health and responsible debt management practices. This ratio indicates the company's ability to generate ample free cash flow to meet its debt obligations and pursue growth opportunities.
• ARISTA NETWORKS INC exhibits impressive Profit Quality (5-year) with a 93.14% ratio, reflecting its consistent ability to generate high-quality profits. This metric underscores the company's strong financial performance and commitment to delivering sustainable earnings.
• ARISTA NETWORKS INC has consistently achieved strong EBIT growth over the past 5 years, with a 27.18% increase. This underscores the company's effective management of its operating income and suggests a positive outlook for future profitability.
• ARISTA NETWORKS INC has achieved impressive EBIT 5-year growth, surpassing its Revenue 5-year growth. This indicates the company's ability to improve its profitability and operational efficiency, highlighting its strong financial performance.

How does the complete fundamental picture look for NYSE:ANET?

Every day, ChartMill assigns a Fundamental Rating to each stock, providing a score ranging from 0 to 10. This rating is determined by evaluating various fundamental indicators and properties.

Overall ANET gets a fundamental rating of 7 out of 10. We evaluated ANET against 54 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. This makes ANET very considerable for growth and quality investing!

For an up to date full fundamental analysis you can check the fundamental report of ANET

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

Disclaimer

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.