Arista Networks Q2 revenue, adjusted EPS ease past estimates

Arista Networks

04/08/2026 21:20

Overview
US networking equipment maker's Q2 revenue rose 38% yr/yr, beating analyst expectations
Adjusted EPS for Q2 beat analyst expectations, up 40% yr/yr
Company expects Q3 revenue of about $3.3 bln and non-GAAP EPS between $1.06 and $1.08

Outlook
Arista Networks expects Q3 2026 revenue of approximately $3.3 bln
Company sees Q3 2026 non-GAAP operating margin of 48-49%
Company expects Q3 2026 non-GAAP diluted EPS between $1.06 and $1.08

Result Drivers
PRODUCT INNOVATION - Co said new 1.6 Tbps AI fabric platforms and next-generation Etherlink platforms helped drive Q2 results
BROAD-BASED GROWTH - CFO said strong, broad-based growth across product and service segments contributed to revenue and EPS increases

Company press release: ID:nBw6dkTlwa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$3.04 bln
$2.82 bln (18 Analysts)
Q2 Adjusted EPS
Beat
$1.02
$0.88 (20 Analysts)

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 27 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the communications & networking peer group is "buy"
Wall Street's median 12-month price target for Arista Networks Inc is $192.23, about 4% above its August 3 closing price of $184.89
The stock recently traded at 45 times the next 12-month earnings vs. a P/E of 46 three months ago

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)