According to Needham, Arista Network's new product initiative can set a clear path to counter things like artificial intelligence beloved Nuvidia. Analyst Ryan Koontz, who has a buy rating on network equipment names, raised his price target from $155 to $160 on Tuesday. This reflects a rise of around 10% since the end of Monday. “On Analyst Day, Arista's executives laid out… a compelling vision for the company's ongoing transformation and outlines the new cloud/AI capabilities,” the analyst wrote. “We also received a strong appreciation for recruiting key new senior management positions who believe they can drive the rate of change needed to expand the company's dominant lane.” The analyst also cited Arista's announcement on its plan to “develop a scale-up product built on the newly released Tomahawk Ultra chips from Broadcom.” Such developments will force Arista to compete with Nvidia in the scale-up network market, as opposed to the AI chip market, Kooontz said. “Nvidia currently has a product dominant in scale-up networks with Broadcom and AMD's new future Ethernet solutions,” he said. “Arista is looking forward to completing its design for a new scale-up in 2026 and taking part in a major trial ahead of the Volume Shipment Lamp in 2027.” Kooontz added that Arista became a major new supplier of humanity in 2025. He hopes it will contribute meaningfully to the company's revenue growth next year. ANET 6m Mountain Anet, most analysts in 6 months are bullish at Arista, with 23 out of 28 analysts covering strong purchase or purchase ratings per LSEG data. The remaining five have a hold rating. Needham's bullish outlook on stocks has skyrocketed over the past few months. Over the past six months, stocks have grown nearly 72%, surpassing the S&P 500's 17% increase over the same period. Stocks have also grown almost 51% over the past three months.
