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Stock impact report

Arista Networks: More Of A 2026 Opportunity Due To The Lagging Effect [Seeking Alpha]

Arista Networks, Inc. (ANET) 
Last arista networks, inc. earnings: 2/13 04:05 pm Check Earnings Report
US:NASDAQ Investor Relations: investors.arista.com/home/default.aspx
Company Research Source: Seeking Alpha
Understanding the lagging effect of the network part relative to AI chips helps to explain why the company has not been able to recognize revenues in its income statement. AI-related sales having doubled for 2025 provide new opportunities for the networking play, as OpenAI diversifies GPU sourcing with Broadcom and AMD. However, deferred revenues should only be recognized in 2026, and volatility should persist because of bubble-related risks. Hence, I have a Hold position, as despite Nvidia's upbeat quarter, there are Arista-specific issues to contend with as a networking play. Jonathan Kitchen/DigitalVision via Getty Images I last covered Arista Networks ( ANET ) in March 2024 in my piece entitled “AI Prospects Emerging But Will Take Time To Materialize,” mainly because of the time lag to recognize revenues between chip makers selling GPUs (accelerated compute) and those supplying This article was written by Analyst's Disclosure: I/we have no stock, option or similar d Show less Read more
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