Is Arista Networks, Inc. (ANET) Undervalued?
Based on the current stock price of $131.84 and a P/E ratio of 50.32,Arista Networks, Inc. has a PEG ratio of 1.88.
The Short Answer:
Most analysts consider a PEG ratio below 1.0 to be undervalued. With a ratio of 1.88, ANET appears to be fairly valued relative to its growth rate of 26.83%.
Based on a PEG ratio of 1.88 (adjusted for dividends).
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How we analyzed ANET
We calculated the PEG (Price/Earnings-to-Growth) ratio by taking the Price-to-Earnings Ratio of 50.32and dividing it by the annual growth rate of 26.83%.
PEG = 50.32 (P/E) ÷ 26.83 (Growth) = 1.88
Frequently Asked Questions about ANET
What is the current PEG Ratio for Arista Networks, Inc. (ANET)?+
The current PEG Ratio for Arista Networks, Inc. is 1.88. A PEG ratio below 1.0 generally suggests the stock may be undervalued relative to its growth.
Is ANET stock undervalued right now?+
Based on the PEG ratio of 1.88, Arista Networks, Inc. appears to be fairly valued. Investors typically look for a PEG ratio below 1.0 to find undervalued growth stocks.
What is the PEGY Ratio for ANET?+
The PEGY ratio for Arista Networks, Inc. is 1.88. This metric accounts for dividend yield (0.00%), providing a more complete valuation picture.