AristaNet: IBD

Arista Net is on the IBD sector leader list.

SECTOR LEADERS STOCK LIST: IBDs most stringent and powerful screen, Sector Leaders highlight the best stocks in IBDs 33 sectors. All Sector Leaders show outstanding earnings and sales growth in recent quarters and are strong across many other fundamental and price-performance metrics<>/B>

Which is why is shows up on this board too

Is Arista Ready To Rumble In New Product Cycle?

Article says the cloud is great and ANET helps power it. Duh.

here is the more interesting stuff

Morgan Stanley analyst James Faucette believes Arista is best positioned to lead the ascent to the cloud, compared to competitors like Cisco Systems (CSCO), F5 Networks (FFIV) and Juniper Networks (JNPR).

Faucette say lengthening product cycles cause most stocks in this space to trade in bounded ranges. Earnings estimates and market sentiment has them out of favor before a new product cycle.

With Arista about to ramp up a new product cycle, the analyst sees the likelihood that estimates and share price will rise. At the same time, competitors are completing product cycles.

and for some folks…

The stock has carved out an irregular consolidation with a possible 79.54 buy point. The right side of the consolidation has lacked the tightness that investors should look for in a stock under institutional accumulation. The stock carries a B+ in Accumulation/Distribution Rating.

Composite rating of 96 means it is ranked higher than 96% of the stocks (in the IBD database).
Industry group ranted 135 of 197, very weak. This means big institutions are not excited about this sector in general. You would like buy the best stocks in a sector the institutions are driving up (in CANSLIM theory that is).

Current Earnings
EPS Due Date 08/04/2016
EPS Rating 98 excellent
EPS % Chg (Last Qtr) 36% very good
Last 3 Qtrs Avg EPS Growth 45%

Qtrs of EPS Acceleration 0 not what you want

EPS Est % Chg (Current Qtr) 25%
Estimate Revisions
Last Quarter % Earnings Surprise 13.3%

Annual Earnings
3 Yr EPS Growth Rate 90%
Consecutive Yrs of Annual EPS Growth 3
EPS Est % Chg for Current Year 18% a bit weak

Sales, Margin, ROE (all good in this category)
SMR Rating A strong
Sales % Chg (Last Qtr) 35%
3 Yr Sales Growth Rate 62%
Annual Pre-Tax Margin 27.8%
Annual ROE 25.9%
Debt/Equity Ratio 5%


Price And Volume
Price $72.45
RS Rating 82
% Off 52 Week High -18%
Price vs. 50-Day Moving Average 7%
50-Day Average Volume 673,000

Supply And Demand
Market Capitalization $5 B
Accumulation/Distribution Rating B+ strong
Up/Down Volume 1.9
% Change In Funds Owning Stock 6%
Qtrs Of Increasing Fund Ownership 6 good

I am starting to post a few notes on CAN SLIM board if anyone is interested. Other than adding technical analysis for buy points, it is not terribly far from what goes on here, that is looking for great growth stocks with strong fundamentals.…
summarizing a few chapters as I read through it again on vacation.

More to come later if my vacation internet stops being stupid.


Ok, a consolidated rating…

Composite Rating 96 Pass
EPS Rating …98 Pass
RS Rating …82 Pass
Group RS Rating …C- Neutral
SMR Rating …A Pass
Acc/Dis Rating …B+ Pass