Arista Networks reported strong Q2 2026 results with $3.036 billion revenue, up 37.7% year-over-year, and a 49.9% non-GAAP operating margin. The company’s AI Fabrics segment remains the key growth driver, supported by robust core data center networking, Campus, services, and a new 1.6 Tbps product cycle. These factors led to upward revisions in earnings estimates, with 2026 non-GAAP EPS forecast raised from $3.50 to $4.08 and 2028 EPS to $5.77. The price target increased from $216 to $248, reflecting improved growth visibility, though risks include customer concentration and margin pressures.
As AI training clusters grow, the real bottleneck shifts from GPUs to the network infrastructure that moves data between chips. Three U.S.-listed companies—Arista Networks, Cisco Systems, and Ciena—are critical players in this space. Arista leads in ...
Cisco's stock dropped 6% in a session where the broader tech sector and its networking peers, Arista and Ciena, remained stable or slightly positive. No new company announcements explain this sharp decline, suggesting the move is specific to Cisco ra...
