New product initiatives from Arista Networks might put the corporate on a transparent path to rival synthetic intelligence darling Nvidia and others, in keeping with Needham. Analyst Ryan Koontz, who has a purchase ranking on the community gear identify, elevated his value goal on Tuesday to $160 from $155. That displays round 10% upside from Monday’s shut. “At its Analyst Day Arista administration laid out … a compelling imaginative and prescient for the continued transformation of the corporate, outlining new Cloud/AI capabilities” that focus on Nvidia, the analyst wrote. “We additionally gained sturdy appreciation for key new senior administration hires whom we see as able to driving the speed of change essential to develop the corporate’s dominant lanes.” The analyst additionally cited Arista’s announcement for plans to “develop a scale-up product constructed on the newly launched Tomahawk Extremely chip from Broadcom .” Such a improvement would place Arista to compete with Nvidia within the scale-up community market versus the AI chip market, Koontz mentioned. “NVIDIA at present has the dominant product in scale-up networks, with new potential Ethernet options from Broadcom and AMD,” he mentioned. “We count on Arista to finish design for its new scale-up in 2026 and enter main trials in 2027 forward of a quantity cargo ramp.” Koontz added that Arista grew to become a serious new provider to Anthropic in 2025. He expects that to meaningfully contribute to the corporate’s income development subsequent 12 months. ANET 6M mountain ANET, 6-month Most analysts are bullish on Arista, with 23 out of 28 analysts protecting it having a robust purchase or purchase ranking, per LSEG information. The remaining 5 have a maintain ranking. Needham’s bullish outlook on the inventory comes because it has soared in latest months. Over the previous six months, shares have risen practically 72%, outpacing the S & P 500’s 17% achieve throughout that very same interval. The inventory has additionally jumped virtually 51% over the previous three months.