Why Arista Networks Stock Was Falling Today
Shares of cloud-networking switch provider Arista Networks (NYSE: ANET) were falling today, down about 3% as of 1 p.m. ET Tuesday on an otherwise positive day for the markets.
Arista reported its first-quarter earnings last night, and by all indications, the results were positive. Actually, the stock initially rose after-hours on Monday before falling into negative territory today. That could be due to the risk-off environment, and investors worrying about any company that sports a high price-to-earnings (P/E) multiple, rather than anything having to do with Arista's results.
In the first quarter, Arista's revenue rose a solid 31.4% to $877 million, with adjusted earnings per share of $0.84 rising 35.5% and also beating analyst expectations. Moreover, management gave a strong second-quarter outlook, with revenue rising sequentially to between $950 million and $1 billion.
Source Fool.com
