Arista Networks (ANET)vsApplovin Corp (APP)
ANET
Arista Networks
$141.77
+0.01%
TECHNOLOGY · Cap: $178.49B
APP
Applovin Corp
$468.55
-6.08%
COMMUNICATION SERVICES · Cap: $167.59B
Smart Verdict
WallStSmart Research — data-driven comparison
Arista Networks generates 58% more annual revenue ($9.71B vs $6.16B). APP leads profitability with a 64.3% profit margin vs 38.3%. APP appears more attractively valued with a PEG of 1.33. APP earns a higher WallStSmart Score of 77/100 (B+).
ANET
Strong Buy71
out of 100
Grade: B
APP
Strong Buy77
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+72.4%
Fair Value
$482.15
Current Price
$141.77
$340.38 discount
Margin of Safety
-56.9%
Fair Value
$242.94
Current Price
$468.55
$225.61 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 32 in profit
Keeps 38 of every $100 in revenue as profit
Strong operational efficiency at 42.7%
Revenue surging 35.1% year-over-year
Safe zone — low bankruptcy risk
Large-cap with strong market position
Every $100 of equity generates 266 in profit
Keeps 64 of every $100 in revenue as profit
Strong operational efficiency at 78.1%
Revenue surging 59.0% year-over-year
Earnings expanding 113.0% YoY
Safe zone — low bankruptcy risk
Areas to Watch
Expensive relative to growth rate
Trading at 13.2x book value
Weak financial health signals
Premium valuation, high expectations priced in
Elevated debt levels
Premium valuation, high expectations priced in
Trading at 74.3x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : ANET
The strongest argument for ANET centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 38.3% and operating margin at 42.7%. Revenue growth of 35.1% demonstrates continued momentum.
Bull Case : APP
The strongest argument for APP centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 64.3% and operating margin at 78.1%. Revenue growth of 59.0% demonstrates continued momentum.
Bear Case : ANET
The primary concerns for ANET are PEG Ratio, Price/Book, Piotroski F-Score. A P/E of 48.7x leaves little room for execution misses.
Bear Case : APP
The primary concerns for APP are Debt/Equity, P/E Ratio, Price/Book. A P/E of 43.3x leaves little room for execution misses. Debt-to-equity of 1.66 is elevated, increasing financial risk.
Key Dynamics to Monitor
APP carries more volatility with a beta of 2.37 — expect wider price swings.
APP is growing revenue faster at 59.0% — sustainability is the question.
ANET generates stronger free cash flow (1.6B), providing more financial flexibility.
Monitor COMPUTER HARDWARE industry trends, competitive dynamics, and regulatory changes.
Bottom Line
APP scores higher overall (77/100 vs 71/100), backed by strong 64.3% margins and 59.0% revenue growth. ANET offers better value entry with a 72.4% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Arista Networks
TECHNOLOGY · COMPUTER HARDWARE · USA
Arista Networks (formerly Arastra) is an American computer networking company headquartered in Santa Clara, California. The company designs and sells multilayer network switches to deliver software-defined networking (SDN) solutions for large datacenter, cloud computing, high-performance computing, and high-frequency trading environments.
Visit Website →Applovin Corp
COMMUNICATION SERVICES · ADVERTISING AGENCIES · USA
AppLovin Corporation is committed to creating a software-based platform for mobile application developers to improve the marketing and monetization of their applications globally. The company is headquartered in Palo Alto, California.
Visit Website →Compare with Other COMPUTER HARDWARE Stocks
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