Arista Networks (ANET)vsSuper Micro Computer Inc (SMCI)
ANET
Arista Networks
$131.20
-3.71%
TECHNOLOGY · Cap: $170.44B
SMCI
Super Micro Computer Inc
$20.53
-33.32%
TECHNOLOGY · Cap: $19.13B
Smart Verdict
WallStSmart Research — data-driven comparison
Super Micro Computer Inc generates 212% more annual revenue ($28.06B vs $9.01B). ANET leads profitability with a 39.0% profit margin vs 3.1%. SMCI appears more attractively valued with a PEG of 0.91. ANET earns a higher WallStSmart Score of 69/100 (B-).
ANET
Strong Buy69
out of 100
Grade: B-
SMCI
Strong Buy67
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-29.4%
Fair Value
$102.74
Current Price
$131.20
$28.46 premium
Margin of Safety
+37.7%
Fair Value
$51.40
Current Price
$20.53
$30.87 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 31 in profit
Keeps 39 of every $100 in revenue as profit
Strong operational efficiency at 41.5%
Safe zone — low bankruptcy risk
Large-cap with strong market position
Revenue surging 28.9% year-over-year
Revenue surging 123.4% year-over-year
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
Trading at 13.3x book value
Weak financial health signals
Premium valuation, high expectations priced in
3.1% margin — thin
Operating margin of 3.7%
Weak financial health signals
Negative free cash flow — burning cash
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 39.0% and operating margin at 41.5%. Revenue growth of 28.9% demonstrates continued momentum.
Bull Case : SMCI
The strongest argument for SMCI centers on Revenue Growth, Altman Z-Score, PEG Ratio. Revenue growth of 123.4% demonstrates continued momentum. PEG of 0.91 suggests the stock is reasonably priced for its growth.
Bear Case : ANET
The primary concerns for ANET are PEG Ratio, Price/Book, Piotroski F-Score. A P/E of 49.2x leaves little room for execution misses.
Bear Case : SMCI
The primary concerns for SMCI are Profit Margin, Operating Margin, Piotroski F-Score. Thin 3.1% margins leave little buffer for downturns.
Key Dynamics to Monitor
ANET profiles as a growth stock while SMCI is a hypergrowth play — different risk/reward profiles.
SMCI carries more volatility with a beta of 1.49 — expect wider price swings.
SMCI is growing revenue faster at 123.4% — sustainability is the question.
ANET generates stronger free cash flow (1.2B), providing more financial flexibility.
Bottom Line
ANET scores higher overall (69/100 vs 67/100), backed by strong 39.0% margins and 28.9% revenue growth. SMCI offers better value entry with a 37.7% 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 →Super Micro Computer Inc
TECHNOLOGY · COMPUTER HARDWARE · USA
Super Micro Computer, Inc. develops and manufactures high-performance server and storage solutions based on an open, modular architecture. The company is headquartered in San Jose, California.
Visit Website →Compare with Other COMPUTER HARDWARE Stocks
Want to dig deeper into these stocks?