WallStSmart

Arista Networks (ANET)vsHumana Inc (HUM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Humana Inc generates 1313% more annual revenue ($137.20B vs $9.71B). ANET leads profitability with a 38.3% profit margin vs 0.8%. HUM appears more attractively valued with a PEG of 2.15. ANET earns a higher WallStSmart Score of 72/100 (B).

ANET

Strong Buy

72

out of 100

Grade: B

Growth: 9.3Profit: 9.5Value: 5.3Quality: 6.8
Piotroski: 2/9Altman Z: 3.59

HUM

Buy

52

out of 100

Grade: C-

Growth: 6.0Profit: 4.5Value: 5.3Quality: 6.5
Piotroski: 4/9Altman Z: 3.91
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ANETUndervalued (+63.4%)

Margin of Safety

+63.4%

Fair Value

$463.29

Current Price

$166.15

$297.14 discount

UndervaluedFair: $463.29Overvalued
HUMUndervalued (+23.7%)

Margin of Safety

+23.7%

Fair Value

$403.67

Current Price

$350.08

$53.59 discount

UndervaluedFair: $403.67Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ANET6 strengths · Avg: 9.8/10
Market CapQuality
$212.91B10/10

Mega-cap, among the largest globally

Profit MarginProfitability
38.3%10/10

Keeps 38 of every $100 in revenue as profit

Operating MarginProfitability
42.7%10/10

Strong operational efficiency at 42.7%

Revenue GrowthGrowth
35.1%10/10

Revenue surging 35.1% year-over-year

Altman Z-ScoreHealth
3.5910/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
27.6%9/10

Every $100 of equity generates 28 in profit

HUM4 strengths · Avg: 8.5/10
Altman Z-ScoreHealth
3.9110/10

Safe zone — low bankruptcy risk

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
23.5%8/10

Revenue surging 23.5% year-over-year

Free Cash FlowQuality
$1.13B8/10

Generating 1.1B in free cash flow

Areas to Watch

ANET4 concerns · Avg: 3.3/10
PEG RatioValuation
2.184/10

Expensive relative to growth rate

Price/BookValuation
15.5x4/10

Trading at 15.5x book value

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

P/E RatioValuation
58.1x2/10

Premium valuation, high expectations priced in

HUM4 concerns · Avg: 3.3/10
PEG RatioValuation
2.154/10

Expensive relative to growth rate

Return on EquityProfitability
6.1%3/10

ROE of 6.1% — below average capital efficiency

Profit MarginProfitability
0.8%3/10

0.8% margin — thin

Operating MarginProfitability
4.7%3/10

Operating margin of 4.7%

Comparative Analysis Report

WallStSmart Research

Bull Case : ANET

The strongest argument for ANET centers on Market Cap, 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 : HUM

The strongest argument for HUM centers on Altman Z-Score, Price/Book, Revenue Growth. Revenue growth of 23.5% demonstrates continued momentum.

Bear Case : ANET

The primary concerns for ANET are PEG Ratio, Price/Book, Piotroski F-Score. A P/E of 58.1x leaves little room for execution misses.

Bear Case : HUM

The primary concerns for HUM are PEG Ratio, Return on Equity, Profit Margin. A P/E of 40.5x leaves little room for execution misses. Thin 0.8% margins leave little buffer for downturns.

Key Dynamics to Monitor

ANET carries more volatility with a beta of 1.61 — expect wider price swings.

ANET is growing revenue faster at 35.1% — 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

ANET scores higher overall (72/100 vs 52/100), backed by strong 38.3% margins and 35.1% revenue growth. HUM offers better value entry with a 23.7% margin of safety. Both earn "Strong Buy" and "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.

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Humana Inc

HEALTHCARE · HEALTHCARE PLANS · USA

Humana Inc. is a for-profit American health insurance company based in Louisville, Kentucky.

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