Arista Networks (ANET)vsNetflix Inc (NFLX)
ANET
Arista Networks
$166.15
+2.87%
TECHNOLOGY · Cap: $212.91B
NFLX
Netflix Inc
$82.18
+0.55%
COMMUNICATION SERVICES · Cap: $343.90B
Smart Verdict
WallStSmart Research — data-driven comparison
Netflix Inc generates 383% more annual revenue ($46.89B vs $9.71B). ANET leads profitability with a 38.3% profit margin vs 28.5%. NFLX appears more attractively valued with a PEG of 1.60. NFLX earns a higher WallStSmart Score of 75/100 (B).
ANET
Strong Buy72
out of 100
Grade: B
NFLX
Strong Buy75
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+63.9%
Fair Value
$465.25
Current Price
$166.15
$299.10 discount
Margin of Safety
-45.8%
Fair Value
$53.99
Current Price
$82.18
$28.19 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
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
Every $100 of equity generates 28 in profit
Mega-cap, among the largest globally
Every $100 of equity generates 43 in profit
Strong operational efficiency at 32.3%
Earnings expanding 86.4% YoY
Safe zone — low bankruptcy risk
Keeps 29 of every $100 in revenue as profit
Areas to Watch
Expensive relative to growth rate
Trading at 15.5x book value
Weak financial health signals
Premium valuation, high expectations priced in
Expensive relative to growth rate
Moderate valuation
Trading at 11.1x book value
Comparative Analysis Report
WallStSmart ResearchBull 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 : NFLX
The strongest argument for NFLX centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 28.5% and operating margin at 32.3%. Revenue growth of 16.2% 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 : NFLX
The primary concerns for NFLX are PEG Ratio, P/E Ratio, Price/Book.
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.
NFLX generates stronger free cash flow (5.1B), providing more financial flexibility.
Monitor COMPUTER HARDWARE industry trends, competitive dynamics, and regulatory changes.
Bottom Line
NFLX scores higher overall (75/100 vs 72/100), backed by strong 28.5% margins and 16.2% revenue growth. ANET offers better value entry with a 63.9% 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 →Netflix Inc
COMMUNICATION SERVICES · ENTERTAINMENT · USA
Netflix, Inc. is an American over-the-top content platform and production company headquartered in Los Gatos, California. Netflix was founded in 1997 by Reed Hastings and Marc Randolph in Scotts Valley, California. The company's primary business is a subscription-based streaming service offering online streaming from a library of films and television series, including those produced in-house.
Visit Website →Compare with Other COMPUTER HARDWARE Stocks
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