WallStSmart

Arista Networks (ANET)vsOracle Corporation (ORCL)

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Smart Verdict

WallStSmart Research — data-driven comparison

Oracle Corporation generates 581% more annual revenue ($71.78B vs $10.54B). ANET leads profitability with a 38.4% profit margin vs 26.4%. ORCL appears more attractively valued with a PEG of 0.81. ORCL earns a higher WallStSmart Score of 78/100 (B+).

ANET

Strong Buy

76

out of 100

Grade: B+

Growth: 10.0Profit: 9.5Value: 5.3Quality: 6.8
Piotroski: 2/9Altman Z: 3.59

ORCL

Strong Buy

78

out of 100

Grade: B+

Growth: 8.7Profit: 9.0Value: 5.3Quality: 3.0
Piotroski: 2/9Altman Z: 0.68
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ANETUndervalued (+70.6%)

Margin of Safety

+70.6%

Fair Value

$585.93

Current Price

$184.26

$401.67 discount

UndervaluedFair: $585.93Overvalued
ORCLSignificantly Overvalued (-17.9%)

Margin of Safety

-17.9%

Fair Value

$106.97

Current Price

$139.56

$32.59 premium

UndervaluedFair: $106.97Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ANET6 strengths · Avg: 9.8/10
Market CapQuality
$223.21B10/10

Mega-cap, among the largest globally

Profit MarginProfitability
38.4%10/10

Keeps 38 of every $100 in revenue as profit

Operating MarginProfitability
45.4%10/10

Strong operational efficiency at 45.4%

Revenue GrowthGrowth
37.7%10/10

Revenue surging 37.7% year-over-year

Altman Z-ScoreHealth
3.5910/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
27.3%9/10

Every $100 of equity generates 27 in profit

ORCL6 strengths · Avg: 9.3/10
Market CapQuality
$388.73B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
35.6%10/10

Strong operational efficiency at 35.6%

EPS GrowthGrowth
54.5%10/10

Earnings expanding 54.5% YoY

Return on EquityProfitability
28.3%9/10

Every $100 of equity generates 28 in profit

Profit MarginProfitability
26.4%9/10

Keeps 26 of every $100 in revenue as profit

PEG RatioValuation
0.818/10

Growing faster than its price suggests

Areas to Watch

ANET4 concerns · Avg: 3.3/10
PEG RatioValuation
1.524/10

Expensive relative to growth rate

Price/BookValuation
15.7x4/10

Trading at 15.7x book value

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

P/E RatioValuation
55.8x2/10

Premium valuation, high expectations priced in

ORCL4 concerns · Avg: 2.0/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Free Cash FlowQuality
$-5.40B2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
0.682/10

Distress zone — elevated risk

Debt/EquityHealth
2.341/10

Elevated debt levels

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 38.4% and operating margin at 45.4%. Revenue growth of 37.7% demonstrates continued momentum.

Bull Case : ORCL

The strongest argument for ORCL centers on Market Cap, Operating Margin, EPS Growth. Profitability is solid with margins at 26.4% and operating margin at 35.6%. Revenue growth of 29.6% demonstrates continued momentum.

Bear Case : ANET

The primary concerns for ANET are PEG Ratio, Price/Book, Piotroski F-Score. A P/E of 55.8x leaves little room for execution misses.

Bear Case : ORCL

The primary concerns for ORCL are Piotroski F-Score, Free Cash Flow, Altman Z-Score. Debt-to-equity of 2.34 is elevated, increasing financial risk.

Key Dynamics to Monitor

ORCL carries more volatility with a beta of 1.77 — expect wider price swings.

ANET is growing revenue faster at 37.7% — sustainability is the question.

ANET generates stronger free cash flow (1.1B), providing more financial flexibility.

Monitor COMPUTER HARDWARE industry trends, competitive dynamics, and regulatory changes.

Bottom Line

ORCL scores higher overall (78/100 vs 76/100), backed by strong 26.4% margins and 29.6% revenue growth. ANET offers better value entry with a 70.6% 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.

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Oracle Corporation

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Oracle is an American multinational computer technology corporation headquartered in Austin, Texas. The company was formerly headquartered in Redwood Shores, California until December 2020 when it moved its headquarters to Texas. The company sells database software and technology, cloud engineered systems, and enterprise software products, particularly its own brands of database management systems.

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