WallStSmart

Arista Networks (ANET)vsQualcomm Incorporated (QCOM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Qualcomm Incorporated generates 398% more annual revenue ($44.87B vs $9.01B). ANET leads profitability with a 39.0% profit margin vs 12.0%. QCOM appears more attractively valued with a PEG of 0.56. ANET earns a higher WallStSmart Score of 69/100 (B-).

ANET

Strong Buy

69

out of 100

Grade: B-

Growth: 8.7Profit: 9.5Value: 7.3Quality: 7.3
Piotroski: 2/9Altman Z: 3.53

QCOM

Buy

61

out of 100

Grade: C+

Growth: 4.7Profit: 8.0Value: 7.3Quality: 8.5
Piotroski: 4/9Altman Z: 3.17
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ANETSignificantly Overvalued (-28.9%)

Margin of Safety

-28.9%

Fair Value

$103.11

Current Price

$131.22

$28.11 premium

UndervaluedFair: $103.11Overvalued
QCOMSignificantly Overvalued (-285.1%)

Margin of Safety

-285.1%

Fair Value

$33.73

Current Price

$129.90

$96.17 premium

UndervaluedFair: $33.73Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ANET6 strengths · Avg: 9.5/10
Return on EquityProfitability
31.4%10/10

Every $100 of equity generates 31 in profit

Profit MarginProfitability
39.0%10/10

Keeps 39 of every $100 in revenue as profit

Operating MarginProfitability
41.5%10/10

Strong operational efficiency at 41.5%

Altman Z-ScoreHealth
3.5310/10

Safe zone — low bankruptcy risk

Market CapQuality
$165.24B9/10

Large-cap with strong market position

Revenue GrowthGrowth
28.9%8/10

Revenue surging 28.9% year-over-year

QCOM6 strengths · Avg: 8.7/10
Altman Z-ScoreHealth
3.1710/10

Safe zone — low bankruptcy risk

Market CapQuality
$138.74B9/10

Large-cap with strong market position

Return on EquityProfitability
21.5%9/10

Every $100 of equity generates 22 in profit

PEG RatioValuation
0.568/10

Growing faster than its price suggests

Operating MarginProfitability
27.5%8/10

Strong operational efficiency at 27.5%

Free Cash FlowQuality
$4.42B8/10

Generating 4.4B in free cash flow

Areas to Watch

ANET4 concerns · Avg: 3.3/10
PEG RatioValuation
1.854/10

Expensive relative to growth rate

Price/BookValuation
13.3x4/10

Trading at 13.3x book value

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

P/E RatioValuation
47.5x2/10

Premium valuation, high expectations priced in

QCOM2 concerns · Avg: 3.0/10
P/E RatioValuation
26.2x4/10

Moderate valuation

EPS GrowthGrowth
-1.8%2/10

Earnings declined 1.8%

Comparative Analysis Report

WallStSmart Research

Bull 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 : QCOM

The strongest argument for QCOM centers on Altman Z-Score, Market Cap, Return on Equity. PEG of 0.56 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 47.5x leaves little room for execution misses.

Bear Case : QCOM

The primary concerns for QCOM are P/E Ratio, EPS Growth.

Key Dynamics to Monitor

ANET profiles as a growth stock while QCOM is a value play — different risk/reward profiles.

ANET carries more volatility with a beta of 1.46 — expect wider price swings.

ANET is growing revenue faster at 28.9% — sustainability is the question.

QCOM generates stronger free cash flow (4.4B), providing more financial flexibility.

Bottom Line

ANET scores higher overall (69/100 vs 61/100), backed by strong 39.0% margins and 28.9% revenue growth. 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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Qualcomm Incorporated

TECHNOLOGY · SEMICONDUCTORS · USA

Qualcomm is an American multinational corporation headquartered in San Diego, California, and incorporated in Delaware. It creates semiconductors, software, and services related to wireless technology. It owns patents critical to the 5G, 4G, CDMA2000, TD-SCDMA and WCDMA mobile communications standards.

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