WallStSmart

Arista Networks (ANET)vsTE Connectivity Ltd (TEL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

TE Connectivity Ltd generates 101% more annual revenue ($18.09B vs $9.01B). ANET leads profitability with a 39.0% profit margin vs 11.4%. TEL appears more attractively valued with a PEG of 1.15. TEL earns a higher WallStSmart Score of 74/100 (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

TEL

Strong Buy

74

out of 100

Grade: B

Growth: 7.3Profit: 7.5Value: 9.3Quality: 5.0
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
TELUndervalued (+28.7%)

Margin of Safety

+28.7%

Fair Value

$320.58

Current Price

$195.84

$124.74 discount

UndervaluedFair: $320.58Overvalued

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

TEL4 strengths · Avg: 8.3/10
Market CapQuality
$57.49B9/10

Large-cap with strong market position

Operating MarginProfitability
20.9%8/10

Strong operational efficiency at 20.9%

Revenue GrowthGrowth
21.7%8/10

Revenue surging 21.7% year-over-year

EPS GrowthGrowth
44.4%8/10

Earnings expanding 44.4% YoY

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

TEL1 concerns · Avg: 4.0/10
P/E RatioValuation
28.6x4/10

Moderate valuation

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 : TEL

The strongest argument for TEL centers on Market Cap, Operating Margin, Revenue Growth. Revenue growth of 21.7% demonstrates continued momentum. PEG of 1.15 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 : TEL

The primary concerns for TEL are P/E Ratio.

Key Dynamics to Monitor

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.

ANET generates stronger free cash flow (1.2B), providing more financial flexibility.

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

Bottom Line

TEL scores higher overall (74/100 vs 69/100) and 21.7% revenue growth. 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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TE Connectivity Ltd

TECHNOLOGY · ELECTRONIC COMPONENTS · USA

TE Connectivity is an American Swiss-domiciled technology company that designs and manufactures connectors and sensors for several industries, such as automotive, industrial equipment, data communication systems, aerospace, defense, medical, oil and gas, consumer electronics and energy.

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