Here's How Much a $1000 Investment in Arista Networks Made 10 Years Ago Would Be Worth Today

For most investors, how much a stock's price changes over time is important. This factor can impact your investment portfolio as well as help you compare investment results across sectors and industries.The fear of missing out, or FOMO, also plays a factor in investing, especially with particular tech giants, as well as popular consumer-facing stocks.What if you'd invested in Arista Networks (ANET) ten years ago? It may not have been easy to hold on to ANET for all that time, but if you did, how much would your investment be worth today?Arista Networks' Business In-DepthWith that in mind, let's take a look at Arista Networks' main business drivers. Santa Clara, CA-based Arista Networks, Inc. is engaged in providing cloud networking solutions for data centers and cloud computing environments. The company offers 10/25/40/50/100 Gigabit Ethernet switches and routers optimized for next generation data center networks.Arista uses multiple silicon architectures across its products. At the core of the company’s cloud networking solutions is the Linux-based Extensible Operating System (EOS), which was architected to be fully programmable and highly modular.EOS supports leading cloud and virtualization solutions, including Microsoft System Center, OpenStack and other cloud management frameworks. The company co-authored the Virtual Extensible LAN (VXLAN) protocol specification with VMware and was the first to demonstrate VXLAN integration. It has now expanded VXLAN routing and integration.In 2015, Arista introduced CloudVision, a network-wide approach for workload orchestration and workflow automation delivering a turnkey solution for cloud networking. In 2019, Arista introduced 10 new 400G platforms. In the Leaf/Spine High Network Radix category, it now offers two new fixed 32 port 400G switches and a 128 port 100G/32 port 400G modular switch. For the Universal Leaf and Spine category of switching, the company introduced R3 series 100G and 400G products supporting up to 2.5M routes on its 7280R3 series fixed and 7500R3 series modular platforms.Arista introduced a modular family called the 7800R3, a high density 100G and 400G platform supporting up to 460 Tbps of system throughput. Also, it launched the 720XP Series of fixed Power over Ethernet (PoE) leaf switches with 60W PoE, enabling it to offer a complete end-to-end solution for cognitive campus Ethernet as well as the introduction of WiFi-6 wireless Access Points (APs).The company serves five verticals namely – cloud titans (customers that deploy more than one million servers), cloud specialty providers, service providers, financial services and rest of enterprise. Arista’s customers include six of the largest cloud service providers based on annual revenues. In 2024, total revenues were $7 billion.Bottom LinePutting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Arista Networks, if you bought shares a decade ago, you're likely feeling really good about your investment today.A $1000 investment made in June 2015 would be worth $19,336.58, or a gain of 1,833.66%, as of June 30, 2025, according to our calculations. This return excludes dividends but includes price appreciation.In comparison, the S&P 500 gained 193.75% and the price of gold went up 168.06% over the same time frame.Going forward, analysts are expecting more upside for ANET. Arista is benefiting from positive demand trends owing to its strong product portfolio, which is highly scalable, programmable and provides data-driven automation, analytics and support services. Its cloud networking solutions provide predictable performance and programmability, enabling seamless integration with third-party applications for network management, automation and orchestration. The growing demand for 200- and 400-gig high-performance switching products augurs well for long-term growth. Improved supply chain management is a positive However, Arista faces stiff competition in cloud networking solutions, particularly in the 10-gigabit Ethernet and above. Rise in headcount, new product introduction costs and higher variable compensation expenditures are straining margins. Its high customer concentration is a concern. The stock is up 14.72% over the past four weeks, and no earnings estimate has gone lower in the past two months, compared to 7 higher, for fiscal 2025. The consensus estimate has moved up as well.Zacks Names #1 Semiconductor StockIt's only 1/9,000th the size of NVIDIA which skyrocketed more than +800% since we recommended it. NVIDIA is still strong, but our new top chip stock has much more room to boom.With strong earnings growth and an expanding customer base, it's positioned to feed the rampant demand for Artificial Intelligence, Machine Learning, and Internet of Things. Global semiconductor manufacturing is projected to explode from $452 billion in 2021 to $803 billion by 2028.See This Stock Now for Free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Arista Networks, Inc. (ANET): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks