Arista Networks Soars on Earnings Beat -- Is This Growth Stock a Buy?
Cloud networking specialist Arista Networks (NYSE: ANET) announced second-quarter earnings after the market closed Monday, and the results dazzled Wall Street. Despite supply chain disruptions and rising costs, revenue soared 49% to $1.1 billion and earnings rose 52% to $0.94 per diluted share. Those numbers beat analysts' consensus estimates on the top and bottom lines.
Arista also offered guidance that exceeded expectations. In the third quarter, the company expects revenue to grow 37% to $1 billion, while its non-GAAP (adjusted) operating margin remains flat at 39%, which is particularly impressive in light of the inflationary environment. That news sent shares up as much as 7% after hours.
After that impressive performance, is this growth stock a buy?
Source Fool.com
