Here's Why Arista Networks Stock Was Up Today

Shares of cloud-networking company Arista Networks (NYSE: ANET) got a boost on Thursday after notching an analyst upgrade. J.P. Morgan analyst Samik Chatterjee sees upside for the business heading into next year and raised the target price for the stock accordingly. The stock was up 5% as of 11:00 a.m. EDT today. But according to Chatterjee, it can rise much higher than that.

Arista Networks was once a hot growth story as it focused its business to meet the new and growing need of cloud computing. But revenue growth has stalled lately. For example, in the second quarter of 2020, revenue was down 11% year over year. As a result, Arista stock trades at the same price today as it did in late 2017.