Arista Networks Stock Surges 10% on Q3 Beat & Strong Guidance

Arista Networks (NYSE:ANET) shares experienced a nearly 10% jump in pre-market trading on Tuesday after the company announced its third-quarter results and future outlook, both of which surpassed Street predictions.

For Q3, Arista reported adjusted earnings per share of $1.83, marking a significant rise from last year's $1.25 and beating the anticipated $1.58. The revenue for the same quarter totaled $1.51 billion, indicating a robust 28% growth from the previous year and exceeding the Street estimate of $1.48 billion.

Looking ahead, Arista projects its Q4 revenue to fall between $1.50 billion and $1.55 billion, which is ahead of the projected $1.47 billion. The company also forecasts an adjusted gross margin of around 63% and an operating margin close to 42%, surpassing the estimated 41.4%.