Arista Networks Inc (ANET): A Bull Case Theory 

We came across a bullish thesis on Arista Networks Inc on techcache’s Substack by Joe Albano. In this article, we will summarize the bulls’ thesis on ANET. Arista Networks Inc’s share was trading at $130.68 as of November 28th. ANET’s trailing and forward P/E were 49.69 and 39.53 respectively according to Yahoo Finance.

Arista Networks Inc engages in the development, marketing, and sale of data-driven, client to cloud networking solutions for AI, data center, campus, and routing environments in the Americas, Europe, the Middle East, Africa, and the Asia-Pacific.  ANET enters its upcoming earnings release at a critical technical juncture, with the stock pressing against a well-defined resistance zone as it completes the upper end of a third-wave advance. This positioning, combined with elevated expectations following the company’s significant guidance raise last quarter, sets the stage for a likely short-term pullback.

While Arista continues to benefit from accelerating AI networking demand across both front-end and back-end infrastructure, the market may hesitate to reward another solid quarter if the company refrains from issuing another substantial guidance increase heading into year-end. This dynamic aligns with the stock’s technical setup, where a five-wave rally typically sees the third wave of the third wave stall near the 100% to 123.8% Fibonacci extension range before retracing toward support.

Given that shares have already reached the upper boundary of this target zone, support is expected to form closer to the 78.6% extension around $126 rather than the deeper 61.8% level. A measured three-wave pullback to this region would allow the stock to reset, establishing a durable base before resuming its broader uptrend. From there, the next move higher is projected to carry Arista toward approximately $193 during wave circle v of 3, supported by renewed momentum and continued strength in AI-driven demand.

Ultimately, the full completion of the multi-wave structure points toward a target range of $227 to $235, where multiple Fibonacci levels converge. Reaching this zone will likely require two additional corrective phases—circle iv of 3 and then wave 4—before the stock completes its next major leg higher.

Previously we covered a bullish thesis on Arista Networks Inc by Charly AI in April 2025, which highlighted strong AI-driven networking growth, solid financials, and long-term resilience despite a major pullback. The company’s stock price has appreciated by 88% since our coverage. This is because the thesis played out. The thesis still stands as structural AI demand remains strong. Joe Albano shares a similar view but emphasizes technical resistance and a near-term pullback.

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Disclosure: None.