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Arista NetworksANET +5.46%97 Peter Lynch Fair Value is $79.25 as of Aug. 02, 2026, which is 5685% above its 10-year median of 1.37. GuruFocus rates ANET with a GF Score™ of 97/100 and a GF Value™ of $142.47 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 584 Hardware companies, Arista Networks ranks worse than 65.41% on this metric.
Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year. Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years. If 5-Year Growth Rate is greater than 25% a year, we use 25. If 5-Year Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.
Here, as of today, Arista Networks's PEG is 1. Arista Networks's 5-Year TTM EBITDA Growth Rate is 25.
Arista Networks's EPS without NRI for the trailing twelve months (TTM) ended in Mar. 2026 was $3.17. Therefore, the Peter Lynch Fair Value for today is $79.25.
As of today (2026-08-02), Arista Networks's share price is $180.35. Arista Networks's Peter Lynch fair value is $79.25. Therefore, Arista Networks's Price to Peter Lynch Fair Value Ratio for today is 2.28.
The historical rank and industry rank for Arista Networks's Peter Lynch Fair Value or its related term are showing as below:
ANET'
s Price-to-Peter-Lynch-Fair-Value Range Over the Past 10 Years
Min: 0.84 Med: 1.37 Max: 2.28
Current: 2.28
During the past 13 years, the highest Price to Peter Lynch Fair Value Ratio of Arista Networks was 2.28. The lowest was 0.84. And the median was 1.37.
ANET's Price-to-Peter-Lynch-Fair-Value is ranked worse than 65.41% of 584
companies
in the Hardware industry
Industry Median: 1.55
vs ANET: 2.28
Note: Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart.
Arista Networks (NYSE:ANET) Peter Lynch Fair Value Explanation
Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year.
Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years.
Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart. In Peter Lynch chart, a fixed P/E ratio of 15 is used to draw the Earnings Line. Therefore the value reached has a P/E ratio of 15. But in Peter Lynch Fair Value calculation, P/E equals to the growth rate of EBITDA per share over the past 5 years, which is 25 instead of 15 in this case.
Arista Networks's Price to Peter Lynch Fair Value Ratio for today is calculated as
Price to Peter Lynch Fair Value
=
Share Price
/
Peter Lynch Fair Value
=
180.35
/
79.25
=
2.28
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Arista Networks Peter Lynch Fair Value Related Terms
Arista Networks Peter Lynch Fair Value Historical Data
* Premium members only.
The historical data trend for Arista Networks's Peter Lynch Fair Value can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
ANET vs SNDK, STX, WDC: Peter Lynch Fair Value Comparison
For the Computer Hardware subindustry, Arista Networks's Price-to-Peter-Lynch-Fair-Value, along with its competitors' market caps and Price-to-Peter-Lynch-Fair-Value data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Arista Networks Price-to-Peter-Lynch-Fair-Value vs Hardware Industry
For the Hardware industry and Technology sector, Arista Networks's Price-to-Peter-Lynch-Fair-Value distribution charts can be found below:
* The bar in red indicates where Arista Networks's Price-to-Peter-Lynch-Fair-Value falls into.
Arista Networks's EPS without NRI for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $3.17.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
** Please be aware that the 5-Year TTM EBITDA Growth Rate is calculated based on TTM data over the last 5 years. For quarterly reported companies, the TTM data adds up the quarterly data reported by the company within the most recent 12 months. For companies that report semi-annually, annually, or do not have enough quarterly data, GuruFocus uses the annual data as the TTM data.
If 5-Year Earnings Growth Rate is greater than 25% a year, we use 25.
If 5-Year Earnings Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.
Please note that we use the 5-year average growth rate of EBITDA per share as the growth rate for non-bank companies, as EBITDA growth is subject to less manipulations than net earnings per share. For banks, we use the 5-year average growth rate of Book Value per share as the growth rate. The reason is that EBITDA is not applicable to Banks and Book value is a relative important measurement for Banks. In the calculation, PEG=1 because Peter Lynch thinks that the fair P/E ratio of the growth stock is equal to its earnings growth rate.
What does a Peter Lynch Fair Value of $79.25 mean?
Arista Networks (ANET) has a Peter Lynch Fair Value of $79.25 as of Aug. 02, 2026. Peter Lynch Fair Value is the stock value based on a company's current earnings and five-year earnings growth, assuming a PEG of one. View historical data on Arista Networks and its competitors. This is 5685% above median its historical median of 1.37. Over the past decade, Arista Networks' Peter Lynch Fair Value has ranged from 0.84 to 2.28. According to the industry distribution chart, Arista Networks ranks #382 out of 584 companies in the Hardware industry, placing it in the top 65.4%.
Is Arista Networks' Peter Lynch Fair Value too high?
Arista Networks' current Peter Lynch Fair Value of $79.25 is 5685% above median its 10-year median of 1.37. Over the past 10 years, this metric has ranged from a low of 0.84 to a high of 2.28. The Hardware industry median Peter Lynch Fair Value is 1.55. Arista Networks' value of $79.25 is 5012.9% above this industry median. Based on the distribution chart, Arista Networks ranks #382 out of 584 companies in the Hardware industry, which is below the industry midpoint. Overall, Arista Networks has a GF Score™ of 97/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Arista Networks' Peter Lynch Fair Value compare to SNDK and STX?
According to the Hardware industry distribution chart, Arista Networks ranks #382 out of 584 companies for Peter Lynch Fair Value. This places Arista Networks in the lower half of its industry. The industry median Peter Lynch Fair Value is 1.55. Arista Networks' value of $79.25 is 5012.9% above this benchmark. Historically, Arista Networks' own Peter Lynch Fair Value has ranged from 0.84 to 2.28 over the past decade. While the company's 10-year median is 1.37 vs. the industry median of 1.55, Arista Networks has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Peter Lynch Fair Value for a Hardware company?
The median Peter Lynch Fair Value among Hardware companies is 1.55, based on 584 companies in the industry. Companies in the top quartile (top 25%) have a Peter Lynch Fair Value significantly above this median, while those in the bottom quartile fall well below. However, Peter Lynch Fair Value should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Arista Networks's current Peter Lynch Fair Value of $79.25 is 5012.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Peter Lynch Fair Value mean?
A high Peter Lynch Fair Value can signal that a stock is expensive relative to its fundamentals. Peter Lynch Fair Value is the stock value based on a company's current earnings and five-year earnings growth, assuming a PEG of one. View historical data on Arista Networks and its competitors. For the Hardware industry, the median Peter Lynch Fair Value is 1.55 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Arista Networks's current Peter Lynch Fair Value is $79.25, which is 5685% above median its own 10-year median of 1.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Arista Networks stock overvalued right now?
Based on GuruFocus' analysis, Arista Networks (ANET) is currently considered Modestly Overvalued. The stock's GF Value™ is $142.47, compared to a current price of $180.35 — trading 26.6% above its estimated fair value. The current Peter Lynch Fair Value is $79.25, which is 5685% above median its 10-year median of 1.37 and 5012.9% above the Hardware industry median of 1.55. Arista Networks' overall GF Score™ is 97/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Peter Lynch Fair Value calculated?
Peter Lynch Fair Value is calculated from a company's financial statements. For Arista Networks (ANET), the current Peter Lynch Fair Value is $79.25 as of Aug. 02, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Arista Networks (ANET) Overvalued in 2026?
Based on GuruFocus' analysis, Arista Networks stock appears to be overvalued.
The current stock price of $180.35 is trading 26.6% above its estimated GF Value™ of $142.47.
GuruFocus considers Arista Networks to be Modestly Overvalued.
Key valuation signals for ANET:
Peter Lynch Fair Value: $79.25 (5685% above median its 10-year median of 1.37)
GF Value™: $142.47 vs. price of $180.35 (26.6% above fair value)
Industry Position: 5012.9% above the Hardware median (#382 of 584)
No single metric tells the full story. See the ANET stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Arista Networks is a networking equipment provider that primarily sells Ethernet switches and software to data centers. Its marquee product is its extensible operating system that runs a single image across every single one of its devices. The firm operates as one reportable segment. It has steadily gained market share since its founding in 2004, with a focus on high-speed applications. Arista counts Microsoft and Meta Platforms as its largest customers and derives roughly three-fourths of its sales from North America.
97GF Score
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