Here’s How Arista Networks Is a Major Beneficiary of Big Tech’s Push to Break Nvidia’s Grip

Arista Networks is presented as a major beneficiary of Big Tech’s effort to diversify away from Nvidia’s closed AI ecosystem. The article says ANET rose nearly 32% in Q2 2026 on strong networking demand and higher annual revenue guidance, and it gained another 8.31% on the day referenced. KeyBanc and Morgan Stanley both raised price targets, citing strong demand for cloud networking, XPU deployments, and AI inference workloads. Arista also launched a 1.6 Terabit switch for rack-scale AI infrastructure, reinforcing its positioning in AI data-center networking. The company’s latest earnings showed revenue up 35.1% year over year to $2.71 billion and EPS of $0.87, above estimates, while 2026 revenue outlook was raised. Despite strong fundamentals and bullish analyst sentiment, the article notes valuation is rich, with a forward P/E of 51 and forward P/S of 17.38, so upside may depend on sustained AI infrastructure spending.