Cisco Systems (CSCO) & Arista Networks (ANET): Cisco Just Beat Every Estimate. Why Did the Stock Still Drop 8%?

Kelly Bodnar Battles, a director at Arista Networks, sold 422 shares of the company's common stock on August 21, 2026. The sale, conducted under a pre-established Rule 10b5-1 trading plan, amounted to $79,057, with the price varying between $184.7679 and $188.692 per share. After the transactions, Ms. Battles owned 10,194 shares of Arista Networks common stock.

Arista Networks' stock has shown impressive performance, with a year-to-date return of 46% and a six-month gain of 47%. However, according to InvestingPro's analysis, the stock currently appears overvalued relative to its Fair Value. For those interested in a more comprehensive assessment, InvestingPro provides detailed Pro Research Reports on Arista Networks and over 1,400 other US equities.

Recently, Arista Networks reported solid second-quarter 2026 results, exceeding market expectations. The company achieved revenue of $3.04 billion, surpassing the consensus estimate of $2.83 billion. Earnings per share also surpassed forecasts, reaching $1.02 compared to the expected $0.88. In response to these strong figures, several analysts have raised their price targets for the stock.

UBS increased its target to $259, TD Cowen adjusted its target to $250, BofA Securities set a new target of $240, and Evercore ISI raised its target to $250 as well.

These developments indicate a positive outlook for Arista Networks, with analysts agreeing on the company's strong performance and growth prospects. The insider sale by Ms. Battles and the company's recent financial success reflect the ongoing confidence in Arista Networks' position in the market.