Coatue’s 35 Most Important AI Stocks

Page 19 of 35

17. Arista Networks, Inc. (NYSE:ANET)

Number of Hedge Fund Holders: 70

Arista Networks, Inc. (NYSE:ANET) engages in the development, marketing, and sale of data-driven, client-to-cloud networking solutions for data center, campus, and routing environments. The third quarter report for 2024 shows revenue of $1.811 billion, an increase of 7.1% compared to the second quarter of 2024 and an increase of 20% from the third quarter of the prior year. GAAP gross margin of 64.2%, compared to GAAP gross margin of 64.9% in the second quarter of 2024 and 62.4% in the third quarter of the prior year. This reflects healthy business growth with consistent profitability, signaling that the company is performing well in both revenue generation and cost management. In addition, investors should pay attention to the Stargate AI project, a $500 billion joint venture focusing on AI infrastructure that would benefit networking companies like Arista Networks.

Page 19 of 35