Arista Networks (Brazil) Market Value
| A1NE34 Stock | BRL 122.00 1.85 1.54% |
| Symbol | Arista |
Arista Networks 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Arista Networks' stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Arista Networks.
| 12/17/2024 |
| 03/17/2025 |
If you would invest 0.00 in Arista Networks on December 17, 2024 and sell it all today you would earn a total of 0.00 from holding Arista Networks or generate 0.0% return on investment in Arista Networks over 90 days. Arista Networks is related to or competes with Salesforce, Multilaser Industrial, Align Technology, Microchip Technology, Zoom Video, and Marfrig Global. Arista Networks, Inc. develops, markets, and sells cloud networking solutions in the Americas, Europe, the Middle East, ... More
Arista Networks Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Arista Networks' stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Arista Networks upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.05) | |||
| Maximum Drawdown | 27.49 | |||
| Value At Risk | (6.36) | |||
| Potential Upside | 6.19 |
Arista Networks Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Arista Networks' investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Arista Networks' standard deviation. In reality, there are many statistical measures that can use Arista Networks historical prices to predict the future Arista Networks' volatility.| Risk Adjusted Performance | (0.06) | |||
| Jensen Alpha | (0.36) | |||
| Total Risk Alpha | 0.2205 | |||
| Treynor Ratio | 1.94 |
Arista Networks Backtested Returns
Arista Networks secures Sharpe Ratio (or Efficiency) of -0.11, which signifies that the company had a -0.11 % return per unit of risk over the last 3 months. Arista Networks exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please confirm Arista Networks' Risk Adjusted Performance of (0.06), mean deviation of 3.08, and Standard Deviation of 4.46 to double-check the risk estimate we provide. The firm shows a Beta (market volatility) of -0.17, which signifies not very significant fluctuations relative to the market. As returns on the market increase, returns on owning Arista Networks are expected to decrease at a much lower rate. During the bear market, Arista Networks is likely to outperform the market. At this point, Arista Networks has a negative expected return of -0.48%. Please make sure to confirm Arista Networks' standard deviation, total risk alpha, maximum drawdown, as well as the relationship between the jensen alpha and treynor ratio , to decide if Arista Networks performance from the past will be repeated at some point in the near future.
Auto-correlation | -0.01 |
Very weak reverse predictability
Arista Networks has very weak reverse predictability. Overlapping area represents the amount of predictability between Arista Networks time series from 17th of December 2024 to 31st of January 2025 and 31st of January 2025 to 17th of March 2025. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Arista Networks price movement. The serial correlation of -0.01 indicates that just 1.0% of current Arista Networks price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.01 | |
| Spearman Rank Test | -0.08 | |
| Residual Average | 0.0 | |
| Price Variance | 362.53 |
Arista Networks lagged returns against current returns
Autocorrelation, which is Arista Networks stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Arista Networks' stock expected returns. We can calculate the autocorrelation of Arista Networks returns to help us make a trade decision. For example, suppose you find that Arista Networks has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Arista Networks regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Arista Networks stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Arista Networks stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Arista Networks stock over time.
Current vs Lagged Prices |
| Timeline |
Arista Networks Lagged Returns
When evaluating Arista Networks' market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Arista Networks stock have on its future price. Arista Networks autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Arista Networks autocorrelation shows the relationship between Arista Networks stock current value and its past values and can show if there is a momentum factor associated with investing in Arista Networks.
Regressed Prices |
| Timeline |
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Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.Additional Information and Resources on Investing in Arista Stock
When determining whether Arista Networks is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Arista Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Arista Networks Stock. Highlighted below are key reports to facilitate an investment decision about Arista Networks Stock:Check out Arista Networks Correlation, Arista Networks Volatility and Arista Networks Alpha and Beta module to complement your research on Arista Networks. For information on how to trade Arista Stock refer to our How to Trade Arista Stock guide.You can also try the Sectors module to list of equity sectors categorizing publicly traded companies based on their primary business activities.
Arista Networks technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.