Arista Networks (ANET)
Arista Networks (formerly Arastra) is an American computer networking company headquartered in Santa Clara, California. The company designs and sells multilayer network switches to deliver software-defined networking (SDN) solutions for large datacenter, cloud computing, high-performance computing, and high-frequency trading environments.
Stock Price Trends
Stock price trends estimated using linear regression.
Key facts
- The primary trend is increasing.
- The growth rate of the primary trend is 91.83% per annum.
- ANET price at the close of November 20, 2024 was $381.71 and was inside the primary price channel.
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 37.48% per annum.
- ANET price at the close of November 20, 2024 was inside the secondary price channel.
- The direction of the secondary trend is opposite to the direction of the primary trend. This indicates a possible reversal in the direction of the primary trend.
Linear Regression Model
Model equation:
Yi = α + β × Xi + εi
Top border of price channel:
Exp(Yi) = Exp(a + b × Xi + 2 × s)
Bottom border of price channel:
Exp(Yi) = Exp(a + b × Xi – 2 × s)
where:
i - observation number
Yi - natural logarithm of ANET price
Xi - time index, 1 day interval
σ - standard deviation of εi
a - estimator of α
b - estimator of β
s - estimator of σ
Exp() - calculates the exponent of e
Primary Trend
Start date: December 15, 2022
End date: November 14, 2024
a = 2.7770
b = 0.0018
s = 0.0678
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0018) – 1
= 91.83%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0678) – 1
= 31.14%
December 15, 2022 calculations
Top border of price channel:
Exp(Y772)
= Exp(a + b × X772 + 2 × s)
= Exp(a + b × 1,120 + 2 × s)
= Exp(2.7770 + 0.0018 × 1,120 + 2 × 0.0678)
= Exp(4.9114)
= $135.83
Bottom border of price channel:
Exp(Y772)
= Exp(a + b × X772 – 2 × s)
= Exp(a + b × 1,120 – 2 × s)
= Exp(2.7770 + 0.0018 × 1,120 – 2 × 0.0678)
= Exp(4.6403)
= $103.58
November 14, 2024 calculations
Top border of price channel:
Exp(Y1,253)
= Exp(a + b × X1,253 + 2 × s)
= Exp(a + b × 1,820 + 2 × s)
= Exp(2.7770 + 0.0018 × 1,820 + 2 × 0.0678)
= Exp(6.1607)
= $473.77
Bottom border of price channel:
Exp(Y1,253)
= Exp(a + b × X1,253 – 2 × s)
= Exp(a + b × 1,820 – 2 × s)
= Exp(2.7770 + 0.0018 × 1,820 – 2 × 0.0678)
= Exp(5.8896)
= $361.27
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 91.83% per annum.
- ANET price at the close of November 20, 2024 was $381.71 and was inside the primary price channel.
Secondary Trend
Start date: October 8, 2024
End date: November 20, 2024
a = 8.3082
b = -0.0013
s = 0.0284
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × -0.0013) – 1
= -37.48%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0284) – 1
= 12.02%
October 8, 2024 calculations
Top border of price channel:
Exp(Y1,226)
= Exp(a + b × X1,226 + 2 × s)
= Exp(a + b × 1,783 + 2 × s)
= Exp(8.3082 + -0.0013 × 1,783 + 2 × 0.0284)
= Exp(6.0708)
= $433.04
Bottom border of price channel:
Exp(Y1,226)
= Exp(a + b × X1,226 – 2 × s)
= Exp(a + b × 1,783 – 2 × s)
= Exp(8.3082 + -0.0013 × 1,783 – 2 × 0.0284)
= Exp(5.9573)
= $386.56
November 20, 2024 calculations
Top border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 + 2 × s)
= Exp(a + b × 1,826 + 2 × s)
= Exp(8.3082 + -0.0013 × 1,826 + 2 × 0.0284)
= Exp(6.0155)
= $409.73
Bottom border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(8.3082 + -0.0013 × 1,826 – 2 × 0.0284)
= Exp(5.9020)
= $365.75
Description
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 37.48% per annum.
- ANET price at the close of November 20, 2024 was inside the secondary price channel.