Networking Equipment
All research in Networking Equipment — 2 reports.
Accton Technology is a white-box Ethernet switch ODM for cloud vendors and AI data centers, with deep roots in open networking and OCP. Revenue jumped to TWD 248.3 billion in 2025, Q1 2026 revenue rose another 64% year over year, and operating margin improved to 14.3%, but the current TTM P/E of roughly 44x, 81% Americas revenue mix, and 67% sequential inventory surge in Q1 show that valuation has already pulled forward a large amount of growth. Research rating Hold: AI networking fundamentals are very strong, but the current price already reflects high growth and rerating, leaving no margin of safety.
Arista is the leader in high-end Ethernet switching, combining the EOS software stack with an engineering reputation in cloud data centers, an asset-light model, and powerful free cash flow. At the current 156.22 dollars, the trailing P/E of 48.6x already sits above the upper bound of an optimistic intrinsic value, with high-growth expectations priced in well ahead of time. Rating Watch: a superb business whose price has run ahead of its margin of safety.