ADBE vs. ANET: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ADBE and ANET, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | ADBE | ANET |
|---|---|---|
| Company Name | Adobe Inc. | Arista Networks Inc |
| Country | United States | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry | Software | Communications Equipment |
| Market Capitalization | 146.00 billion USD | 197.78 billion USD |
| Exchange | NasdaqGS | NYSE |
| Listing Date | August 13, 1986 | June 6, 2014 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of ADBE and ANET by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.
Historical Performance at a Glance
| Symbol | ADBE | ANET |
|---|---|---|
| 5-Day Price Return | -0.77% | 8.93% |
| 13-Week Price Return | -6.59% | 48.06% |
| 26-Week Price Return | -5.03% | 120.79% |
| 52-Week Price Return | -28.43% | 60.34% |
| Month-to-Date Return | -1.13% | 8.00% |
| Year-to-Date Return | -21.57% | 42.37% |
| 10-Day Avg. Volume | 4.13M | 7.36M |
| 3-Month Avg. Volume | 4.31M | 9.31M |
| 3-Month Volatility | 24.53% | 51.95% |
| Beta | 1.55 | 1.39 |
Profitability
Return on Equity (TTM)
ADBE
55.19%
Software Industry
- Max
- 66.28%
- Q3
- 21.28%
- Median
- 9.33%
- Q1
- -8.77%
- Min
- -48.16%
In the upper quartile for the Software industry, ADBE’s Return on Equity of 55.19% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
ANET
32.30%
Communications Equipment Industry
- Max
- 32.30%
- Q3
- 20.90%
- Median
- 9.10%
- Q1
- 4.29%
- Min
- -13.50%
In the upper quartile for the Communications Equipment industry, ANET’s Return on Equity of 32.30% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Net Profit Margin (TTM)
ADBE
30.01%
Software Industry
- Max
- 51.92%
- Q3
- 19.23%
- Median
- 6.98%
- Q1
- -7.14%
- Min
- -41.00%
A Net Profit Margin of 30.01% places ADBE in the upper quartile for the Software industry, signifying strong profitability and more effective cost management than most of its peers.
ANET
40.89%
Communications Equipment Industry
- Max
- 23.65%
- Q3
- 12.56%
- Median
- 5.62%
- Q1
- 2.50%
- Min
- -3.09%
ANET’s Net Profit Margin of 40.89% is exceptionally high, placing it well beyond the typical range for the Communications Equipment industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.
Operating Profit Margin (TTM)
ADBE
36.25%
Software Industry
- Max
- 60.40%
- Q3
- 21.25%
- Median
- 9.90%
- Q1
- -4.97%
- Min
- -43.50%
An Operating Profit Margin of 36.25% places ADBE in the upper quartile for the Software industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
ANET
43.14%
Communications Equipment Industry
- Max
- 25.23%
- Q3
- 13.72%
- Median
- 6.44%
- Q1
- 3.00%
- Min
- -10.95%
ANET’s Operating Profit Margin of 43.14% is exceptionally high, placing it well above the typical range for the Communications Equipment industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.
Profitability at a Glance
| Symbol | ADBE | ANET |
|---|---|---|
| Return on Equity (TTM) | 55.19% | 32.30% |
| Return on Assets (TTM) | 23.78% | 22.45% |
| Net Profit Margin (TTM) | 30.01% | 40.89% |
| Operating Profit Margin (TTM) | 36.25% | 43.14% |
| Gross Profit Margin (TTM) | 89.14% | 64.24% |
Financial Strength
Current Ratio (MRQ)
ADBE
1.02
Software Industry
- Max
- 4.29
- Q3
- 2.37
- Median
- 1.40
- Q1
- 1.03
- Min
- 0.25
ADBE’s Current Ratio of 1.02 falls into the lower quartile for the Software industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
ANET
3.33
Communications Equipment Industry
- Max
- 3.33
- Q3
- 2.13
- Median
- 1.55
- Q1
- 1.15
- Min
- 0.91
ANET’s Current Ratio of 3.33 is in the upper quartile for the Communications Equipment industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.
Debt-to-Equity Ratio (MRQ)
ADBE
0.53
Software Industry
- Max
- 2.16
- Q3
- 0.86
- Median
- 0.31
- Q1
- 0.00
- Min
- 0.00
ADBE’s Debt-to-Equity Ratio of 0.53 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
ANET
0.00
Communications Equipment Industry
- Max
- 1.44
- Q3
- 0.86
- Median
- 0.53
- Q1
- 0.22
- Min
- 0.00
Falling into the lower quartile for the Communications Equipment industry, ANET’s Debt-to-Equity Ratio of 0.00 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
Interest Coverage Ratio (TTM)
ADBE
67.02
Software Industry
- Max
- 89.65
- Q3
- 32.64
- Median
- 1.00
- Q1
- -9.84
- Min
- -71.23
ADBE’s Interest Coverage Ratio of 67.02 is in the upper quartile for the Software industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
ANET
171.78
Communications Equipment Industry
- Max
- 55.49
- Q3
- 34.19
- Median
- 7.59
- Q1
- 3.73
- Min
- -9.94
With an Interest Coverage Ratio of 171.78, ANET demonstrates a superior capacity to service its debt, placing it well above the typical range for the Communications Equipment industry. This stems from either robust earnings or a conservative debt load.
Financial Strength at a Glance
| Symbol | ADBE | ANET |
|---|---|---|
| Current Ratio (MRQ) | 1.02 | 3.33 |
| Quick Ratio (MRQ) | 0.87 | 2.58 |
| Debt-to-Equity Ratio (MRQ) | 0.53 | 0.00 |
| Interest Coverage Ratio (TTM) | 67.02 | 171.78 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
ADBE
0.00%
Software Industry
- Max
- 0.22%
- Q3
- 0.11%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ADBE currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
ANET
0.00%
Communications Equipment Industry
- Max
- 8.13%
- Q3
- 3.29%
- Median
- 0.94%
- Q1
- 0.00%
- Min
- 0.00%
ANET currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
Dividend Payout Ratio (TTM)
ADBE
0.00%
Software Industry
- Max
- 3.29%
- Q3
- 2.41%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ADBE has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
ANET
0.00%
Communications Equipment Industry
- Max
- 111.16%
- Q3
- 70.91%
- Median
- 30.78%
- Q1
- 0.00%
- Min
- 0.00%
ANET has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
Dividend at a Glance
| Symbol | ADBE | ANET |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
Price-to-Earnings Ratio (TTM)
ADBE
20.96
Software Industry
- Max
- 145.74
- Q3
- 94.88
- Median
- 45.35
- Q1
- 26.66
- Min
- 8.80
In the lower quartile for the Software industry, ADBE’s P/E Ratio of 20.96 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.
ANET
56.16
Communications Equipment Industry
- Max
- 103.74
- Q3
- 61.65
- Median
- 26.20
- Q1
- 18.12
- Min
- 4.19
ANET’s P/E Ratio of 56.16 is within the middle range for the Communications Equipment industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Price-to-Sales Ratio (TTM)
ADBE
6.29
Software Industry
- Max
- 25.67
- Q3
- 13.68
- Median
- 8.28
- Q1
- 4.95
- Min
- 0.90
ADBE’s P/S Ratio of 6.29 aligns with the market consensus for the Software industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
ANET
22.97
Communications Equipment Industry
- Max
- 6.86
- Q3
- 6.24
- Median
- 2.44
- Q1
- 1.02
- Min
- 0.48
With a P/S Ratio of 22.97, ANET trades at a valuation that eclipses even the highest in the Communications Equipment industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
Price-to-Book Ratio (MRQ)
ADBE
12.86
Software Industry
- Max
- 30.67
- Q3
- 14.92
- Median
- 8.52
- Q1
- 3.89
- Min
- 0.38
ADBE’s P/B Ratio of 12.86 is within the conventional range for the Software industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
ANET
11.79
Communications Equipment Industry
- Max
- 6.28
- Q3
- 5.73
- Median
- 3.32
- Q1
- 2.02
- Min
- 0.42
At 11.79, ANET’s P/B Ratio is at an extreme premium to the Communications Equipment industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
Valuation at a Glance
| Symbol | ADBE | ANET |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 20.96 | 56.16 |
| Price-to-Sales Ratio (TTM) | 6.29 | 22.97 |
| Price-to-Book Ratio (MRQ) | 12.86 | 11.79 |
| Price-to-Free Cash Flow Ratio (TTM) | 15.19 | 45.94 |