ANET vs. ERIC: Arista Networks vs. Telefonaktiebolaget LM Ericsson Stock Comparison
How do Arista Networks (ANET) and Telefonaktiebolaget LM Ericsson (ERIC) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.
Company Profile
Arista Networks (ANET) and Telefonaktiebolaget LM Ericsson (ERIC) are both classified in the Communications Equipment sub-industry within the broader Communications Equipment industry, placing them in the closest GICS peer bucket.
Arista Networks (ANET) trades as ordinary local shares, while Telefonaktiebolaget LM Ericsson (ERIC) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.
| Profile Item | ANET | ERIC |
|---|---|---|
| Name | Arista Networks Inc. | Telefonaktiebolaget LM Ericsson Sponsored ADR |
| Country/Region | United States | Sweden |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry Group | Technology Hardware & Equipment | Technology Hardware & Equipment |
| GICS Industry | Communications Equipment | Communications Equipment |
| GICS Sub-Industry | Communications Equipment | Communications Equipment |
| Market Capitalization | 215.79 billion USD | 33.25 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | Nasdaq |
| Listing Date | June 6, 2014 | August 24, 1981 |
| Security Type | Common Stock | ADR |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | ANET | ERIC |
|---|---|---|
| Total Return (1Y) | 38.40% | 11.58% |
| Total Return (3Y, Annualized) | 52.15% | 36.47% |
| Total Return (5Y, Annualized) | 41.19% | 2.71% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | ANET | ERIC |
|---|---|---|
| Volatility (1Y, Annualized) | 56.66% | 36.32% |
| Beta (5Y) | 1.60 | 0.96 |
| Max Drawdown (5Y) | -50.42% | -62.81% |
| Avg. Volume (3M) | 6.09M | 9.73M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | ANET | ERIC |
|---|---|---|
| Sharpe Ratio (1Y) | 0.60 | 0.20 |
| Sortino Ratio (1Y) | 0.87 | 0.29 |
Profitability
ROE (TTM)
Arista Networks (ANET) at 33.52% sits in the top ROE quartile, while Telefonaktiebolaget LM Ericsson (ERIC) at 18.09% is closer to the peer norm — stronger capital efficiency for ANET.
ANET
Technology Hardware & Equipment industry group
33.52%
- Max
- 42.47%
- ANET
- 33.52%
- Q3
- 19.13%
- Median
- 11.00%
- Q1
- 1.63%
- Min
- -20.62%
ERIC
Technology Hardware & Equipment industry group
18.09%
- Max
- 42.47%
- Q3
- 19.13%
- ERIC
- 18.09%
- Median
- 11.00%
- Q1
- 1.63%
- Min
- -20.62%
Net Margin (TTM)
Arista Networks (ANET) at 39.97% converts revenue to bottom-line profit above its industry’s benchmark range, while Telefonaktiebolaget LM Ericsson (ERIC) at 8.36% keeps roughly the typical share for its industry.
ANET
Technology Hardware & Equipment industry group
39.97%
- ANET
- 39.97%
- Max
- 27.60%
- Q3
- 11.66%
- Median
- 4.08%
- Q1
- 0.00%
- Min
- -11.02%
ERIC
Technology Hardware & Equipment industry group
8.36%
- Max
- 27.60%
- Q3
- 11.66%
- ERIC
- 8.36%
- Median
- 4.08%
- Q1
- 0.00%
- Min
- -11.02%
Operating Margin (TTM)
Arista Networks (ANET) at 44.90% runs an above-range operating margin, while Telefonaktiebolaget LM Ericsson (ERIC) at 0.00% sits in the bottom quartile — a wide gap in core operating efficiency before financing and tax.
ANET
Technology Hardware & Equipment industry group
44.90%
- ANET
- 44.90%
- Max
- 36.27%
- Q3
- 18.36%
- Median
- 8.84%
- Q1
- 1.46%
- Min
- -21.39%
ERIC
Technology Hardware & Equipment industry group
0.00%
- Max
- 36.27%
- Q3
- 18.36%
- Median
- 8.84%
- Q1
- 1.46%
- ERIC
- 0.00%
- Min
- -21.39%
Profitability Metrics
| Metric | ANET | ERIC |
|---|---|---|
| ROE (TTM) | 33.52% | 18.09% |
| ROA (TTM) | 15.04% | 7.07% |
| Net Margin (TTM) | 39.97% | 8.36% |
| Operating Margin (TTM) | 44.90% | 0.00% |
| Gross Margin (TTM) | 62.88% | 48.01% |
Growth
Revenue Growth
Arista Networks (ANET) at 28.60% sits in the top revenue growth quartile, while Telefonaktiebolaget LM Ericsson (ERIC) at -4.52% is in the bottom quartile, showing a clear gap in revenue momentum.
EPS Growth
Telefonaktiebolaget LM Ericsson (ERIC) at 85,000.00% clears its industry range for EPS growth, a much stronger earnings trajectory than Arista Networks (ANET) at 23.32%, which is closer to a typical peer reading.
Growth Metrics
| Metric | ANET | ERIC |
|---|---|---|
| Revenue Growth (YoY) | 28.60% | -4.52% |
| Revenue Growth (3Y CAGR) | 27.15% | -4.48% |
| EPS Growth (YoY) | 23.32% | 85,000.00% |
| EPS Growth (3Y CAGR) | 37.08% | 14.83% |
Financial Strength
Current Ratio (MRQ)
Arista Networks (ANET) at 3.29 carries current ratio above its industry’s typical mid-range, while Telefonaktiebolaget LM Ericsson (ERIC) at 1.16 runs in the tighter-liquidity quartile — different working-capital profiles, both worth examining.
ANET
Technology Hardware & Equipment industry group
3.29
- Max
- 5.34
- ANET
- 3.29
- Q3
- 3.02
- Median
- 1.95
- Q1
- 1.32
- Min
- 0.17
ERIC
Technology Hardware & Equipment industry group
1.16
- Max
- 5.34
- Q3
- 3.02
- Median
- 1.95
- Q1
- 1.32
- ERIC
- 1.16
- Min
- 0.17
Debt / Equity (MRQ)
Only one side’s leverage can be read here: Telefonaktiebolaget LM Ericsson (ERIC) carries debt-to-equity ratio of 0.41 against its industry range, while Arista Networks (ANET) reports no figure this period.
ANET
Technology Hardware & Equipment industry group
--
- Max
- 1.76
- Q3
- 0.78
- Median
- 0.24
- Q1
- 0.04
- Min
- 0.01
- ANET
- --
ERIC
Technology Hardware & Equipment industry group
0.41
- Max
- 1.76
- Q3
- 0.78
- ERIC
- 0.41
- Median
- 0.24
- Q1
- 0.04
- Min
- 0.01
Financial Strength Metrics
| Metric | ANET | ERIC |
|---|---|---|
| Current Ratio (MRQ) | 3.29 | 1.16 |
| Debt / Equity (MRQ) | -- | 0.41 |
| Net Debt / EBITDA | -2.71 | -- |
Dividends
Dividend Yield (TTM)
Neither Arista Networks (ANET) nor Telefonaktiebolaget LM Ericsson (ERIC) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.
ANET
Technology Hardware & Equipment industry group
0.00%
- Max
- 0.73%
- Q3
- 0.31%
- ANET
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ERIC
Technology Hardware & Equipment industry group
0.00%
- Max
- 0.73%
- Q3
- 0.31%
- ERIC
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Arista Networks (ANET) pays no dividend (payout 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Telefonaktiebolaget LM Ericsson (ERIC) reports a payout of 51.66%, ranking against industry peers normally.
ANET
Technology Hardware & Equipment industry group
0.00%
- Max
- 32.27%
- Q3
- 14.48%
- ANET
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
ERIC
Technology Hardware & Equipment industry group
51.66%
- ERIC
- 51.66%
- Max
- 32.27%
- Q3
- 14.48%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | ANET | ERIC |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 51.66% |
Valuation
P/E Ratio (TTM)
Telefonaktiebolaget LM Ericsson (ERIC) at 16.55 sits in the cheaper P/E ratio quartile, while Arista Networks (ANET) at 45.79 sits in the richer quartile — a clear split in what investors pay for each dollar of trailing earnings.
ANET
Technology Hardware & Equipment industry group
45.79
- Max
- 69.48
- ANET
- 45.79
- Q3
- 41.02
- Median
- 26.39
- Q1
- 19.36
- Min
- 6.07
ERIC
Technology Hardware & Equipment industry group
16.55
- Max
- 69.48
- Q3
- 41.02
- Median
- 26.39
- Q1
- 19.36
- ERIC
- 16.55
- Min
- 6.07
P/S Ratio (TTM)
A sales-based read is only available for Arista Networks (ANET), whose P/S ratio of 18.15 ranks against industry peers; Telefonaktiebolaget LM Ericsson (ERIC) reports no figure this period.
ANET
Technology Hardware & Equipment industry group
18.15
- ANET
- 18.15
- Max
- 11.30
- Q3
- 5.82
- Median
- 2.56
- Q1
- 1.05
- Min
- 0.00
ERIC
Technology Hardware & Equipment industry group
--
- Max
- 11.30
- Q3
- 5.82
- Median
- 2.56
- Q1
- 1.05
- Min
- 0.00
- ERIC
- --
P/B Ratio (MRQ)
Telefonaktiebolaget LM Ericsson (ERIC) at 0.33 sits in the lower P/B ratio quartile relative to book while Arista Networks (ANET) at 13.12 prices above its industry range — a wide valuation gap against assets.
ANET
Technology Hardware & Equipment industry group
13.12
- ANET
- 13.12
- Max
- 10.75
- Q3
- 5.52
- Median
- 3.17
- Q1
- 1.79
- Min
- 0.33
ERIC
Technology Hardware & Equipment industry group
0.33
- Max
- 10.75
- Q3
- 5.52
- Median
- 3.17
- Q1
- 1.79
- ERIC
- 0.33
- Min
- 0.33
Valuation Metrics
| Metric | ANET | ERIC |
|---|---|---|
| P/E Ratio (TTM) | 45.79 | 16.55 |
| P/S Ratio (TTM) | 18.15 | -- |
| P/B Ratio (MRQ) | 13.12 | 0.33 |
| Free Cash Flow Yield (TTM) | 1.39% | 86.49% |