Seek Returns logo

ANET vs. GTM: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at ANET and GTM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolANETGTM
Company NameArista Networks IncZoomInfo Technologies Inc.
CountryUnited StatesUnited States
GICS SectorInformation TechnologyCommunication Services
GICS IndustryCommunications EquipmentInteractive Media & Services
Market Capitalization182.87 billion USD3.32 billion USD
ExchangeNYSENasdaqGS
Listing DateJune 6, 2014June 4, 2020
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of ANET and GTM 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.

ANET vs. GTM: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolANETGTM
5-Day Price Return1.49%-10.21%
13-Week Price Return41.92%1.61%
26-Week Price Return87.79%--
52-Week Price Return49.37%--
Month-to-Date Return-0.14%-4.45%
Year-to-Date Return31.64%3.94%
10-Day Avg. Volume7.16M3.72M
3-Month Avg. Volume9.46M4.51M
3-Month Volatility49.22%50.71%
Beta1.401.92

Profitability

Return on Equity (TTM)

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.

GTM

5.44%

Interactive Media & Services Industry

Max
49.37%
Q3
33.08%
Median
10.37%
Q1
5.76%
Min
-24.17%

GTM’s Return on Equity of 5.44% is in the lower quartile for the Interactive Media & Services industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.

ANET vs. GTM: A comparison of their Return on Equity (TTM) against their respective Communications Equipment and Interactive Media & Services industry benchmarks.

Net Profit Margin (TTM)

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.

GTM

7.28%

Interactive Media & Services Industry

Max
49.74%
Q3
29.54%
Median
20.53%
Q1
7.52%
Min
-14.52%

Falling into the lower quartile for the Interactive Media & Services industry, GTM’s Net Profit Margin of 7.28% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

ANET vs. GTM: A comparison of their Net Profit Margin (TTM) against their respective Communications Equipment and Interactive Media & Services industry benchmarks.

Operating Profit Margin (TTM)

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.

GTM

13.26%

Interactive Media & Services Industry

Max
65.96%
Q3
36.82%
Median
18.53%
Q1
7.69%
Min
-18.13%

GTM’s Operating Profit Margin of 13.26% is around the midpoint for the Interactive Media & Services industry, indicating that its efficiency in managing core business operations is typical for the sector.

ANET vs. GTM: A comparison of their Operating Profit Margin (TTM) against their respective Communications Equipment and Interactive Media & Services industry benchmarks.

Profitability at a Glance

SymbolANETGTM
Return on Equity (TTM)32.30%5.44%
Return on Assets (TTM)22.45%1.39%
Net Profit Margin (TTM)40.89%7.28%
Operating Profit Margin (TTM)43.14%13.26%
Gross Profit Margin (TTM)64.24%83.90%

Financial Strength

Current Ratio (MRQ)

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.

GTM

0.71

Interactive Media & Services Industry

Max
3.92
Q3
2.72
Median
1.85
Q1
1.20
Min
0.25

GTM’s Current Ratio of 0.71 falls into the lower quartile for the Interactive Media & Services industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

ANET vs. GTM: A comparison of their Current Ratio (MRQ) against their respective Communications Equipment and Interactive Media & Services industry benchmarks.

Debt-to-Equity Ratio (MRQ)

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.

GTM

0.85

Interactive Media & Services Industry

Max
0.85
Q3
0.49
Median
0.29
Q1
0.04
Min
0.00

GTM’s leverage is in the upper quartile of the Interactive Media & Services industry, with a Debt-to-Equity Ratio of 0.85. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

ANET vs. GTM: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Communications Equipment and Interactive Media & Services industry benchmarks.

Interest Coverage Ratio (TTM)

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.

GTM

2.05

Interactive Media & Services Industry

Max
23.65
Q3
16.48
Median
6.73
Q1
-0.87
Min
-3.62

GTM’s Interest Coverage Ratio of 2.05 is positioned comfortably within the norm for the Interactive Media & Services industry, indicating a standard and healthy capacity to cover its interest payments.

ANET vs. GTM: A comparison of their Interest Coverage Ratio (TTM) against their respective Communications Equipment and Interactive Media & Services industry benchmarks.

Financial Strength at a Glance

SymbolANETGTM
Current Ratio (MRQ)3.330.71
Quick Ratio (MRQ)2.580.62
Debt-to-Equity Ratio (MRQ)0.000.85
Interest Coverage Ratio (TTM)171.782.05

Growth

Revenue Growth

ANET vs. GTM: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

ANET vs. GTM: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

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.

GTM

0.00%

Interactive Media & Services Industry

Max
3.07%
Q3
1.27%
Median
0.28%
Q1
0.00%
Min
0.00%

GTM 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 vs. GTM: A comparison of their Dividend Yield (TTM) against their respective Communications Equipment and Interactive Media & Services industry benchmarks.

Dividend Payout Ratio (TTM)

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.

GTM

0.00%

Interactive Media & Services Industry

Max
101.53%
Q3
40.64%
Median
0.00%
Q1
0.00%
Min
0.00%

GTM 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 vs. GTM: A comparison of their Dividend Payout Ratio (TTM) against their respective Communications Equipment and Interactive Media & Services industry benchmarks.

Dividend at a Glance

SymbolANETGTM
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

ANET

55.84

Communications Equipment Industry

Max
103.74
Q3
61.65
Median
26.20
Q1
18.12
Min
4.19

ANET’s P/E Ratio of 55.84 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.

GTM

37.24

Interactive Media & Services Industry

Max
50.72
Q3
41.60
Median
25.84
Q1
18.18
Min
1.76

GTM’s P/E Ratio of 37.24 is within the middle range for the Interactive Media & Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

ANET vs. GTM: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Communications Equipment and Interactive Media & Services industry benchmarks.

Price-to-Sales Ratio (TTM)

ANET

22.84

Communications Equipment Industry

Max
6.86
Q3
6.24
Median
2.44
Q1
1.02
Min
0.48

With a P/S Ratio of 22.84, 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.

GTM

2.71

Interactive Media & Services Industry

Max
23.76
Q3
11.40
Median
7.69
Q1
2.49
Min
0.00

GTM’s P/S Ratio of 2.71 aligns with the market consensus for the Interactive Media & Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

ANET vs. GTM: A comparison of their Price-to-Sales Ratio (TTM) against their respective Communications Equipment and Interactive Media & Services industry benchmarks.

Price-to-Book Ratio (MRQ)

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.

GTM

2.21

Interactive Media & Services Industry

Max
16.71
Q3
9.00
Median
3.97
Q1
2.19
Min
0.33

GTM’s P/B Ratio of 2.21 is within the conventional range for the Interactive Media & Services 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 vs. GTM: A comparison of their Price-to-Book Ratio (MRQ) against their respective Communications Equipment and Interactive Media & Services industry benchmarks.

Valuation at a Glance

SymbolANETGTM
Price-to-Earnings Ratio (TTM)55.8437.24
Price-to-Sales Ratio (TTM)22.842.71
Price-to-Book Ratio (MRQ)11.792.21
Price-to-Free Cash Flow Ratio (TTM)45.6711.97