Arista Networks Drops 6% After Nvidia Lands Meta and Oracle for Spectrum‑X

Nvidia said Meta and Oracle selected its Spectrum‑X Ethernet switches to power AI data centers, intensifying competition in high‑performance networking. Arista shares fell about 6% over Oct. 14–15 to roughly $139 as investors weighed potential revenue displacement at large customers. Market concern centers on Meta’s spend potentially shifting to Nvidia’s platform, which could affect Arista given Meta’s scale as a client. Arista’s latest quarter delivered about $2.2 billion in revenue, up roughly 30% year over year, alongside continued strong operating margins. Despite the pullback, recent analyses maintain upbeat targets around $181–$184 and point to $8.8 billion in cash with no reported debt as support for the outlook.