SCHO, SKYU: Significant Withdrawals from ETFs
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Sep 10 2025
0mins
Should l Buy ANET?
Source: NASDAQ.COM
ETF Outflow Details: The ProShares Ultra Nasdaq Cloud Computing ETF experienced the largest outflow, losing 30,000 units, which is a 35.3% decline in outstanding units compared to the previous week.
Performance of Underlying Components: In morning trading, Arista Networks saw an increase of approximately 5.7%, while Pure Storage rose by about 3.6%.
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Analyst Views on ANET
Wall Street analysts forecast ANET stock price to rise
10 Analyst Rating
9 Buy
1 Hold
0 Sell
Strong Buy
Current: 135.880
Low
159.00
Averages
172.88
High
200.00
Current: 135.880
Low
159.00
Averages
172.88
High
200.00
About ANET
Arista Networks, Inc. is a provider of data-driven, client-to-cloud networking for large artificial intelligence (AI), data center, campus and routing environments. Its platforms deliver availability, agility, automation, analytics, and security through an advanced network operating stack. Its platform is its Extensible Operating System (EOS), a modernized publish-subscribe state-sharing networking operating system. Its portfolio of products, services and technologies is grouped into various categories: Core (Data Center, Cloud and AI Networking), Cognitive Adjacencies (Campus and Routing), and Cognitive Network (Software and Services). It offers product portfolios of data-driven, high-speed, cloud and data center Ethernet switches. Its Cognitive Adjacencies include Cognitive Campus Switching, Cloud-Grade Routing and WAN Routing. Its software and services are based on subscription-based models and include various offerings: CloudVision, Arista A-Care Services, CloudEOS and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Continued Microsoft Support: Microsoft, a long-time investor, has once again joined this funding round, with CFO Sarah Friar calling it an “incredible partner,” further solidifying their strategic collaboration in the AI space.
- Surging Market Demand: Since the launch of ChatGPT, OpenAI has amassed 900 million weekly active users and generated approximately $13.1 billion in revenue last year, demonstrating the extensive application and immense market potential of AI technology.
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- Revenue Growth Expectations: The company anticipates revenue exceeding $10 billion this year, up from $9 billion last year, primarily driven by an expanding customer base, with 1 to 2 new customers expected to contribute 10% of revenue.
- Strategic Partnerships: Arista Networks has inked strategic partnerships with Meta and Nvidia to unlock new markets for networking solutions, enhancing its competitive position and laying the groundwork for future growth.
- Technological Innovation Push: The company is advancing innovative deployment models in the campus market with wired and wireless integration and open standards to meet the increasing power demands of AI infrastructure, thereby solidifying its leadership in high-performance cloud networking solutions.
See More
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- Data Center Challenges: OpenAI CEO Sam Altman highlighted significant operational challenges during the BlackRock Infrastructure Summit, particularly citing severe weather in Abilene, Texas, which temporarily disrupted operations at their flagship facility, impacting operational efficiency and market confidence.
- Strategic Shift: OpenAI is recalibrating its growth strategy, aiming to reduce previous high spending levels to a more sustainable pace, with total compute spending projected to reach $600 billion by 2030, thereby enhancing investor confidence and addressing market expectations for fiscal responsibility.
- Reliance on Partners: Facing practical difficulties in building data centers, OpenAI has opted to rely on partners like Oracle, Microsoft, and Amazon for computing capacity; while this strategy alleviates immediate pressure, it may affect long-term market competitiveness.
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See More
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- Custom AI Chip Business Potential: Broadcom projects its custom AI chip business will reach $100 billion by fiscal 2027, representing over 50% growth from last year's total revenue, which will significantly drive the company's long-term growth.
- Arista's Growth Outlook: Arista Networks saw a 29% revenue increase last quarter to $2.49 billion, with expectations of a 25% revenue growth in 2026, although it maintains a cautious outlook due to supply constraints from the memory market.
- Investment Value Comparison: Broadcom's forward P/E ratio stands at 29 compared to Arista's 37.5, with Broadcom's P/E expected to drop to 18.5 within a year, indicating a better value proposition for AI investments in Broadcom.
See More
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- Market Leadership of Broadcom: Broadcom is a leader in networking hardware, with products like Ethernet switches and digital signal processors being crucial for data center operations, and its revenue from this segment grew by 60% last quarter, with expectations for continued acceleration in the current quarter, further solidifying its importance in AI infrastructure.
- Potential in Custom AI Chips: Broadcom's leadership in ASIC technology enables it to assist customers in developing custom AI chips, particularly through its collaboration with Alphabet on TPUs, with projections indicating this business could reach $100 billion by fiscal 2027, representing over 50% of last year's total revenue, highlighting significant market potential.
- Growth Outlook for Arista: Arista's revenue increased by 29% last quarter to $2.49 billion, with expectations for a further 25% growth by 2026, and despite facing supply constraints in the memory market, its AI networking revenue is expected to double, indicating strong market demand.
- Investment Value Comparison: Broadcom's forward P/E ratio stands at 29 compared to Arista's 37.5, with expectations for Broadcom's P/E to drop to 18.5 within a year, indicating a higher investment value for Broadcom in the AI stock space, even though analysts suggest it is not on the current best investment list.
See More
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- Future of AI Agents: Huang envisions a workplace where engineers collaborate with hundreds of thousands of AI agents, a shift that could redefine traditional job roles and potentially lead to the obsolescence of certain white-collar positions.
- Surge in Software Demand: Huang emphasized that AI agents will drive significant demand for software, predicting rapid growth in the underlying software infrastructure, which will fundamentally alter how software engineers operate.
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See More
