Arista Networks Inc (ANET) is overvalued and HP Inc (HPQ) is undervalued.
Against our estimates of intrinsic value, HPQ trades at the wider discount: a margin of safety of +29%, against -79% for ANET.
Values as of the 22 Sept 2026 close.
A 12.5x revenue multiple, adjusted for growth and margin, values the shares at $114.88; the price of $205.19 is 79% above that value.
Leak Score 72/100 on 8 of 12 signals
Discounting its cash flows at 9.4% (average of 3 methods) values the shares at $44.97; the price of $32.04 is 29% below that value, and 74% of that value comes from beyond year five.
Leak Score 71/100 on 8 of 12 signals
| Metric | ANET | HPQ |
|---|---|---|
| Verdict | Overvalued | Undervalued |
| Price | $205.19 | $32.04 |
| Intrinsic value | $114.88 | $44.97 |
| Margin of safety | -79% | +29% |
| Leak Score | 72/100 (8/12) | 71/100 (8/12) |
| Market cap | $258.8B | $28.9B |
| Revenue growth, 5 years | 31.2% | -0.4% |
| Operating margin | 43.1% | 6.9% |
| Net margin | 38.4% | 4.1% |
| Return on equity | 31.5% | — |
| Debt to equity | 0.00 | — |
| P/E | 64.7x | 12.2x |
| Forward P/E | 39.3x | 10.0x |
| P/B | 17.5x | — |
| Dividend yield | — | 3.7% |