Arista Networks Inc (ANET) is overvalued and Super Micro Computer Inc (SMCI) is undervalued.
Against our estimates of intrinsic value, SMCI trades at the wider discount: a margin of safety of +57%, 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 13.8% (average of 3 methods) values the shares at $97.37; the price of $41.54 is 57% below that value, and 64% of that value comes from beyond year five.
Leak Score 61/100 on 10 of 12 signals
| Metric | ANET | SMCI |
|---|---|---|
| Verdict | Overvalued | Undervalued |
| Price | $205.19 | $41.54 |
| Intrinsic value | $114.88 | $97.37 |
| Margin of safety | -79% | +57% |
| Leak Score | 72/100 (8/12) | 61/100 (10/12) |
| Market cap | $258.8B | $27.3B |
| Revenue growth, 5 years | 31.2% | 61.5% |
| Operating margin | 43.1% | 7.1% |
| Net margin | 38.4% | 5.6% |
| Return on equity | 31.5% | 21.3% |
| Debt to equity | 0.00 | 0.64 |
| P/E | 64.7x | 12.6x |
| Forward P/E | 39.3x | 7.8x |
| P/B | 17.5x | 2.7x |