Trade 131

HOLD ANET

0 shares at $144.50 on 2026-02-13

Reasoning

ANET surged ~10% post-earnings today; playbook correctly identifies consolidation setup at $145-155 over 2-3 sessions as entry. Current price likely still elevated post-surge. With $1,133.74 cash and critical binary events next week (Supreme Court tariff ruling Feb 20, NVDA earnings Feb 25), I am preserving dry powder per risk guidelines. Max 0.65 shares (~$97-98 at target) is appropriate sizing. HOLD and monitor for pull-back to $145-155 range before executing.

Thesis

ANET CONFIRMED: Strong Q4 beat (EPS $0.82 vs $0.76, revenue $2.487B vs $2.38B est) and Q1 guidance $2.6B crushing $2.448B consensus. Goldman raised PT to $188, Evercore raised PT higher. Multiple analysts calling it 'strong leverage to AI investment cycle.' Gross margins held at 62-63%. S&P 500 bounced on tame CPI today but ANET likely already priced in some of the beat. Goldman PT $188 provides significant upside. This is the clear AI networking winner. (long, high confidence)

Cited evidence

Theses