ANET vs PYPL: Which Is the Better Buy?
Side-by-side comparison of Arista Networks, Inc. and PayPal Holdings, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-07-06.
Arista Networks, Inc. · Technology
$169.86
+22.0% upside to fair value
Grade B
High Quality
VS
PayPal Holdings, Inc. · Financial Services
$42.51
+45.0% upside to fair value
Grade B
QuantHub Verdict
PYPL has more upside to fair value
(+45.0%).
PYPL trades at a lower forward P/E
(7.7x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
ANET |
PYPL |
| Current Price |
$169.86 |
$42.51 |
| Fair Value Estimate |
$207.23 |
$61.64 |
| Upside to Fair Value |
+22.0%
|
+45.0%
|
| Market Cap |
$213.9B |
$37.5B |
| Forward P/E |
56.5x
|
7.7x
|
| EV / EBITDA |
44.7x
|
5.3x
|
| Price / Sales |
21.7x
|
1.1x
|
| Price / FCF |
39.9x
|
6.8x
|
| Revenue Growth YoY |
+35.1%
|
+7.2%
|
| Gross Margin |
63.5%
|
46.1%
|
| Operating Margin |
42.8%
|
17.9%
|
| Return on Equity |
30.6%
|
25.1%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
2.51%
|
14.71%
|
| Analyst Consensus |
Strong Buy
|
Sell
|
Investment Thesis
Arista Networks is a leading provider of cloud and AI data-center switching solutions with a durable competitive moat driven by its strong presence among hyperscale cloud customers and AI networking providers. The company benefits from a seasoned management team led by founding CEO Jayshree V. Ullal, who has over 17 years at the helm and deep domain expertise. Arista's financials show robust grow…
PayPal Holdings, Inc. operates as a leading global digital payments platform with a competitive moat driven by its extensive network effects, brand recognition, and scale. Despite a durable business model with 2025 revenue of $33.17 billion growing at 4.3% year-over-year and a strong return on equity of 25.1%, the company faces slowing growth and margin pressures, reflected in a 13.5% decline in …
Accumulation Zones
| Metric |
ANET |
PYPL |
| Zone Low |
$155.42 |
$46.23 |
| Zone High |
$176.15 |
$52.39 |
| In Buy Zone? |
Yes
|
Yes
|