Arista Networks and Supermicro both serve data-center demand, but their November 4 completed-session charts moved in opposite directions. ANET closed at $178.48, up 5.04% from $169.91. SMCI closed at $29.60, down 5.70% from $31.39. The reports arrived after the November 3 close; the next day's price changes do not establish a single cause.
Price and dated averages
Arista's close remained below its 50-day average of $194.12 but above its 200-day average of $165.79. Supermicro closed below its 50-day $37.84 and 200-day $32.66 averages. Arista traded up to $188.53 intraday and Supermicro down to $29.39 intraday; neither extreme is a closing level. Reclaiming an average would require a daily close above it.
What the companies reported
Arista reported third-quarter revenue of $3.66 billion, up 58.5% year over year. GAAP diluted EPS was $1.22, including $134.5 million of gains on strategic investments. Non-GAAP diluted EPS, which excludes those gains, was $1.20. Management forecast fourth-quarter revenue of $3.9 billion–$4.0 billion.
Supermicro described its fiscal first-quarter figures as preliminary and unaudited because closing procedures were incomplete. It reported net sales of $19.9 billion, up about 298% year over year, and GAAP diluted EPS of $1.75. GAAP gross margin was 12.7%, down from 17.5% in the preceding quarter, while operations used $434 million in cash. For fiscal Q2 it guided net sales of $19.5 billion–$21.5 billion. Final figures may differ.
The comparison
Both companies label their financial tables unaudited; Supermicro additionally calls its figures preliminary. Supermicro's much larger sales base comes with thinner reported gross margin and a cash-use question. The companies have different businesses and accounting profiles, so raw revenue amounts and margins are not interchangeable. Watch later filings, operating cash generation and daily chart closes before drawing a stronger conclusion.
See Daily Levels and the newsletter. Market research only, not a recommendation to buy or sell.