Independent research on the U.S. markets, Baptista Research

Baptista Research

Independent research on the U.S. markets

Baptista Research is an independent financial research house focused on the U.S. markets. We provide equity research as well as credit research reports on the top-listed U.S. companies with most of our focus on technology, consumer goods and services, automobiles, industrials, oil and gas, pharma, and healthcare. Our research has served more than 3000 institutional investors including mutual funds, hedge funds, banks, family offices, and various buy-side firms. We operate a research subscription service where institutions, as well as retail investors, can have priority access to all our research. We also have a wide distribution of our research reports across some of the top global financial platforms. Apart from equity research and credit research, we also provide advisory services with respect to mergers & acquisitions (M&A), private equity/ venture capital fundraising, valuation reports, and investment management services for corporates.
Baptista Research is owned and managed by Ishan Majumdar, an ex-Venture Capitalist/ Investment Banker, a Chartered Accountant, and a Masters’ degree holder in Management from HEC Paris. Ishan has nearly a decade of experience in Mergers and Acquisitions, Leveraged Buyouts (LBOs), Venture Capital Investing, Corporate Strategy, and Valuation in front-office roles at the likes of BNP Paribas CIB, Credit Agricole CIB, Groupe Danone, and TIW Private Equity. He has worked on and closed multiple acquisition deals, leveraged buyouts, and start-up investment transactions.

Equity Bottom-Up

<ul><li>Arista Networks concluded the fiscal year 2023 with outstanding results.</li><li>The company saw strong performance on various fronts, reporting a year-over-year revenue growth of 33.8%, exceeding their initial guidance of 25%, and driving revenue to $5.86 billion.</li><li>Additionally, Arista's non-GAAP earnings per share reached an all-time high of $6.94, marking an annual increase of over 50%.</li></ul>

Arista Networks concluded the fiscal year 2023 with outstanding results.The company saw strong performance on various fronts, reporting a year-over-year revenue growth of 33.8%, exceeding their initial guidance of 25%, and driving revenue to $5.86 billion.Additionally, Arista's non-GAAP earnings per share reached an all-time high of $6.94, marking an annual increase of over 50%.

Arista Networks: The Optimistic Outlook in AI Networking Space A Major Green Flag For The Stock? - Major Drivers

<ul><li>Arista Networks delivered a solid result and managed an all-around beat in the last quarter, generating revenues of $1.51 billion.</li><li>A notable portion, approximately 16.8%, of the revenue was attributed to services and software support renewals.</li><li>Emphasizing enterprise momentum, Arista's team remains dedicated to multi-domain, modern software underpinned by the EOS operating system and CloudVision stack.</li></ul>

Arista Networks delivered a solid result and managed an all-around beat in the last quarter, generating revenues of $1.51 billion.A notable portion, approximately 16.8%, of the revenue was attributed to services and software support renewals.Emphasizing enterprise momentum, Arista's team remains dedicated to multi-domain, modern software underpinned by the EOS operating system and CloudVision stack.

Arista Networks Inc.: How They're Transforming Networking with CloudVision! - Major Drivers

Asia and Global Semiconductor and Tech Research

Andrew Lu

Thematic (Sector/Industry)

<ul>
<li>After our global server market model update, we see 3Q23 server market decline and data center vendors' capex cut not consistent with Nvidia's robust y/y sales growth of over 200%;</li>
<li>Discrepancy: 1. Nvidia gaining value on AI server, losing zero on non AI; 2. AI servers grow at the expenses of non AI; 3. most vendors not only in server;</li>
<li>Different from  consensus view, we expect general (non AI) server market to decline 16% y/y in 2024 and 29% in 2025 and suggest to avoid general server supply chain vendors.</li>
</ul>


After our global server market model update, we see 3Q23 server market decline and data center vendors' capex cut not consistent with Nvidia's robust y/y sales growth of over 200%;
Discrepancy: 1. Nvidia gaining value on AI server, losing zero on non AI; 2. AI servers grow at the expenses of non AI; 3. most vendors not only in server;
Different from  consensus view, we expect general (non AI) server market to decline 16% y/y in 2024 and 29% in 2025 and suggest to avoid general server supply chain vendors.


What to Avoid if AI Server Will Continue to Squeeze General Server Market in 2024-2025?

Equity Long-Short, Semiconductors, Fabricated Knowledge

Douglas O'Laughlin

Equity Long-Short, Semiconductors

Fabricated Knowledge

Learn more about the world's most important manufactured product. Meaningful insight, timely analysis, and an occasional investment idea.

<ul><li>Google, Microsoft, and Facebook reported earnings.</li><li>Let’s discuss their capex plans and what that means for our new data center champion, Nvidia.</li><li>I think it’s pretty straightforward that Nvidia has revenue beats for the foreseeable future.</li></ul>

Google, Microsoft, and Facebook reported earnings.Let’s discuss their capex plans and what that means for our new data center champion, Nvidia.I think it’s pretty straightforward that Nvidia has revenue beats for the foreseeable future.

Google, Microsoft, Facebook and Nvidia: AI Spending Implications at the Hyperscalers

<ul><li>Arista Networks managed to surpass the revenue and earnings expectations of Wall Street.</li><li>The company generated $1.46 billion in revenue for the quarter and $1.58 in non-GAAP earnings per share.</li><li>Arista is adjusting to these developments and increasing its investments in AI as its biggest cloud customers reassess their conventional cloud and AI networking plans.</li></ul>

Arista Networks managed to surpass the revenue and earnings expectations of Wall Street.The company generated $1.46 billion in revenue for the quarter and $1.58 in non-GAAP earnings per share.Arista is adjusting to these developments and increasing its investments in AI as its biggest cloud customers reassess their conventional cloud and AI networking plans.

Arista Networks Inc.: Capitalizing on Strong Growth Outside the Cloud Domain! - Major Drivers

United States

Arista Networks Inc. provides cloud networking solutions for data-centers and computer environments. The Company offers ethernet switches, pass-through cards, transceivers, cards, and enhanced operating systems. Arista also provides host adapter solutions and networking services and markets its products globally.

Arista Networks (ANET US)

Arista Networks: The Optimistic Outlook in AI Networking Space A Major Green Flag For The Stock? - Major Drivers

Arista Networks concluded the fiscal year 2023 with outstanding results. The company saw strong performance on various fronts, reporting a...

Baptista Research

Arista Networks Inc.: How They're Transforming Networking with CloudVision! - Major Drivers

Arista Networks delivered a solid result and managed an all-around beat in the last quarter, generating revenues of $1.51 billion. A notable...

Baptista Research

What to Avoid if AI Server Will Continue to Squeeze General Server Market in 2024-2025?

Names to Avoid if AI Server Will Continue to Squeeze General Server Market in 2024-2025? Different from consensus, we expect non AI server market...

Andrew Lu

Google, Microsoft, Facebook and Nvidia: AI Spending Implications at the Hyperscalers

Google, Microsoft, and Facebook reported earnings. Let’s discuss their capex plans and what that means for our new data center champion, Nvidia. I...

Fabricated Knowledge

Arista Networks Inc.: Capitalizing on Strong Growth Outside the Cloud Domain! - Major Drivers

Arista Networks managed to surpass the revenue and earnings expectations of Wall Street. The company generated $1.46 billion in revenue for the...

Baptista Research