A month has gone by since the last earnings report for Arista Networks (ANET). Shares have lost about 2.5% in that time frame, underperforming the S&P 500.Will the recent negative trend continue leading up to its next earnings release, or is Arista Networks due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts. Arista Q2 Earnings Hit Record High, Surpass EstimatesArista reported strong second-quarter 2021 results, wherein both the bottom and the top lines beat the respective Zacks Consensus Estimate, driven by a healthy momentum in the enterprise vertical and solid customer additions. Adjusted earnings and revenues also improved significantly year over year.Net IncomeOn a GAAP basis, net income in the reported quarter improved to $196.9 million or $2.47 per share from $144.8 million or $1.83 per share in the prior-year quarter, primarily driven by top-line growth.Excluding non-recurring items, non-GAAP net income was record high at $216.8 million or $2.72 per share compared with $167 million or $2.11 per share in the year-ago quarter. The bottom line beat the Zacks Consensus Estimate by 17 cents.RevenuesQuarterly total revenues were up 30.8% year over year to $707.3 million and was well ahead of the company’s guidance of $675-$695 million. The rise was primarily led by solid customer additions and growth in the enterprise vertical, partially offset by shipment constraints resulting from the COVID-19 operating environment and supply-chain disruptions. The top line surpassed the consensus estimate of $687 million.Arista generated 73% of total revenues from the Americas and the remainder from international operations with EMEA (Europe, Middle East and Africa) accounting for 16% and APAC (Asia Pacific region) contributing 11% of total revenues. Product revenues jumped to $566.5 million from $421.4 million, while Service revenues grew to $140.9 million from $119.2 million, supported by renewals and subscriptions. In terms of the vertical mix, cloud titans was the largest vertical followed by enterprise, financials, specialty cloud providers and service providers. With improved customer demand and visibility, the company is taking decisive steps to improve inventory levels and manufacturing capacity in order to negate supply-chain headwinds. Arista is increasingly offering software-driven, data-centric approach to help customers build their cloud architecture and augment their cloud experience.Other DetailsNon-GAAP gross profit improved to $461.4 million from $349.9 million for respective margins of 65.2% and 64.7%. The non-GAAP gross margin was at the higher end of the company’s guidance of 63-65%, reflecting healthy software and services mix.Total operating expenses increased to $234.8 million from $177.1 million in the prior-year quarter owing to higher R&D costs, high variable compensation and other headcount-related charges, partially offset by lower COVID-related travel and marketing expenses. Non-GAAP operating income jumped to $271.7 million from $205.7 million in the year-ago quarter with corresponding margins of 38.4% and 38.1%, respectively.Cash Flow & LiquidityIn the first six months of 2021, Arista generated $518 million of net cash from operating activities compared with $333.1 million in the prior-year period. As of Jun 30, 2021, the cloud networking company had $893.7 million in cash and cash equivalents with $216.7 million of non-current deferred tax liabilities. Arista did not repurchase any shares during the quarter. Notably, the company has purchased $763 million worth of shares to date since the initiation of its $1 billion share repurchase program in second-quarter 2019.Q3 OutlookThe company expects to witness continued growth within its enterprise vertical in the forthcoming quarters with customer mix being the key driver. For the third quarter of 2021, Arista expects revenues of $725-$745 million. It anticipates a non-GAAP gross margin of 63-65% and a non-GAAP operating margin of around 37%.How Have Estimates Been Moving Since Then?In the past month, investors have witnessed an upward trend in estimates review.VGM ScoresCurrently, Arista Networks has an average Growth Score of C, a grade with the same score on the momentum front. Following the exact same course, the stock was allocated a grade of C on the value side, putting it in the middle 20% for this investment strategy.Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.OutlookEstimates have been trending upward for the stock, and the magnitude of these revisions looks promising. Notably, Arista Networks has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months. Infrastructure Stock Boom to Sweep America A massive push to rebuild the crumbling U.S. infrastructure will soon be underway. 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