ANET: Add These 3 Soaring Computer Hardware Stocks to Your Watchlist – StockNews.com

Because several companies are expected to extend remote or hybrid working arrangements for the foreseeable future, and the digitization of business processes continues, computer hardware companies are expected to see robust demand. Indeed, the computer hardware industrys sales increased 23.4% year-over-year in the third quarter.

The growing adoption of the internet of things (IoT), artificial intelligence (AI), and cloud-based products and services should increase the need for computer hardware. The global computer hardware market is expected to grow at a 9.4% CAGR this year.

Given this backdrop, we think it could be wise to add quality computer hardware stocks Arista Networks, Inc. (ANET), IonQ, Inc. (IONQ), and Velo3D, Inc. (VLD) to ones watchlist.

Arista Networks, Inc. (ANET)

Santa Clara, Calif.-based ANET develops, markets, and sells cloud networking solutions around the globe. Its cloud networking solutions consist of extensible operating systems, a set of network applications, and gigabit Ethernet switching and routing platforms.

On November 2, 2021, ANET announced the next major expansion of its Arista EOS network stack, introducing the EOS Network Data Lake. Ken Duda, Founder and CTO at Arista Networks, said, Arista is entering the third generation of its flagship software stack. Developing a network-based data lake foundation from the ground up on our existing network state database makes Arista EOS NetDL a differentiated network and data-centric operating system.

ANETs total revenue increased 23.7% year-over-year to $748.70 million for its fiscal third quarter, ended September 30, 2021. The companys gross profit came in at $478.62 million, up 24.3% year-over-year. In addition, its income from operations was $233.29 million, up 23.8% year-over-year.

Analysts expect ANETs revenue to be $3.70 billion in its fiscal year 2022, representing a 27.3% year-over-year rise. In addition, the companys EPS is expected to increase 23.5% year-over-year to $13.68 in its fiscal year 2022. It surpassed the consensus EPS estimates in each of the trailing four quarters. The stock has gained 41.5% in price over the past month to close yesterdays trading session at $526.42.

Click here to check out our Cloud Computing Industry Report for 2021

IonQ, Inc. (IONQ)

IONQ develops general-purpose quantum computing systems. It sells access to quantum computers with 11 qubits. It is a leader in quantum computing, with a proven record of innovation and deployment. The company is headquartered in College Park, Md.

On September 23, 2021, IONQ and GE Research formed a partnership to explore the impact of quantum computing and IonQs quantum computers in the pivotal field of risk analysis. Peter Chapman, CEO and President of IONQ, said, As we explore how quantum computing could help us calculateand correct forthese risks, were proud to partner with GE, whose forward-thinking team sees that the rise of data availability pairs naturally with quantum computers to find new solutions to these management challenges.

IONQs net intangible assets were $5.11 million for the period ended June 30, 2021, compared to $2.69 million for the period ended December 31, 2020. Its accounts receivable came in at $420,000 compared to $390,000 for the same period. Moreover, its net property and equipment was $15.56 million, versus $11.99 million, also for the same period.

Analysts expect IONQs revenue to be $14.57 million in its fiscal year 2022, representing a 148.2% year-over-year rise. In addition, the companys EPS is expected to increase 11.1% in the next year and 20% per annum over the next five years. Over the past month, the stock has gained 153.9% in price to close yesterdays trading session at $21.35.

Velo3D, Inc. (VLD)

VLD produces metal additive three-dimensional printers. The Campbell, Calif.-based companys printers enable the production of components for space rockets, jet engines, fuel delivery systems, and other high-value metal parts, which it sells or leases to customers for use in their businesses.

On September 29, 2021, VLD completed its merger with JAWS Spitfire Acquisition Corporation. Barry Sternlicht, Chairman of JAWS Spitfire Acquisition, said, What Velo3D has done for its customersmost of whom are at the forefront of innovation in their industriesis nothing less than transformative. Were proud to be affiliated with Benny and the rest of the Velo3D team.

On September 30, 2021, VLDs common stock began trading on the New York Stock Exchange under the ticker symbol VLD.

Analysts expect VLDs revenue to grow 238.6% year-over-year to $84.69 million in its fiscal year 2022. Its EPS is estimated to grow at 16.7% in the next year. Over the past month, the stock has gained 22.9% in price to close yesterdays trading session at $12.28.

ANET shares were trading at $534.00 per share on Tuesday morning, up $7.58 (+1.44%). Year-to-date, ANET has gained 83.78%, versus a 26.09% rise in the benchmark S&P 500 index during the same period.

Riddhima is a financial journalist with a passion for analyzing financial instruments. With a master's degree in economics, she helps investors make informed investment decisions through her insightful commentaries. More...

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ANET: Add These 3 Soaring Computer Hardware Stocks to Your Watchlist - StockNews.com