[Form 4] Arista Networks Insider Trading Activity

Rhea-AI Filing Summary

Arista Networks, Inc. (ANET) – Form 4 insider activity filed 06/20/2025

Chief Technology Officer & SVP of Software Engineering Kenneth Duda disclosed the exercise of 30,000 non-qualified stock options with a $3.515 strike price that were due to expire on 02/11/2026. All 30,000 exercised shares were immediately sold on 06/17/2025 under a pre-arranged Rule 10b5-1 trading plan adopted 03/13/2025.

• Direct account: 30,000 shares sold in five tranches between $90.6563-$94.327; direct holdings drop from 42,976 to 12,976 shares.
• Children’s trust: 16,000 shares sold across the same price bands; indirect holdings now 1,239,168 shares.
• Family foundation: 10,000 shares sold; foundation retains 592,400 shares.

Other indirect holdings remain unchanged: 750,000 shares in GRAT JD, 750,000 shares in GRAT KD, and 25,615 shares in a family trust. No new derivative grants or open-market purchases were reported.

The filing represents an aggregate sale of 56,000 shares (~0.18 % of ANET’s 312 m diluted shares outstanding). While the transactions are scheduled and partly charitable, the CTO’s direct stake has been reduced by roughly 70 %, which investors may interpret as profit-taking after substantial appreciation in the share price.

Positive

• Transactions executed under Rule 10b5-1, indicating pre-planned trades and reducing information-asymmetry concerns.
• Insider retains significant indirect ownership (>2 m shares), maintaining alignment with shareholder interests.

Negative

• 70 % reduction in direct holdings may be interpreted as bearish sentiment from a key executive.
• Total disposition of 56,000 shares at market prices signals profit-taking after recent stock appreciation.

Insights

Equity Analyst

TL;DR: CTO exercised low-priced options and sold 56k ANET shares; direct stake now 12,976 – mildly negative sentiment.

The option exercise at $3.515 and immediate sale at ≈$91-94 locks in roughly $2.6 m in gross proceeds, signalling monetisation rather than long-term accumulation. Although covered by a 10b5-1 plan (reducing the risk of information asymmetry), the 70 % reduction in the officer’s direct holdings can be read as a lack of conviction at current valuation. Indirect positions remain sizeable via GRATs and trusts, so overall economic exposure is still well above 2 m shares, implying the insider is far from exiting his position. From a liquidity perspective, the volume (56k) is negligible versus ANET’s average daily trading volume (>1 m shares) and therefore unlikely to move the market materially. Net take-away: modestly negative signalling, but not materially impactful to valuation.

Corporate Governance Specialist

TL;DR: Pre-planned 10b5-1 sales align with best practices; governance risk minimal.

The filing clearly states that all dispositions were executed under 10b5-1 plans adopted on 03/13/2025, covering the officer, children’s trust and charitable foundation. The presence of multiple trusts and GRATs is typical for estate and tax planning among long-tenured founders. No new pledging, derivatives, or related-party transactions are disclosed. The sizeable remaining indirect holdings keep the insider’s long-term incentives aligned with shareholders. Therefore, from a governance lens, the activity appears routine and low risk.

SEC Form 4

FORM 4

UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP

Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934
or Section 30(h) of the Investment Company Act of 1940

OMB APPROVAL

OMB Number:			3235-0287
Estimated average burden
hours per response:			0.5

Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

X

Check this box to indicate that a transaction was made pursuant to a contract, instruction or written plan for the purchase or sale of equity securities of the issuer that is intended to satisfy the affirmative defense conditions of Rule 10b5-1(c). See Instruction 10.

1. Name and Address of Reporting Person^*

Duda Kenneth

(Last) (First) (Middle)

5453 GREAT AMERICA PARKWAY

(Street)

SANTA CLARA CA 95054

(City) (State) (Zip)

2. Issuer Name and Ticker or Trading Symbol
Arista Networks, Inc. [ ANET ]

5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)

X	Director		10% Owner
X	Officer (give title below)		Other (specify below)
	CTO and SVP Software Eng.

3. Date of Earliest Transaction (Month/Day/Year)
06/17/2025

4. If Amendment, Date of Original Filed (Month/Day/Year)

6. Individual or Joint/Group Filing (Check Applicable Line)

X	Form filed by One Reporting Person
	Form filed by More than One Reporting Person

Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1. Title of Security (Instr. 3)	2. Transaction Date (Month/Day/Year)	2A. Deemed Execution Date, if any (Month/Day/Year)	3. Transaction Code (Instr. 8)		4. Securities Acquired (A) or Disposed Of (D) (Instr. 3, 4 and 5)			5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4)	6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	7. Nature of Indirect Beneficial Ownership (Instr. 4)
			Code	V	Amount	(A) or (D)	Price
Common Stock	06/17/2025		M(1)		30,000	A	$3.515	42,976	D
Common Stock	06/17/2025		S(1)		8,050	D	$90.6563(2)	34,926	D
Common Stock	06/17/2025		S(1)		8,716	D	$91.6564(3)	26,210	D
Common Stock	06/17/2025		S(1)		3,743	D	$92.9439(4)	22,467	D
Common Stock	06/17/2025		S(1)		7,309	D	$93.6547(5)	15,158	D
Common Stock	06/17/2025		S(1)		2,182	D	$94.327(6)	12,976	D
Common Stock	06/17/2025		S(7)		4,293	D	$90.6563(2)	1,250,875	I	By Childrens' Trust(8)
Common Stock	06/17/2025		S(7)		4,649	D	$91.6564(3)	1,246,226	I	By Childrens' Trust(8)
Common Stock	06/17/2025		S(7)		1,997	D	$92.9439(4)	1,244,229	I	By Childrens' Trust(8)
Common Stock	06/17/2025		S(7)		3,898	D	$93.6547(5)	1,240,331	I	By Childrens' Trust(8)
Common Stock	06/17/2025		S(7)		1,163	D	$94.327(6)	1,239,168	I	By Childrens' Trust(8)
Common Stock	06/17/2025		S(9)		2,683	D	$90.6563(2)	599,717	I	By Foundation(10)
Common Stock	06/17/2025		S(9)		2,905	D	$91.6564(3)	596,812	I	By Foundation(10)
Common Stock	06/17/2025		S(9)		1,248	D	$92.9439(4)	595,564	I	By Foundation(10)
Common Stock	06/17/2025		S(9)		2,436	D	$93.6547(5)	593,128	I	By Foundation(10)
Common Stock	06/17/2025		S(9)		728	D	$94.327(6)	592,400	I	By Foundation(10)
Common Stock								750,000	I	By GRAT JD(11)
Common Stock								750,000	I	By GRAT KD(12)
Common Stock								25,615	I	by Trust(13)

Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned (e.g., puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security (Instr. 3)	2. Conversion or Exercise Price of Derivative Security	3. Transaction Date (Month/Day/Year)	3A. Deemed Execution Date, if any (Month/Day/Year)	4. Transaction Code (Instr. 8)		5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5)		6. Date Exercisable and Expiration Date (Month/Day/Year)		7. Title and Amount of Securities Underlying Derivative Security (Instr. 3 and 4)		8. Price of Derivative Security (Instr. 5)	9. Number of derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4)	10. Ownership Form: Direct (D) or Indirect (I) (Instr. 4)	11. Nature of Indirect Beneficial Ownership (Instr. 4)
				Code	V	(A)	(D)	Date Exercisable	Expiration Date	Title	Amount or Number of Shares
Non-Qualified Stock Option (right to buy)	$3.515	06/17/2025		M(1)			30,000	(14)	02/11/2026	Common Stock	30,000	$0.0	210,000	D

Explanation of Responses:

1. The exercise and/or sale of shares was effected pursuant to a Rule 10b5-1 trading plan entered into by the reporting person on March 13, 2025.

2. The price reported in Column 4 is a weighted average price. These shares were sold in multiple transactions at prices ranging from $90.01 to $90.99, inclusive. The reporting person undertakes to provide Arista Networks, Inc., any security holder of Arista Networks, Inc. or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the range set forth in this footnote.

3. The price reported in Column 4 is a weighted average price. These shares were sold in multiple transactions at prices ranging from $91.17 to $92.16, inclusive. The reporting person undertakes to provide Arista Networks, Inc., any security holder of Arista Networks, Inc. or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the range set forth in this footnote.

4. The price reported in Column 4 is a weighted average price. These shares were sold in multiple transactions at prices ranging from $92.17 to $93.16, inclusive. The reporting person undertakes to provide Arista Networks, Inc., any security holder of Arista Networks, Inc. or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the range set forth in this footnote.

5. The price reported in Column 4 is a weighted average price. These shares were sold in multiple transactions at prices ranging from $93.17 to $94.16, inclusive. The reporting person undertakes to provide Arista Networks, Inc., any security holder of Arista Networks, Inc. or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the range set forth in this footnote.

6. The price reported in Column 4 is a weighted average price. These shares were sold in multiple transactions at prices ranging from $94.1794 to $94.64, inclusive. The reporting person undertakes to provide Arista Networks, Inc., any security holder of Arista Networks, Inc. or the staff of the Securities and Exchange Commission, upon request, full information regarding the number of shares sold at each separate price within the range set forth in this footnote.

7. The sale of shares was effected pursuant to a Rule 10b5-1 trading plan entered into by the reporting person for the benefit of the reporting person's children on March 13, 2025.

8. These shares are held in a trust for the benefit of a Child of the reporting person for which the reporting person serves as co-trustee. The reporting person shares voting and investment control over the shares but disclaims beneficial ownership of the shares.

9. The sale of shares was effected pursuant to a Rule 10b5-1 trading plan entered into on March 13, 2025 by the reporting person's 501(c) Foundation, for which the reporting person and his spouse serve as co-trustee.

10. These shares are held by a 501(c) Foundation for which the reporting person and his spouse serve as co-trustee.

11. Reporting person's spouse is the trustee of the Jennifer Duda Annuity Trusts.

12. Reporting person is the trustee of the Kenneth Duda Annuity Trusts.

13. These shares are held by a family trust for which the reporting person is co-trustee.

14. 1/60th of the shares subject to the option vested and became exercisable on April 1, 2017 and 1/60th of the shares subject to the option shall vested monthly thereafter.

	By: Isabelle Bertin-Bailly, Attorney-in-Fact For: Kenneth Duda	06/20/2025
	** Signature of Reporting Person	Date
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 4 (b)(v).
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
Note: File three copies of this Form, one of which must be manually signed. If space is insufficient, see Instruction 6 for procedure.
Persons who respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB Number.

FAQ

How many Arista Networks (ANET) shares did CTO Kenneth Duda sell on 06/17/2025?

He sold 30,000 shares directly and an additional 26,000 shares via trusts and a foundation, totalling 56,000 shares.

What was the exercise price of the options exercised by Kenneth Duda?

The non-qualified stock options were exercised at $3.515 per share.

At what prices were the ANET shares sold?

Weighted average sale prices ranged between $90.6563 and $94.327 per share.

Does Kenneth Duda still own Arista Networks shares after these sales?

Yes. He holds 12,976 shares directly and over 2.3 million shares indirectly through various trusts and GRATs.

Were the transactions part of a 10b5-1 trading plan?

Yes, all exercises and sales were executed under Rule 10b5-1 plans adopted on 03/13/2025.