Boston, MA 08/27/2014 (wallstreetpr) – Aruba Networks, Inc. (NASDAQ:ARUN), a $2.3 billion company whose shares are up more than 25% over the past 12 months, was upgraded at UBS AG (NYSE:UBS). The analysts moved after the company posted 4Q2014 results that showed improvement from a year earlier and also surpassed consensus estimates.
Following Tuesday’s positive earnings, analysts at UBS AG (NYSE:UBS) moved to raise their view and target price on the stock of Aruba Networks. They raised the stock’s rating to a “buy” from “neutral”. They also increased their target price on the stock to $25 from $21.
Share price movement
The positive 4Q results and the bullish ratings were received well by investors who helped push shares of Aruba Networks up more than 4% in the morning session. The shares hit a low of $17.49 earlier this month, but have had a decent momentum in the past several days of trading, gaining 25% in just about two weeks.
A number of analysts have recently weighed in on Aruba Networks, Inc. (NASDAQ:ARUN). Analysts at Pacific Crest, for instance, cut their target price on the stock to $62 from $63 in the previous note. However, at Piper Jaffray they increased their target price on the stock to $28 from $28. Aruba Networks also benefited from a “buy” recommendation from Stifel Nicolaus. They previously had the stock on a “hold” list. On the average, Aruba Networks bears a target price of $24.48 and consensus rating of a “hold”.
Earnings at a glance
Aruba Networks, Inc. (NASDAQ:ARUN) reported a GAAP net loss of $4.1 million or $0.04 a share in the latest quarter, which compared favorably with a net loss of $15.6 million or $0.14 a share in the same period a year ago. On non-GAAP basis, it earned $27.6 million or $0.24 a share, which was up from $15.8 million or $0.13 a share in the prior year. On the average, analysts expected $0.23 a share. The quarter saw revenue coming in at $202.86 million, an increase of 33% from revenue of $153.06 million in the prior year. Analysts expected revenue of $194.85 million for the quarter.
