Aruba Networks Inc. (ARUN -$0.06 or -0.32% to $18.82) is holding its ground after recent gains for new 52-week highs backed by above average volume helped it rally above its pivot point from a base-on-base type pattern. Confirming gains and a follow-through day on 9/01/10 (M criteria) helped trigger a technical buy signal.  It returned to the Featured Stocks list as it was highlighted in yellow in the 8/30/10 mid-day report (read here).  It rebounded impressively and produced strong quarterly sales revenues and earnings increases in the quarterly reports since it was dropped from the Featured Stocks list in early-May at the time of the "flash crash."

The number of top-rated funds owning an interest in its shares rose from 45 in Mar '09 to 101 in Jun '10 providing a nice reassurance with respect to the investment system's I criteria. Return On Equity reported at 21% is now above the 17% guideline, an encouraging sign. Management's 26% ownership interest keeps the directors' focus on maintaining and growing shareholder value.