Deutsche Bank Initiating Coverage on Aruba Networks

Deutsche Bank is out with a research report on Aruba Networks (NASDAQ: ARUN) and is initiating coverage with a Hold rating and a $27 price target on shares.

In a note to clients, Deutsche Bank writes, "Aruba is a leading provider of wireless networking equipment for campus environments. The proliferation of mobile and portable computing devices, as well as the overall steady growth of data consumption, have led to growing demand for wireless solutions within the enterprise. We believe that Aruba currently offers the best solution for addressing this demand and should see substantial growth in coming years. However, given market uncertainty and overall macro conditions we are somewhat cautious on the company's near term prospects. Aruba's technological advancements in firewalls, encryption and authentication coupled with its MOVE architecture give the company an advantage over its competitors, both large and small."

Shares of ARUN closed at $23.69 yesterday.