Goldman Sachs' Network Team Has Investors Jumping Into Aruba Networks (ARUN)

In addition to putting a jolt in shares of Cisco (Nasdaq: CSCO) today, commentary from Goldman Sachs analysts, led by Simona Jankowski, have shares of Aruba Networks (NASDAQ: ARUN) jumping 7 percent.

Data from Goldman's survey of networking value-added resellers (VARs) showed that 100 percent of them expected their network infrastructure business to grow this year. Interestingly, VARs see stronger growth in layer 2-3 network spending than in layer 4-7 and a top growth category for 2012 is wireless LAN, where Aruba is a pure-play.

Aruba, Cisco, and Riverbed (Nasdaq: RVBD) were the top share gainers, while Brocade (Nasdaq: BRCD), Juniper (Nasdaq: JNPR), and F5 (Nasdaq: FFIV) lag and Huawei not making a dent yet.

A majority of respondents expect customers to be more willing to buy from best-of-breed vendors. "This bodes well for Aruba, which had only 15% market share in 2Q12 of the enterprise wireless LAN (WLAN) market," the analysts said.

For an analyst ratings summary and ratings history on Aruba Networks click here. For more ratings news on Aruba Networks click here.

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