Health diagnostics firm Alere ( ALR) has done a good job of rebounding since the company's name change from Inverness Medical this summer. But while shares are up 37% since July, the stock is still dealing with double-digit losses on the whole year. Alere's short ratio currently stands at 11.1. By integrating its medical diagnostic devices with health management programs, Alere is tapping an attractive niche as demand for medical products moves higher alongside the aging population in the U.S. While the company has been able to regain its profitability in the latest quarter and full year, that move has been tentative at best in 2010. Investors will want to see management sustain stronger operations before they'll be willing to bid share prices up. That said, with an attractive product and reasonable financial health, this stock should have rebound power in 2011... That's the hope of major shareholders, like Seth Klarman's Baupost Group. In addition to Alere, Klarman and company also own major stakes in ViaSat ( VSAT) and News Corporation ( NWSA). Other holders of the stock include David Dreman and Private Capital Management.