I have an Armalite NM sight on my NRA Service Rifle. What was posted in the letter from Armalite is true - there is absolutely NO rotation of my rear sight base, no matter how many clicks of elevation that I have on it.
That being said, the rotation inherent in a "regular" A2 sight base has absolutely no affect on windage or elevation. On the A2 sight the rear sight leaf that you are looking through is directly over the center of the elevation screw. It the sight rotates a little the sight leaf may be presented at a slightly different angle, but it is still in the same place as to windage.
Getting rid of the rotation is only important to those who have hooded rear sights, as used in Service Rifle competition, and perhaps have some sort of a lens fitted inside the rear sight hood.
Now, if there is play or wobble in the elevation screw itself (which I've never heard of, but I guess it could happen), then either the screw is undersized or the tapped hole in the elevation wheel is oversized. This could be a problem. If that were the case on one of my rifles, I'd probably try to buy a new elevation wheel (Make sure it's the same thread pitch as your elevation screw.) and see if that's the issue. Otherwise an entire rear sight is not too expensive.