Digital Ally Remains An Expensive Borrow With Limited Shortability

| About: Digital Ally, (DGLY)

Recent, well-publicized events in the U.S. have attracted considerable attention to the topic of law enforcement’s ability to record interactions with citizens. Further, a proposal by President Barack Obama to provide millions of dollars in funding to equip police officers with body cameras has pushed companies like Digital Ally, Inc. (NASDAQ:DGLY) into the spotlight.

This summer, the share price of DGLY increased nine-fold, from $3.60 on August 14 to a 52-week high of $33.59 on September 2. While a good deal of that gain has since evaporated - with the stock currently at $14.15, as of 12:45 p.m. Eastern on December 15 - the shares are still trading well above their two-year average price of $8.27.

The cost to borrow DGLY has followed the increase in share price, and although the interest rate does not appear to be getting more expensive at the moment, it is still an expensive borrow with limited shortability.

Six-Month Chart: Digital Ally Share Price

Table: The 15 Hardest-to-Borrow Securities For the Week of December 8, 2014 to December 12, 2014

For questions about the content of this article, please contact us at ibti@ibkr.com.

Disclosure: The material (including articles and commentary) provided on IB Traders' Insight is offered for informational purposes only. The posted material is NOT a recommendation by Interactive Brokers (IB) of any investment or a recommendation that you or your clients should contract for the services of or invest with any of the independent advisors or hedge funds or others who may post on IB Traders' Insight. Advisors, hedge funds and other analysts who may post on IB Traders' Insight are independent of IB and IB does not make any representations or warranties concerning the past or future performance of these advisors, hedge funds and others or the accuracy of the information they provide. Interactive Brokers does not conduct a "suitability review" to make sure the trading of any advisor or hedge fund or other party is suitable for you.

Securities or other financial instruments mentioned in the material posted are not suitable for all investors. The material posted does not take into account your particular investment objectives, financial situations or needs and is not intended as a recommendation to you of any particular securities, financial instruments, or strategies. Before making any investment or trade, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.

Any information posted by employees of IB or an affiliated company is based upon information that is believed to be reliable; however, neither IB nor its affiliates warrant its completeness, accuracy or adequacy. Past performance is not necessarily indicative of future results. IB does not make any representations or warranties concerning the past or future performance of any financial instrument.

Editor's Note: This article covers one or more stocks trading at less than $1 per share and/or with less than a $100 million market cap. Please be aware of the risks associated with these stocks.

Editor's Note: This article covers one or more stocks trading at less than $1 per share and/or with less than a $100 million market cap. Please be aware of the risks associated with these stocks.

About this article:

Expand
Tagged: , , , Scientific & Technical Instruments
Want to share your opinion on this article? Add a comment.
Disagree with this article? .
To report a factual error in this article, click here