Opinion on  Digital Ally Inc. (DGLY)     Sector: Consumer Cyclical  >  Industry: Audio & Video Equipment
Fundamental and Technical Analysis

DGLY is growing revenues at an extremely fast rate thanks to its customers acceptance of its DVM-500 in-car video system.  What is even more important than the 150% first quarter revenue growth from its DVM-500 in- car video is the subsequent market share available to DGLY, new market applications of its existing product, new product (DVM-250 Pro System) opportunities in different industries, including taxicab, bus, limousine, and motor coach operators; utility, telecommunication, package delivery, and distribution companies; government agencies; and even personal vehicles and new products in development. This strong revenue growth is making its way to the bottom line as evident by the positive earnings (.12 last qtr versus prior year .01 gain)

DGLY is an undiscovered company from an institutional (1.75% ownership) and analyst perspective (minimal coverage) because it was just recently added to the NASDAQ market.  Strong Revenue and Earnings Growth ALWAYS get noticed on Wall Street . . . the only question is when.  6 to 12 Month Target Price: $21

Key Points from latest research report:

Revenue Projections:

Q1 Actual: $ 8.601M
Q2 Estimate: $ 9.393M
Q3 Estimate: $10.605M
Q4 Estimate: $11.605M
Year 2008: $40.103M
Year 2009: $75.010M

Earnings Projections:
Q1 Actual: .10
Q2 Estimate: .11
Q3 Estimate: .12
Q4 Estimate: .14
Year 2008: .47
Year 2009: .83

21 times EPS$.83 = $17.50

Assumes:
1. Assumes only sales from DVM500(10,800 Times $3995)
2. Any sales and earnings from Flashlight and DVM250 Pro would increase their revenue and earnings projections (Watch for news on new product sales / contracts)