Errant Digital Ally Headline Sent Stock 15% Higher
Shares of Digital Ally, Inc. (NASDAQ: DGLY) spiked higher on Thursday as traders and investors reacted to a company Tweet which touted the Rockwood Police Department choosing to outfit their police department with its FirstVuHD body cameras.
However, Digital Ally's stock quickly reversed course after reports surfaced the dollar value of the contract is minimal. According to Roane County News, a local media source, the Rockwood Police Department is only purchasing upgrades for its already existing equipment and software.
The publication noted that the Police Department's old equipment worked well but was showing "some age" and "beginning to have some issues."
Roane County News added that the total dollar value of the agreement is $8,744.52. However, an errant headline across newswires said the contract was worth $8.7 million.
Shares of Digital Ally showed no trades early Friday morning and closed at $4.95 on Thursday after briefly trading near the $5.50 per share mark.
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