The two publicly traded makers of so-called cop cams made sizable gains in the stock market Tuesday in the wake of a federal proposal to help buy the devices.
President Obama on Monday proposed spending $75 million over three years to help purchase 50,000 body-worn cameras for law enforcement agencies.
Digital Ally, Inc. DGLY gained more than 40 percent, trading recently at $18.13; Its larger and more established competitor, Taser International, Inc. TASR rose more than 4 percent, changing hands at $23.26.
Both issues retreated somewhat following cautionary comments on Taser's valuation on a mid-day television report by CNBC consultant Josh Brown.
Digital Ally shares are up more than 230 percent and Taser by more than 70 percent since the August 9 shooting death of Michael Brown in Ferguson, Missouri.
On Tuesday, Taser was near its 52-week high, but Digital has proven more volatile, and is well below its high of $33.59 hit in early September.
Jim Bueermann, president of the Police Foundation, speaking to Bloomberg Tuesday in light of the president's proposal, predicted that in five years, “it will be more unusual to see officers not wearing a body cam than wearing one.”
As of 2008, there were about 765,000 law enforcement officers with arrest powers in the U.S., according to the Department of Justice. Bloomberg estimates there are nearly 50,000 body mounted police cameras currently in use.
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