The New York Police Department announced Tuesday the “next phase of the body-worn camera deployment” — a phase that doesn’t directly involve Axon Enterprise Inc AAXN or Digital Ally, Inc. DGLY, but nonetheless triggered their rises.
What Happened
Axon’s stock rose marginally ahead of the announcement, fell on Benzinga reports denying speculation of a contract, and rose again as the NYPD confirmed it would accelerate its investment in body camera technology. Digital Ally similarly rose and fell, but failed to rebound again.
The NYPD announcement was nonetheless positive for both companies, both of which lost previous contract bids to Vievu. Panel members affirmed both the fiscal and public relations benefits of implementing their recording technology.
“We fully expect this process to be complete a year ahead of schedule — with all of our police officers on patrol, housing, and transit to be wearing body cameras by the end of this year,” NYPD Police Commissioner James O’Neill said Tuesday afternoon during a panel.
What's Next
The sudden, sharp, positive movements in both Digital Ally and Axon stocks were notable considering the rivals generally trend inversely. Their coincidental rises may have been the work of algorithms reacting to any sort of “body camera” news.
Axon's stock closed at $27.36, down 5 cents or 0.2 percent on the day.
Digital Ally closed at $2.15, down 10 cents or 4.4 percent.
Related Links:
Digital Ally Gets Electroshock Weapon Patent, Plans to Enter Nonlethal Market
Axon Dismissive Of Digital Ally's 'Significant Win' In Ongoing Patent Suit
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
