Digital Ally maintains Nasdaq listing after panel review

OVERLAND PARK, KS - Digital Ally, Inc. (NASDAQ:DGLY), a company specializing in video solution technology and other services with a current market capitalization of $2.06 million and trailing twelve-month revenue of $19.65 million, announced today that it has been granted continued listing on The Nasdaq Stock Market LLC. This decision comes after a Nasdaq Hearings Panel ruling on May 1, 2025, which outlined specific compliance criteria that the company must meet.

To retain its listing, Digital Ally must satisfy a $2.5 million stockholders’ equity requirement by May 20, 2025, and a $1.00 minimum bid price requirement by June 6, 2025. Additionally, the company must continue to meet all other applicable Nasdaq listing criteria through September 2, 2025. Digital Ally expressed its commitment to meeting these conditions in a timely manner. According to InvestingPro data, the stock currently trades at $0.52, having declined 97% over the past six months, highlighting the challenge ahead.

Despite this positive development, the company cautioned that there is no guarantee it will succeed in demonstrating compliance with the Nasdaq’s requirements. The company’s efforts are ongoing, and it is diligently working to meet the Panel’s terms. InvestingPro analysis reveals concerning metrics, including a weak financial health score of 1.04 and a current ratio of 0.35, indicating potential challenges in meeting short-term obligations. For deeper insights into Digital Ally’s financial health and future prospects, investors can access 12 additional ProTips on InvestingPro.

Digital Ally’s diverse operations include video technology solutions, health protection products for humans and animals, healthcare revenue cycle management, ticket brokering and marketing, event production, and jet chartering. The company aims to expand by acquiring organizations with positive earnings, growth potential, innovation, and synergies, though its recent performance shows a revenue decline of 30.44% and negative EBITDA of $8.35 million in the last twelve months.

The information in this news piece is based on a press release statement and contains forward-looking statements that involve risks and uncertainties. These statements are not historical facts but are based on current expectations and assumptions. As with any forward-looking statements, they are subject to change and should not be relied upon as guarantees of future performance. Digital Ally has warned that actual results could differ materially from those anticipated due to a variety of factors beyond its control.

In other recent news, Digital Ally, Inc. has announced a 1-for-20 reverse stock split, set to commence on May 7, 2025. This decision, approved by the company’s Board of Directors, aims to consolidate shares and will be managed automatically for stockholders with book-entry shares. Additionally, Digital Ally is seeking shareholder approval to significantly increase its authorized shares from 210 million to 5.01 billion, with a substantial portion designated as common stock. This proposal, crucial for potential corporate financing and growth opportunities, will be voted on at a reconvened meeting on May 5, 2025.

The company has also received a non-compliance notice from Nasdaq for failing to file its Annual Report for the period ending December 31, 2024, on time. Digital Ally is currently working to address this issue and expects to resume regular filing schedules. The company’s management has not disclosed specific reasons for the proposed increase in authorized shares, leaving investors to await further updates through SEC filings. These developments highlight Digital Ally’s ongoing efforts to adjust its capital structure and maintain compliance with market regulations.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.