Digital Ally completes financing and secures key shareholder approvals

An announcement from Digital Ally ( (DGLY) ) is now available.

On December 19, 2025, Digital Ally, Inc. completed a subsequent closing under its September 15, 2025 securities purchase agreement, issuing senior secured convertible notes with an aggregate original principal of $267,500 and related warrants to a single investor, resulting in $250,000 of gross proceeds after a 7% original issue discount. The 8% notes are senior to most of the company’s existing and future indebtedness, are secured by substantially all of its assets (with specified subsidiary exceptions), and are convertible into common stock at a 10% discount to the volume-weighted average price before the initial closing, while the accompanying five-year warrants are exercisable for 147,128 shares at $2.124 per share; the company also placed 3% of the proceeds into escrow to support negotiations over a potential third-party fee arrangement. Also on December 19, 2025, at its annual meeting of stockholders, Digital Ally secured shareholder approval for a suite of governance and financing measures, including the election of four directors, ratification of its independent auditor for 2025, authorization for potentially dilutive issuances of 20% or more of outstanding common stock under its convertible note and equity line of credit agreements, an increase of 375,000 shares reserved under its 2022 Stock Option and Restricted Stock Plan, and an annual say-on-pay advisory vote on executive compensation, collectively reinforcing the board’s capital-raising flexibility and compensation framework but also signaling continued reliance on equity-linked financing that may affect existing shareholders’ ownership stakes.

The most recent analyst rating on (DGLY) stock is a Sell with a $0.78 price target. To see the full list of analyst forecasts on Digital Ally stock, see the DGLY Stock Forecast page.

Spark’s Take on DGLY Stock

According to Spark, TipRanks’ AI Analyst, DGLY is a Underperform.

Digital Ally’s stock score is primarily impacted by its poor financial performance and bearish technical indicators. The company’s ongoing financial struggles, including negative profitability and cash flow issues, are significant concerns. While recent corporate events show some positive developments, they are not enough to offset the overall negative outlook.

To see Spark’s full report on DGLY stock, click here.

More about Digital Ally

Digital Ally, Inc. is a publicly traded company whose common stock has a par value of $0.001 per share and which operates through multiple subsidiaries, including TicketSmarter, Digital Ally Healthcare, Inc. and Nobility Healthcare, LLC. The company utilizes stock option and restricted stock plans and has an equity line of credit structure in place, reflecting an active use of equity-linked financing arrangements to fund its operations and growth initiatives.

Average Trading Volume: 297,884

Technical Sentiment Signal: Strong Sell

Current Market Cap: $1.38M

For a thorough assessment of DGLY stock, go to TipRanks’ Stock Analysis page.