Digital Ally rebrands as Kustom Entertainment with reverse split

Digital Ally ( (DGLY) ) has provided an announcement.

On January 8, 2026, Digital Ally, Inc. implemented a 1-for-3 reverse stock split of its common stock, reducing the number of outstanding shares from 2,402,498 to 801,006, with fractional shares rounded up, and began trading that day on a split-adjusted basis on the Nasdaq Capital Market under a new CUSIP. Effective the same day, the company changed its corporate name to Kustom Entertainment, Inc., updated its bylaws solely to reflect the new name, and switched its Nasdaq ticker symbol from DGLY to KUST, with no action required from shareholders and no change to their rights. These steps formalize the group’s strategic pivot toward the live events and online ticketing markets, aligning its capital structure and market identity with its growing focus on national-scale live event production and proprietary ticketing platforms, and signaling a departure from its historic identity as a pure-play video solutions supplier to public-safety and commercial customers.

The most recent analyst rating on (DGLY) stock is a Sell with a $0.83 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.

The score is driven primarily by weak financial performance (ongoing losses and cash burn) and bearish technical trends (below key moving averages with negative MACD). A positive corporate update on cost reductions and improved quarterly results provides some support, but valuation metrics are not favorable given losses and no dividend yield.

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

More about Digital Ally

Digital Ally, now renamed Kustom Entertainment, Inc., is repositioning from its legacy business of developing and manufacturing advanced video recording and safety products for law enforcement, emergency management, fleet safety and event security into a live event production and ticketing technology company. Under the Kustom Entertainment brand, the company aims to build a national footprint in large-scale music festivals and live events—anchored by its long-running Country Stampede Music Festival—while offering vertically integrated, proprietary online ticketing and end-to-end event management solutions for venues across the United States.

Average Trading Volume: 329,603

Technical Sentiment Signal: Strong Sell

Current Market Cap: $1.44M

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