Digital Ally Inc. (DGLY)

[two-bit sage]

Canadian firm Venator Capital Management is bullish on Digital Ally in an economic downturn as we enter 2008. Venator Capital Management won the 2007 Financial Post Stock Pickers' Challenge. Here’s an excerpt from a January 10, 2008 article in the Financial Post listing their 2008 picks:

"It was a tough market last year. It's just not a good time to be in small caps and it's definitely not a good time to be in value stocks either. Value stocks with growth are always going to be a good way to go. And get the strong balance sheet. It's not a time to be betting on turnarounds. When the economy is not doing so well, it's much tougher to turn your business around."

"I think it's also challenging for Canadian investors to read all these amazing things that are happening to commodity prices out there. And then the harsh reality is that the Canadian dollar has more than kept pace with a lot of these things. I think you have to be more aware of the currency now."

Mr. Osten and partner Stephen Andersons are sticking with Sangoma and Hammond, noting that while the latter's shares have risen, its valuation really hasn't. "In the case of Hammond, you're really betting on overall activity levels..." in oil sands, mining, global infrastructure, alternative energy and power.

Digital Ally "is leading the move" from analog to digital in the police car video surveillance market. However, Mr. Osten is more excited about its new product, a flashlight with a built-in digital audio and video recorder.

Link to full article:

http://www.financialpost.com/story.html?id=226883