Six years ago, Ferguson riots started and S&P 500 gained well over 10% in a couple of weeks. A niche with massive gains, back then, was security and surveillance niche. Why? Because everyone wants to be secured and Big Brother wants to know what is going on in the streets, thus heavy volumes followed by huge price spikes.
Why is DGLY share up today?
One of the stocks in this niche is Digital Ally Inc (NASDAQ:DGLY) as they are selling high-tech body-worn video recording products for law enforcement forces, emergency management, fleet safety and security. Back in 2014, during aforementioned riots DGLY stock price went from $4 to $18.54 in a matter of days.
The history seems to be repeating, but this time DGLY started climbing from $0.84 on May 28.
DGLY share price went massive 20% up on Friday and is trading around $2.5 at the moment (1 pm EDT). This means that there is still more room left for some quick profits, in case protest and riots sparked by the death of George Floyd continue.
What is the price forecast for DGLY stock?
But, of course no one can say with certainty what tomorrow brings. Maybe DGLY stock will go up 50% and maybe it will stall and go back to pre-riots levels. This is the sad reality of stocks in security niche. You live from spike to spike, from riot to riot.