Contrasting Digital Ally Inc./NV (NASDAQ:DGLY) and Wrap Technologies (NASDAQ:WRAP)

Digital Ally Inc./NV (NASDAQ:DGLY) and Wrap Technologies (NASDAQ:WRAP) are both small-cap industrials companies, but which is the better stock? We will contrast the two businesses based on the strength of their institutional ownership, valuation, analyst recommendations, profitability, risk, dividends and earnings.

Profitability

This table compares Digital Ally Inc./NV and Wrap Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Digital Ally Inc./NV	-45.36%	-190.13%	-31.78%
Wrap Technologies	-300.11%	-194.93%	-83.58%

Analyst Recommendations

This is a summary of current ratings and recommmendations for Digital Ally Inc./NV and Wrap Technologies, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Digital Ally Inc./NV	1	0	0	1	2.50
Wrap Technologies	1	0	0	0	1.00

Earnings and Valuation

This table compares Digital Ally Inc./NV and Wrap Technologies”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Digital Ally Inc./NV	$19.65 million	0.07	-$19.84 million	($3,222.80)	0.00
Wrap Technologies	$4.50 million	24.84	-$5.88 million	($0.30)	-7.23

Wrap Technologies has lower revenue, but higher earnings than Digital Ally Inc./NV. Wrap Technologies is trading at a lower price-to-earnings ratio than Digital Ally Inc./NV, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

4.2% of Digital Ally Inc./NV shares are held by institutional investors. Comparatively, 8.8% of Wrap Technologies shares are held by institutional investors. 0.0% of Digital Ally Inc./NV shares are held by insiders. Comparatively, 33.3% of Wrap Technologies shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Volatility and Risk

Digital Ally Inc./NV has a beta of 0.89, indicating that its share price is 11% less volatile than the S&P 500. Comparatively, Wrap Technologies has a beta of 1.39, indicating that its share price is 39% more volatile than the S&P 500.

Summary

Digital Ally Inc./NV beats Wrap Technologies on 7 of the 13 factors compared between the two stocks.

About Digital Ally Inc./NV

Digital Ally, Inc. produces and sells digital video imaging, storage, and disinfectant and related safety products for use in law enforcement, security, and commercial applications in the United States. It operates through three segments: Video Solutions, Revenue Cycle Management, and Entertainment. The company offers in-car digital video mirror systems for law enforcement; in-car digital video event recorder systems for commercial fleets; a suite of data management web-based tools to assist fleet managers in the organization, archival, and management of videos and telematics information; body-worn digital video systems for law enforcement and private security; and VuLink ecosystem that provides intuitive auto-activation functionality as well as coordination between multiple recording devices. It also provides EVO Web, a web-based software that enables police departments and security agencies to manage digital video evidence quickly and easily; FleetVU Manager, a web-based software for commercial fleet tracking and monitoring; ThermoVu, a non-contact temperature-screening instrument that measures temperature through the wrist and controls entry to facilities when temperature measurements exceed pre-determined parameters; and Shield disinfectants and cleansers, as well as other personal protective equipment and supplies, such as masks, gloves, disposable wipes, and electrostatic sprayer to health care workers and other consumers. In addition, the company offers working capital and back-office services, including insurance and benefit verification, medical treatment documentation and coding, and collections to healthcare organizations; and operates TicketSmarter.com, an online ticketing marketplace for ticket sales, partnerships, and ticket resale services for live events, including concerts, sporting events, theatres, and performing arts. Digital Ally, Inc. was founded in 2004 and is headquartered in Lenexa, Kansas.

About Wrap Technologies

Wrap Technologies, Inc., a public safety technology and services company, develops policing solutions to law enforcement and security personnel. The company's flagship product is BolaWrap 150, a handheld remote restraint device that discharges a seven and a half-foot Kevlar tether, entangling an individual from a range of 10-25 feet. It also offers virtual reality training system, a law enforcement 3D training system employing immersive computer graphics VR with proprietary software-enabled content. It operates in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. The company was incorporated in 2007 and is based in Tempe, Arizona.