Digital Ally’s stock rocked after disappointing ruling in Axon patent dispute
Shares of Digital Ally Inc. plummeted 45% toward a record low in premarket trading Tuesday, after the maker of video surveillance products for law enforcement and homeland security received an unfavorable ruling in its years-long patent dispute with Axon Enterprise Inc. Axon shares gained 1.5% ahead of the open. Axon said the U.S. District Court for Kansas found that Axon’s signal technology did not infringe on Digital Ally’s patent, and dismissed the case in its entirety. Digital Ally said it intends to appeal the court’s ruling, saying the court had accepted Axon’s “incorrect and mistaken interpretation” of Digital Ally’s patent claims. “Axon misled this Court and convinced the judge to take an overly narrow view of our patent,” said Digital Ally Chief Executive Stanton Ross. “We highly doubt the Court of Appeals for the Federal Circuit will be similarly misled.” Digital Ally’s stock was on track to open below its record close of $1.75 on Nov. 2 and Nov. 3 of 2017. It has tumbled 23.5% over the past three months through Monday, while Axon shares have shot up 36.3% and the S&P 500 has gained 2.0%.
Source : MTV
