Why Taser, Digital Ally, Deutsche Bank, and More Are in the Spotlight

After opening well in the green on the back of strong earnings out of several banks, the broader markets have retraced somewhat as traders await the earnings results out of a broader selection of companies in the days to come.

Among the stocks that traders are also watching today are Deutsche Bank AG (USA) (NYSE:DB), TASER International, Inc. (NASDAQ:TASR), Digital Ally, Inc. (NASDAQ:DGLY), Exxon Mobil Corporation (NYSE:XOM), and Total SA (ADR) (NYSE:TOT). Let’s analyze the associated catalysts for each stock today and see how the smart money is positioned in them.

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Deutsche Bank AG (USA) (NYSE:DB) is in the spotlight after the Wall Street Journal reported that the German government has ruled out taking a direct stake in the bank, with some Chancellery aids saying that the action was “inconceivable”. Given the very high political cost of bailing out the bank for Angela Merkel, it seems that the government is trying to put together a private market solution instead. In the past, reports have said that various German blue-chips are willing to provide low-digit billions of euros in case Deutsche Bank needed it. There is also the possibility that the Department of Justice will settle with Deutsche Bank at a figure lower than the headline $14 billion for the institution’s past mortgage-related misdeeds.Of the 749 hedge funds that we track which filed 13Fs for the June quarter, 15 funds owned $48.11 million in Deutsche Bank AG (USA) (NYSE:DB) shares on June 30, up from just ten funds with $23.98 million in Deutsche Bank holdings on March 31.

TASER International, Inc. (NASDAQ:TASR) shares have rallied by 4.5% after Jeff Kessler of Imperial Capital initiated coverage of the stock with an ‘Outperform’ rating and $27 price target. Kessler thinks Taser’s dominant market share and its high brand awareness gives it a “significant leading advantage” that could deliver value for shareholders. The analyst also notes that Taser’s weapons carry a very healthy 70% margin and that demand for those weapons is rising. Richard Driehaus‘ Driehaus Capital raised its stake in TASER International, Inc. (NASDAQ:TASR) by 152% in the second quarter to just under 300,000 shares as of the end of June.

On the next page we’ll put Digital Ally, Exxon Mobil Corporation, and Total SA under the microscope.

Digital Ally, Inc. (NASDAQ:DGLY) is 6.1% in the green today after the company announced that a Federal District Court issued a ruling on October 13 that denied Taser’s request to continue the stay of discovery on the antitrust claims found in Digital Ally’s lawsuit against the company. The judge’s ruling allows Digital Ally to commence the discovery process, which will eventually include requests for the production of documents and interrogatories, among other things. CEO Stanton Ross said:

“The Company is very pleased that the court has denied Taser’s request to stay discovery on the antitrust portion of the lawsuit and intends to commence such discovery immediately. Furthermore, the Company believes that the outcome of this litigation will generally set the competitive landscape for body-worn cameras utilized by law enforcement agencies for the foreseeable future.”

None of the funds tracked by Insider Monkey owned shares of Digital Ally, Inc. (NASDAQ:DGLY) at the end of the second quarter.

Exxon Mobil Corporation (NYSE:XOM) and Total SA (ADR) (NYSE:TOT) are trending after Bloomberg reported that the $50 billion Kashagan development on the Caspian Sea has finally started exporting crude a mere 16 years after the project was first drawn up. The first shipment of 26,500 metric tons of crude has been loaded onto various pipelines after many years and billions of dollars worth of delays. The success and smooth operation of the venture, which is 16.81% owned by Exxon and 16.81% owned by Total, is important for both companies, as the project will improve both supermajor’s cash flows at a time when Brent prices are under $55 per barrel.

According to our data, 60 funds in our system were long Exxon Mobil Corporation (NYSE:XOM) at the end of June, while 16 were long Total SA (ADR) (NYSE:TOT).

Disclosure: None