Company Profile

Stinger Systems, Inc., a leading provider of electro stun technologies, develops and sells a broad array of products utilizing advanced electro sparc- pulsed technology to police, corrections, and security sectors worldwide. http://www.stingersystems.com.

Stinger Systems, Inc. was founded in March 2000 as Electronic Defense Technology, LLC. Stinger entered the market to produce a quality line of less-lethal electronic products to law enforcement agencies particularly of the criminal justice system.

Stinger's first products included the Ultron® II handheld contact stun device, the ICE Shield™ electronic power shield, and the Band-It™ electronic prisoner and defendant control system. Stinger also was responsible for nationwide training of product users having provided over 70,000 officers with complete document training in the event of litigation over product use.

Customers include the US Department of Justice, INS, Federal Bureau of Prisons and the US Marshals Service. In 2004, Stinger extended its product line by creating the Stinger less-lethal firearm which utilizes the same power output that the Ultron® II uses. The Ultron® II has sold more than 12,000 units in the U.S. Stinger Systems, Inc. is a publicly traded company.

Why Stinger Systems Warrants Investment Consideration:

• The growth potential of Stinger Systems far exceeds that of Taser. The market cap of STIY is only 4.18M as opposed to 910M for TASR.

• Stinger S-200 clearly a better overall choice than the Taser X26 -- Three participants were exposed to, the standard four-second exposure from a Stinger Systems' S-200 and the standard five-second exposure from a Taser X26 stun device. The participants did not know which device they had been subjected to until testing was completed. The results indicated that while both devices were effective in takedown power, participants reported that the Stinger S-200 exposure was less painful than the TASER X26 exposure. Independent analysis shows that the total amperage of the Taser X-26 is substantially higher than the Stinger S-200's amperage. [It is amperage, rather than voltage, that is dangerous to humans.] The Stinger S-200 achieves muscle tentanization by oscillating the current over a wider period of time, with pulse groups per second, meaning muscles have a shorter period of time to recover, while the Taser X-26 hits subjects with pulses per second, causing a higher level of discomfort.

• Bart Bacolini is a thirty-three year Law Enforcement veteran and the primary Consultant at Bacolini Enterprises, an eighteen-year-old firm that provides consulting, training and product evaluations to the Law Enforcement and Corrections fields. Mr. Bacolini who led the study stated, "The Stinger S- 200 appears to be the next generation stun gun. The takedown power was excellent. The S-200 feels and operates like a traditional sidearm. The Taser X-26 takes longer to load and requires two hands to complete the entire reloading process. The Stinger S-200 permits one handed cartridge ejections, freeing the second hand to ready the new-armed cartridge, this reduces potential harm to the officer by shortening the time required to reload."

• Durability testing was also performed. During final dart firing, both the Stinger S-200 and the Taser X26 were dropped on cement, from an equal height of 54 inches. The Stinger's batteries fell out, but operated flawlessly when re- inserted. The Taser was more fragile, upon impact the cartridge popped out and the Taser's functionality stopped completely, yielding a broken and unusable unit. Mr. Bacolini stated, "Obviously, durability would be a critical factor when departments consider equipment purchases. In our tests, the Taser simply could not withstand a causal field hazard, the cartridges had too much play in them and were easily dislodged. Another shortcoming of the Taser product was dart spread. Test firings on fixed targets at eighteen feet, demonstrated that the bottom dart missed a man-sized target three times out of eight firings, with one dart landing between or outside the legs. Without effective contact by both darts, the unit's function is greatly diminished. The narrower dart spread provided by the Stinger unit, achieved effective contact by both darts, in all eight firings. Our tests clearly demonstrated that the Stinger unit provided more reliable knock down immobilization and unit durability throughout all phases of testing, thus making it the stun gun of choice."

Business Summary:

Stinger Systems, Inc. engages in manufacturing and marketing electronic restraint products to law enforcement, correctional, professional security, and military sectors. It produces and sells electronic stun devices for the control of, and to provide temporary incapacitation of, dangerous persons. The company markets S-200, a two-dart electronic projectile stun device, and TruVu camera, which offers the option of video and voice capture. The company's control products include Ice Shield, an electrified riot shield; Bandit, a remote controlled or movement controlled electrified wrap used for controlling dangerous detainees in public situations or during transport; and Ultron, a handheld contact stun device used to temporarily incapacitate dangerous individuals. The company was founded as United Consulting Corporation in 1996 and changed its name to Stinger Systems, Inc. in 2004. Stinger Systems, Inc. is based in Tampa, Florida.

Corporate History:

Stinger Systems, Inc. is a publicly traded company. Stinger Systems, Inc. was founded in March 2000 as Electronic Defense Technology, LLC. Stinger entered the market to produce a quality line of less lethal electronic products to law enforcement agencies particularly of the criminal justice system. Stinger's first products included the Ultron® II handheld, contact stun device the electronic power shield, and the REACT™ electronic prisoner and defendant control system. Stinger also was responsible for nationwide training of product users having provided over 70,000 officers with complete documented training in the event of litigation over product use. Customers include the US Department of Justice, INS, Federal Bureau of Prisons and the US Marshals Service. In 2004, Stinger extended its product line by creating the Stinger™ non-lethal firearm which utilizes the same power output that the Ultron® II utilizes. The Ultron® II has sold more than 12,000 units in the U.S.

Research Report:

Released	Contributor	Title	Price
25-Nov-2007	Wright Reports	A textual analysis of Stinger Systems, Inc.'s financial statements, including company description and recent stock performance, versus American Ammunition, Inc. CA, Defense Industries International Inc and Valentec Systems, Inc.	$25

Press Releases:

• Dec. 10 -- Illinois Police Department to Purchase Stingers
• Dec. 3 -- Stinger Systems Receives Follow on Orders for Stingers to Costa Rica
• Nov. 28 -- East Cleveland to Purchase Stingers
• Nov. 27 -- Stinger Systems Announces Orders for Over 100 Band-It(R) Prisoner Restraint Systems
• Nov. 26 -- McPherson County Kansas to Purchase Stingers

Key Management:

• Mr. Robert R. Gruder, Co-Founder, Chairman and Chief Exec. Officer
• Mr. T. Yates Exley, Co-Founder
• Mr. Brian Gannon, Acting Principal Financial Officer, Principal Accounting Officer and Controller

SEC Filings:

Edgar search results for all of Stinger Systems Inc.'s recent SEC filings can be found at: http://finance.yahoo.com/q/sec?s=STIY.OB

Key Statistics:

Contact Information:

Technical Analysis

We are presenting Stinger Systems, Inc. (STIL) as a potential "buy" canditate. We are bullish STIL for these reasons: (1) The stock is forming a pennant structure that should break to higher prices. (2) Buying volume is rapidly surging into the stock at its very low price. This is due to the additional coverage the stock is getting and investors are now finally recognizing the true growth potential of this company. (3) The moving average convergence/divergence (MACD) and the relative strength index (RSI) have substantially improved. A buy signal for the MACD was given in mid-November, while the RSI is rapidly approaching 50. Also, the consumer commodity index (CCI) is coming out of an oversold condition. We assign a one month target price of $0.40 for a 100% profit.

Conclusion

Technical analysis and solid company fundamentals paint an exciting future for STIY. It is becoming more apparent that the Stinger S-200 is the future generation of stun guns and are now being purchased by police departments across the nation. The new stun gun has numerous advantages over the currently used Taser X-26: (1) it is less expensive, (2) the company and stock value has excellent growth potential, (3) the S-200 has superb takedown power, is less painful, and less dangerous to humans, (4) reloading is much easier than the Taser X-26, (5) is more durable, and (6) is more accurate. These facts should undoubtly have a positive impact on growth potential of unit sales, which translates to higher revenue and earnings. We believe investors will be rewarded handsomely by a much higher stock price if the company can continue to successfully market its product to police departments nationwide.

Disclaimer and Disclosure

© 2007 StockChartist.com, LLC. All rights reserved. StockChartist.com, LLC is not a Registered Investment Advisor or a Broker / Dealer.

All materials presented on our web site and individual reports released to the public are not to be regarded as investment advice and are only for informative purposes. Before making a purchase or sale of any securities featured on our web site or mentioned in our reports, we strongly encourage and recommend consultation with a registered securities representative. This is not to be construed as a solicitation or recommendation to buy or sell securities. As with trading any stock, there is always a high degree of investment risk and volatility. All investors are cautioned that you may lose all or a portion of your investment if you decide to make a purchase in any profiled company. Never invest in any stock featured on our site or emails unless you can afford to lose your entire investment.

This stock profile/advertisement alert contains or incorporates by reference "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions or future events or performance are not statements of historical fact and may be "forward looking statements" within the meaning of the Safe Harbor Clause of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that such forward-looking statements invoke risk and uncertainties that may cause the Company's actual results to differ materially from such forward-looking statements. Forward looking statements in this action may be identified through the use of words such as “expects”, “will”, “anticipates”, “estimates”, “believes”, or that by statements indicating certain actions “may”, “could”, or “might occur”, and similar expressions which are intended to identify forward-looking statements. These risks and uncertainties include, but are not limited to, demand for the Company's product both domestically and abroad, the Company's ability to continue to develop its market, the Company's ability to obtain necessary financing, general economic conditions, and other factors that may be more fully described in the company's literature and any periodic filings with the Securities and Exchange Commission.

It should be understood that there is no guarantee past performance will be indicative of future results. The accuracy or completeness of the information on our web site or within our report is only as reliable as the sources they were obtained from. Stockchartist.com, LLC does not hold positions in securities mentioned herein, since that may be regarded as a conflict in interest. In order to be in full compliance with the Securities Act of 1933, Section 17(b), Stockchartist.com, LLC will receive $3,250 in cash from a third party source for its efforts in presenting and disseminating this information to our subscriber database, and posting this report on the Stockchartist.com, LLC web site.

THE READER SHOULD VERIFY ALL CLAIMS AND DO THEIR OWN DUE DILIGENCE BEFORE INVESTING IN ANY SECURITIES MENTIONED. INVESTING IN SECURITIES IS SPECULATIVE AND CARRIES A HIGH DEGREE OF RISK.

We encourage our readers to invest carefully and read the investor information available at the web sites of the Securities and Exchange Commission (SEC) at: http://www.sec.gov and/or the National Association of Securities Dealers (NASD) at: http://www.nasd.com. Readers can review all public filings by companies at the SEC's EDGAR page. The NASD has published information on how to invest carefully at its web site.

Back to our Home Page