Acting on panic never helps investors, but it's still a good idea to play devil's advocate with investments. Consider security-device maker TASER International (Nasdaq: TASR). Although the personal-defense business remains strong, you'll find a few of the 1,164 Motley Fool CAPS members who've weighed in on the company offering reasons to be bearish.

Here at The Motley Fool, we like to consider both the good and bad sides of an investment, so in this article, so I'm highlighting three of the main bearish arguments on TASER today. Be sure to read the bullish side as well, and then weigh in with your own comments below or rate TASER in CAPS.                       

1. Losses
Firearm companies Sturm, Ruger (NYSE: RGR) and Smith & Wesson (Nasdaq: SWHC) have continued to book positive earnings in recent quarters, helped by strong gun sales that have just recently seen signs of easing. But TASER has booked a loss in four of the past five quarters, and its recent first-quarter loss has some investors losing patience and heading for the exits.

2. Right time, wrong place
Business has been good for iRobot (Nasdaq: IRBT), American Science & Engineering (Nasdaq: ASEI), and Raytheon (NYSE: RTN) recently, as worldwide security threats have sparked increased demand for robots, X-ray security systems, and military surveillance equipment. And terrorist incidents have boosted a need for L-1 Identity Solutions' (NYSE: ID) intelligence services. But with TASER's sales affected by tight municipal budgets, some investors see its products receiving lower priority, and if so, there could be a threat to sales growth.            

3. Legal risks
Some investors are still concerned over the potential effects on business that could come as a result of a big loss in the courtroom. TASER is currently a defendant in more than 40 lawsuits and has been involved in numerous others that have sent the stock both reeling and soaring over the past several years. Despite insurance coverage, the looming legal issues have some investors opting for alternative investments.

To see details of what CAPS members are saying now about TASER, just head on over to Motley Fool CAPS and have a look -- or add your own thoughts directly to this story in the comments box below.

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Fool contributor Dave Mock has designated 3 as the number of the day. He owns no shares of companies mentioned here. American Science & Engineering and iRobot are Rule Breakers recommendations. The Fool's disclosure policy was caught on video sneaking snacks into its dietary counseling retreat.