Market Overview

TASER International Continues To Outrank Its Cop Body-Camera Rivals

Share:
TASER International Continues To Outrank Its Cop Body-Camera Rivals

Ladenburg Thalmann reaffirmed its Buy rating and raised the price target on TASER International, Inc. (NASDAQ: TASR) on better weapons growth and international penetration.

Scottsdale, Arizona-based TASER makes conducted electrical weapons (CEWs) designed for use by law enforcement, military, corrections and private security.

Dominance In Space

"TASER continues to show a dominant position in video despite the threat of new entrants. While numerous large companies have sought to break into the on-officer video market such as Motorola Solutions Inc (NYSE: MSI) we find little evidence that competitors are gaining much, if any, traction," analyst Glenn Mattson wrote in a note.

Mattson noted that the company has "by far the most major cities of any competitor." Three additional cities were added in Q12016: Chicago, Minnesota and Baltimore. TASER has won 29 of the 36 major cities that have adopted on-officer video solution or 81 percent of all deployments.

Related Link: BZ Note: For Some Perspective On TASER Contract, Co Announced "Largest Body Camera Order" In Nov

On Thursday, Axon, a business unit of TASER, said it has been officially awarded a $28 million contract from Los Angeles Police Department to deploy Axon Cameras and TASER devices standard to all 7,000 front-line officers. The initial rollout will start in the third quarter of 2016 and is expected to complete shipping in 2017.

"At over 7,000 officers, this is one of the largest deployments to date, and the exhaustive review of the program further validates TASR's position as one of the only companies who has proven it can handle video at scale," Mattson highlighted.

Expectations Moving Forward

Mattson, who still expects TASER to see strong U.S. adoption in the video segment, raised his price target by $4 to $28, implying an upside of 16 percent.

"We believe that this business (weapons business) is proving less cyclical as a prolonged upgrade continues to play out in the U.S., and the international opportunity continues to expand," Mattson said.

For 2016, Mattson expects earnings of $0.40 a share on revenue of $236 million versus consensus estimate of $0.29/$234.17 million.

At the time of writing, shares of TASER rose 1.98 percent to $24.70.

Latest Ratings for MSI

DateFirmActionFromTo
Oct 2020Credit SuisseMaintainsOutperform
Oct 2020MKM PartnersUpgradesNeutralBuy
Oct 2020TD SecuritiesUpgradesHoldBuy

View More Analyst Ratings for MSI
View the Latest Analyst Ratings

 

Related Articles (TASR + MSI)

View Comments and Join the Discussion!

Posted-In: Axon Glenn MattsonAnalyst Color News Price Target Reiteration Analyst Ratings Trading Ideas Best of Benzinga

Latest Ratings

StockFirmActionPT
PMTB of A SecuritiesMaintains18.5
IVRB of A SecuritiesMaintains3.0
EFCB of A SecuritiesMaintains15.5
NYMTB of A SecuritiesMaintains3.5
NLYB of A SecuritiesMaintains8.5
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com