Insights into Axon Enterprise's Upcoming Earnings

Axon Enterprise AXON is preparing to release its quarterly earnings on Wednesday, 2025-05-07. Here's a brief overview of what investors should keep in mind before the announcement.

Analysts expect Axon Enterprise to report an earnings per share (EPS) of $1.25.

Anticipation surrounds Axon Enterprise's announcement, with investors hoping to hear about both surpassing estimates and receiving positive guidance for the next quarter.

New investors should understand that while earnings performance is important, market reactions are often driven by guidance.

Historical Earnings Performance

During the last quarter, the company reported an EPS beat by $0.68, leading to a 15.25% increase in the share price on the subsequent day.

Here's a look at Axon Enterprise's past performance and the resulting price change:

Tracking Axon Enterprise's Stock Performance

Shares of Axon Enterprise were trading at $621.4 as of May 05. Over the last 52-week period, shares are up 93.72%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analyst Opinions on Axon Enterprise

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding Axon Enterprise.

With 5 analyst ratings, Axon Enterprise has a consensus rating of Buy. The average one-year price target is $655.2, indicating a potential 5.44% upside.

Analyzing Analyst Ratings Among Peers

The below comparison of the analyst ratings and average 1-year price targets of L3Harris Technologies and Howmet Aerospace, three prominent players in the industry, gives insights for their relative performance expectations and market positioning.

• Analysts currently favor an Buy trajectory for L3Harris Technologies, with an average 1-year price target of $257.2, suggesting a potential 58.61% downside.
• Analysts currently favor an Outperform trajectory for Howmet Aerospace, with an average 1-year price target of $140.83, suggesting a potential 77.34% downside.

Summary of Peers Analysis

The peer analysis summary presents essential metrics for L3Harris Technologies and Howmet Aerospace, unveiling their respective standings within the industry and providing valuable insights into their market positions and comparative performance.

Key Takeaway:

Axon Enterprise ranks highest in Revenue Growth among its peers. It is in the middle for Gross Profit. Axon Enterprise is at the bottom for Return on Equity.

Delving into Axon Enterprise's Background

Axon Enterprise Inc is building a public safety operating system by integrating a suite of hardware devices and cloud software solutions. The company's suite includes cloud-hosted digital evidence management solutions, productivity and real-time operations software, body cameras, in-car cameras, TASER energy devices, drones and robotic security, and training solutions. The company's operation comprises of two operating segments, Software and Sensors, and TASER. The company generates the majority of its revenue from the Software and Sensors segment, which is engaged in developing, manufacturing, and selling fully integrated hardware and cloud-based software solutions that enable law enforcement to capture, securely store, manage, share, and analyze video and other digital evidence.

Axon Enterprise's Financial Performance

Market Capitalization Analysis: The company's market capitalization is above the industry average, indicating that it is relatively larger in size compared to peers. This may suggest a higher level of investor confidence and market recognition.

Revenue Growth: Axon Enterprise's remarkable performance in 3 months is evident. As of 31 December, 2024, the company achieved an impressive revenue growth rate of 33.64%. This signifies a substantial increase in the company's top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Industrials sector.

Net Margin: Axon Enterprise's net margin is impressive, surpassing industry averages. With a net margin of 23.5%, the company demonstrates strong profitability and effective cost management.

Return on Equity (ROE): Axon Enterprise's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 6.11%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 3.19%, the company showcases effective utilization of assets.

Debt Management: Axon Enterprise's debt-to-equity ratio is below the industry average at 0.31, reflecting a lower dependency on debt financing and a more conservative financial approach.

To track all earnings releases for Axon Enterprise visit their earnings calendar on our site.

This article was generated by Benzinga's automated content engine and reviewed by an editor.