NasdaqGS:AXON

Stock Analysis Report

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Market Cap

US$12.5b

Last Updated

2021/08/05 22:58 UTC

Data Sources

Company Financials +

Executive Summary

Axon Enterprise, Inc. develops, manufactures, and sells conducted energy weapons (CEWs) under the TASER brand in the United States and internationally. More Details


Snowflake Analysis

Flawless balance sheet with reasonable growth potential.


Similar Companies

Share Price & News

How has Axon Enterprise's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: AXON is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: AXON's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

3.8%

AXON

-2.1%

US Aerospace & Defense

0.02%

US Market


1 Year Return

111.1%

AXON

22.7%

US Aerospace & Defense

33.2%

US Market

Return vs Industry: AXON exceeded the US Aerospace & Defense industry which returned 22.7% over the past year.

Return vs Market: AXON exceeded the US Market which returned 33.2% over the past year.


Shareholder returns

AXONIndustryMarket
7 Day3.8%-2.1%0.02%
30 Day9.5%-3.4%-0.1%
90 Day43.6%-1.5%4.1%
1 Year111.1%111.1%25.3%22.7%35.3%33.2%
3 Year226.1%226.1%21.2%-4.2%61.4%51.3%
5 Year564.5%564.5%69.2%26.9%122.2%97.7%

Long-Term Price Volatility Vs. Market

How volatile is Axon Enterprise's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Axon Enterprise undervalued compared to its fair value and its price relative to the market?

12.38x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: AXON ($193.49) is trading above our estimate of fair value ($33.29)

Significantly Below Fair Value: AXON is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: AXON is unprofitable, so we can't compare its PE Ratio to the US Aerospace & Defense industry average.

PE vs Market: AXON is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate AXON's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: AXON is overvalued based on its PB Ratio (12.4x) compared to the US Aerospace & Defense industry average (2.6x).


Future Growth

How is Axon Enterprise forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

120.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: AXON is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).

Earnings vs Market: AXON is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: AXON's is expected to become profitable in the next 3 years.

Revenue vs Market: AXON's revenue (13.6% per year) is forecast to grow faster than the US market (9.1% per year).

High Growth Revenue: AXON's revenue (13.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: AXON's Return on Equity is forecast to be low in 3 years time (12%).


Past Performance

How has Axon Enterprise performed over the past 5 years?

-49.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: AXON is currently unprofitable.

Growing Profit Margin: AXON is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: AXON is unprofitable, and losses have increased over the past 5 years at a rate of 49.8% per year.

Accelerating Growth: Unable to compare AXON's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: AXON is unprofitable, making it difficult to compare its past year earnings growth to the Aerospace & Defense industry (-5.8%).


Return on Equity

High ROE: AXON has a negative Return on Equity (-5.31%), as it is currently unprofitable.


Financial Health

How is Axon Enterprise's financial position?


Financial Position Analysis

Short Term Liabilities: AXON's short term assets ($986.2M) exceed its short term liabilities ($239.8M).

Long Term Liabilities: AXON's short term assets ($986.2M) exceed its long term liabilities ($154.2M).


Debt to Equity History and Analysis

Debt Level: AXON is debt free.

Reducing Debt: AXON currently has no debt however we can't compare to 5 years ago as we have no data for that period.

Debt Coverage: AXON has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: AXON has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Dividend

What is Axon Enterprise current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate AXON's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate AXON's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if AXON's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if AXON's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of AXON's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.6yrs

Average management tenure


CEO

Rick Smith (50 yo)

28.58yrs

Tenure

US$2,559,392

Compensation

Mr. Patrick W. Smith, also known as Rick, co-founded Axon Enterprise, Inc. (formerly TASER International) in September 1993 and has been its Chief Executive Officer and Director since 1993. After graduatin...


CEO Compensation Analysis

Compensation vs Market: Rick's total compensation ($USD2.56M) is below average for companies of similar size in the US market ($USD11.15M).

Compensation vs Earnings: Rick's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: AXON's management team is considered experienced (3.6 years average tenure).


Board Members

Experienced Board: AXON's board of directors are seasoned and experienced ( 11.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: AXON insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Axon Enterprise, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Axon Enterprise, Inc.
  • Ticker: AXON
  • Exchange: NasdaqGS
  • Founded: 1993
  • Industry: Aerospace and Defense
  • Sector: Capital Goods
  • Market Cap: US$12.516b
  • Shares outstanding: 64.68m
  • Website: https://www.axon.com

Number of Employees


Location

  • Axon Enterprise, Inc.
  • 17800 North 85th Street
  • Scottsdale
  • Arizona
  • 85255
  • United States

Listings


Biography

Axon Enterprise, Inc. develops, manufactures, and sells conducted energy weapons (CEWs) under the TASER brand in the United States and internationally. It operates through two segments, TASER and Software ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/08/05 22:58
End of Day Share Price2021/08/05 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.