Loading…
Axon Enterprise, Inc.
S&P 500 Nasdaq 100
$37.4B
Market Cap
376.1
P/E
3.30
PEG
-1.1%
ROCE
4.5%
ROE
0.59
D/E
-1.1%
OPM
-37.0%
% from 52W High
25
α RS
🔍 AXON is showing a notable setup because Sector RRG has Industrials in the Improving quadrant with the trail still strengthening and an ECS of 50.3 last quarter. Net: Partial signal stack, not a recommendation. ? RRG ECS
Sources
Industrials in Improving quadrant · ECS 50.3
⚖️ Compare 🔒 Generate Report 🔒 Research Packet 📚 Guides
🌏 Global Investor Returns
Currency-adjusted total returns for AXON including FX impact
🌏
Click 🌏 Returns tab to load data
📈 Price History
Ratio Health
Excellent
Good
Average
Poor
By Category
📊 Sector Averages
About

Axon Enterprise, Inc. provides public safety technology solutions in the United States and internationally. The company operates in two segments, Software and Services, and Connected Devices. The Software and Services segment develops, manufactures, and sells cloud-based software-as-a-service solutions to capture, store, manage, share, and analyze video and other digital evidence. This segment also offers Axon Evidence, Draft One, Axon Records, Axon Standards, Axon Fusus, Axon Assistant, and others. The Connected Devices segment engages in the development, manufacture, and sale of integrated hardware solutions, such as conducted energy devices under the TASER brand, body cameras, fixed and in-car cameras, drone and counter-drone technologies, accessories, extended warranties, and related hardware products, as well as virtual reality training hardware. The company serves first responders across international, federal, state, and local governments, international governmental entities, commercial enterprises, and consumers through direct sales, distribution partners, and third-party resellers. The company was formerly known as TASER International, Inc. and changed its name to Axon Enterprise, Inc. in April 2017. Axon Enterprise, Inc. was incorporated in 1993 and is headquartered in Scottsdale, Arizona.

Key Ratios Snapshot
📈 Growth Pattern
📊 Quick Scorecard
Loading…
🔒
Premium Feature
AI-generated 10-section company profile — business model, financials, strengths, risks & management quality
Upgrade to Premium
Already a member? Log in
📐
3-Statement Financial Model
Bear / Base / Bull projections · DCF fair value · Reverse-DCF
Open Model →
🎙 Management Tone Confident Specific → Stable 5 quarters Full tone analysis in Intelligence →
Good quarter Investor Presentation One-Pager? Q2 2026
Revenue
$904M
+35% YoY
Software & Services Revenue
$398M
+36% YoY
Platform Solutions Revenue
$150M
+123% YoY
Net Income
$29M
Not disclosed
Adjusted EBITDA
$242M
Margin 26.8%
What Went Right
  • Record revenue of $904M, up 35% YoY, marking the 10th consecutive quarter above 30% growth.
  • International and enterprise bookings each roughly tripled YoY; Dedrone crossed $100M quarterly revenue.
  • AI Era Plan software grew ~700% YoY and Software & Services ex-core Evidence grew ~70%.
  • NRR reached 126% and ARR increased 39% to $1.6B.
What to Watch
  • Increasing memory component costs and tariffs are pressuring near-term margins, with Q3 Adjusted EBITDA margin expected to be weaker.
  • Free cash flow was negative $1M in Q2 due to intentional inventory investment and supply-chain de-risking.
  • Privacy/anti-surveillance pushback, including DeFlock and misuse of license-plate reader data, was flagged by management as a potential adoption headwind.
Management Guidance
  • Full-year revenue growth raised to 32%-34% from 30%-32%.
  • Full-year Adjusted EBITDA margin maintained at approximately 25.5%.
  • Q3 Adjusted EBITDA margin expected to reflect higher memory costs and no tariff refunds, with Q4 recovering.
  • Q4 expected to be the strongest quarter for revenue and YoY growth, with seasonality similar to last year.
  • Body camera shipments expected up 20%-30% sequentially in Q3.
  • Five-year normalized bookings expected to finish the year in the 30% growth range.
Investor Lens
The thesis is stronger after this call. Axon delivered broad-based strength across software, devices, counter-drone, international and enterprise, while raising full-year revenue guidance and showing continued ecosystem attachment (NRR at 126%). The new five-year normalized bookings metric, up over 30%, provides better visibility into the shorter-duration international and enterprise deals. The main offsets are near-term margin pressure from memory costs and the decision to invest heavily in inventory, which is temporarily weighing on free cash flow.
From investor presentation · AI-generated analysis · Not investment advice
🔒
Premium Feature
Investor Presentation One-Pager — quarterly highlights, what went right/wrong & management guidance
Upgrade to Premium
Already a member? Log in
📈 STRONG Record Q2: revenue +35% to $904M; full-year guidance raised
Revenue
Revenue rose 35% YoY to $904M, with software & services up 36% to $398M and connected devices up 35% to $507M. Platform Solutions surged 123% to $150M, and Dedrone alone surpassed $100M in quarterly revenue.
Profitability
GAAP net income was $29M and non-GAAP net income was $155M, though prior-year comparisons were not provided. Adjusted EBITDA came in at $242M, representing a 26.8% margin.
Margins
Adjusted gross margin was 62.9%, up 130 bps sequentially, helped by tariff refunds but partially offset by newer product mix. Adjusted EBITDA margin was 26.8%, with full-year margin guidance held at approximately 25.5% despite expected Q3 margin pressure from memory costs.
Balance Sheet
Operating cash flow improved to $20M from an outflow of $92M in the prior year. Free cash flow was a $1M outflow as Axon intentionally built inventory to support demand and reduce supply-chain risk; cash and debt balances were not disclosed.
Key Risks
Management flagged rising memory component costs and tariff headwinds, which are expected to hit Q3 margins before recovering in Q4. Privacy and anti-surveillance concerns, including the DeFlock movement and abuse of license-plate-reader data, were cited as adoption risks. Free cash flow remains pressured by deliberate inventory investments.
Outlook
Axon raised full-year revenue growth to 32%-34% and expects Q4 to be the strongest revenue quarter. Full-year Adjusted EBITDA margin remains around 25.5%, with Q3 expected to be lighter and Q4 scaling back up to the full-year level.
Generated by AI · Q2 2026 results · Not investment advice
🔒
Free Account Required

Create a free Finmagine account to access Finmagine™ Scorecard.

See how this company scores across 5 dimensions — Financial Health, Growth Prospects, Competitive Position, Management Quality, and Valuation — powered by 30+ computed ratios.

Create Free AccountLog In
🔒
Premium Feature

Upgrade to Finmagine Premium to unlock Ask AI.

Get 25 expert AI analysis templates — Business KPIs, Comprehensive, Forensic Governance, Peer Comparison, Risk-Reward, Full Research Report, IPO Decoder, Red Flag Detector, and more — ready to paste into ChatGPT, Claude, Gemini, or Perplexity.

Upgrade to PremiumCreate Free Account
🔒
Premium Feature

Upgrade to Finmagine Premium to unlock Peer Comparison.

Compare this company side-by-side against its sector peers with financial metrics, ratio benchmarking, and relative performance across all key dimensions.

Upgrade to PremiumCreate Free Account
✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
🔍
🔎 See cross-company document search → ?
📞 Earnings Call Transcripts (5)
Q2 2026 Q2 2026 2026-08-05
Record quarterly revenue grew 35% year-over-year, driven by strong performance in software, devices, and platform solutions. International and enterprise bookings tripled, with Dedrone and TASER 10 as standouts. Raised full-year revenue guidance to 32%-34%.
Q1 2026 Q1 2026 2026-05-06
Record Q1 revenue grew 34% year-over-year, driven by surging AI and Dedrone bookings, with international revenue more than doubling. Raised full-year guidance to 30%-32% growth, maintaining strong margins and free cash flow targets. AI and counter-drone adoption are accelerating across all segments.
Q4 2025 Q4 2025 2026-02-24
Record bookings and revenue growth driven by strong adoption of new AI-powered products, international expansion, and robust performance across all segments. Guidance calls for continued double-digit growth, margin expansion, and further innovation, with risks from tariffs and data privacy managed proactively.
Q3 2025 Q3 2025 2025-11-04
Q3 revenue grew 31% year-over-year to $711M, led by 41% growth in software/services and strong ARR gains. Strategic acquisitions, new product launches, and robust international and enterprise demand are fueling continued growth, with raised guidance for Q4 and full-year 2025.
Q2 2025 Q2 2025 2025-08-04
Q2 revenue grew 33% year-over-year to $669M, driven by software and services, with bookings accelerating from new products and major deals across state, local, international, and enterprise segments. 2025 guidance was raised, and strong adoption of AI, drones, and VR is fueling growth.
🔒
Premium Feature

Upgrade to Finmagine Premium to unlock Catalyst Timeline.

Every result, order win, insider trade, ECS update, earnings-call, and SEC announcement for this company — in one chronological lane.

Upgrade to PremiumCreate Free Account
🔒
Premium Feature

Upgrade to Finmagine Premium to unlock Full Report.

Read the complete Finmagine™ investment research report — comprehensive fundamental analysis, business model assessment, competitive positioning, and investment recommendation.

Upgrade to PremiumCreate Free Account

📊 Analysis Methodology

This comprehensive investment analysis was conducted using The Finmagine™ Stock Analysis & Ranking Methodology, a proprietary framework that systematically evaluates stocks across five critical dimensions: Financial Health, Growth Prospects, Competitive Positioning, Management Quality, and Valuation.

🎯
Discover Our Proven Investment Framework Learn how we analyze and rank stocks using advanced quantitative models, multi-dimensional scoring systems, and dynamic discriminatory ranking techniques that have guided successful investment decisions across market cycles.
📊 Explore The Finmagine™ Methodology

A comprehensive, bias-free framework for analyzing and ranking stocks by Financial Strength, Growth Potential, Competitive Edge, Management Quality, and Value.

Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

⚠️ Important Disclaimers — Please read without fail.

Investment Risk:
Investing in securities, including US equities and ETFs, involves inherent risks including the potential loss of principal. All investments are subject to market fluctuations, economic conditions, regulatory changes, and other factors that may affect their value. Past performance is not indicative of future results. This analysis is provided for informational and educational purposes only and should not be construed as investment advice under any circumstances.

No Investment Recommendation:
This analysis does not constitute, nor should it be interpreted as, an offer, solicitation, or recommendation to buy, sell, or hold any securities or financial products. Investors are strongly advised to conduct their own independent research and due diligence and to consult with a licensed financial advisor or an SEC-registered investment adviser before making any investment decisions, taking into account their individual financial situation, risk tolerance, and investment objectives.

Not SEC-Registered:
Finmagine is not registered as an investment adviser with the U.S. Securities and Exchange Commission (SEC) or any state securities authority. Nothing on this platform constitutes investment advice as defined under the Investment Advisers Act of 1940.

Conflict of Interest Disclosure:
The author and/or analyst may currently hold or have previously held positions in the securities discussed. Any such positions are not intended to influence the objectivity or independence of the analysis. This research is produced independently and is not sponsored, endorsed, or commissioned by any company or institution.

Information Sources:
The analysis is based on publicly available information including SEC filings (10-K, 10-Q), annual reports, management commentary, and publicly available financial data. Information is believed to be accurate as of the date of publication but may be subject to change without notice. Readers are encouraged to independently verify all information before acting upon it.

Forward-Looking Statements:
This analysis may contain forward-looking statements, forecasts, or projections that are inherently subject to risks, uncertainties, and assumptions. Actual results may differ materially from those expressed or implied. Finmagine does not undertake any obligation to update such statements in the future.

Limitation of Liability:
The content is provided "as is" without any warranties, express or implied. Finmagine expressly disclaims any liability for errors, omissions, or any losses incurred as a result of reliance on the information provided. Readers assume full responsibility for their investment decisions.