Axon Enterprise (NASDAQ:AXON) Rating Increased to Strong-Buy at Zacks Research

Key Points

• Zacks Research upgraded Axon Enterprise from hold to strong-buy, adding to a broadly positive analyst backdrop. The stock now has a consensus rating of Moderate Buy with an average price target of $712.75.
• Axon shares were up 1.6% and opened at $398.44, well below the stock’s 12-month high of $885.91. Despite that, the company has a large market cap of about $32.11 billion and remains heavily owned by institutions.
• In its latest quarter, Axon beat earnings and revenue expectations, posting $1.61 EPS and $807.35 million in revenue, with sales up 33.7% year over year. Management also lifted full-year revenue growth guidance to 30%–32%, reinforcing the company’s growth outlook.

Axon Enterprise (NASDAQ:AXON - Get Free Report) was upgraded by equities research analysts at Zacks Research from a "hold" rating to a "strong-buy" rating in a research report issued on Tuesday,Zacks.com reports.

Other equities analysts have also issued reports about the stock. JPMorgan Chase & Co. boosted their target price on shares of Axon Enterprise from $750.00 to $755.00 and gave the company an "overweight" rating in a report on Thursday, May 7th. TD Cowen decreased their target price on shares of Axon Enterprise from $950.00 to $825.00 and set a "buy" rating on the stock in a report on Wednesday, April 8th. The Goldman Sachs Group set a $535.00 target price on shares of Axon Enterprise in a report on Thursday, May 7th. Robert W. Baird set a $800.00 target price on shares of Axon Enterprise in a report on Wednesday, February 25th. Finally, Wall Street Zen upgraded shares of Axon Enterprise from a "sell" rating to a "hold" rating in a report on Saturday, February 28th. One analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating and two have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $712.75.

Axon Enterprise Stock Up 1.6%

Shares of NASDAQ AXON opened at $398.44 on Tuesday. Axon Enterprise has a 12-month low of $339.01 and a 12-month high of $885.91. The stock has a market cap of $32.11 billion, a PE ratio of 160.02, a P/E/G ratio of 7.13 and a beta of 1.44. The company has a current ratio of 2.27, a quick ratio of 1.93 and a debt-to-equity ratio of 0.49. The company has a 50-day moving average of $421.95 and a 200 day moving average of $506.34.

Axon Enterprise (NASDAQ:AXON - Get Free Report) last announced its quarterly earnings data on Wednesday, May 6th. The biotechnology company reported $1.61 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.60 by $0.01. Axon Enterprise had a net margin of 6.90% and a return on equity of 3.78%. The company had revenue of $807.35 million during the quarter, compared to analysts' expectations of $778.91 million. During the same quarter in the prior year, the company earned $1.47 EPS. Axon Enterprise's revenue was up 33.7% compared to the same quarter last year. As a group, sell-side analysts predict that Axon Enterprise will post 1.82 EPS for the current fiscal year.

Insider Transactions at Axon Enterprise

In other news, CAO Jennifer H. Mak sold 1,500 shares of the company's stock in a transaction that occurred on Monday, March 2nd. The shares were sold at an average price of $573.45, for a total value of $860,175.00. Following the transaction, the chief accounting officer directly owned 12,240 shares in the company, valued at approximately $7,019,028. This represents a 10.92% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, insider Isaiah Fields sold 2,000 shares of the company's stock in a transaction that occurred on Friday, February 27th. The stock was sold at an average price of $535.01, for a total transaction of $1,070,020.00. Following the completion of the transaction, the insider owned 55,588 shares in the company, valued at approximately $29,740,135.88. This represents a 3.47% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders sold 13,855 shares of company stock worth $7,109,828. 4.20% of the stock is owned by company insiders.

Hedge Funds Weigh In On Axon Enterprise

Several large investors have recently made changes to their positions in the stock. Vanguard Group Inc. lifted its holdings in shares of Axon Enterprise by 0.6% in the 4th quarter. Vanguard Group Inc. now owns 9,367,224 shares of the biotechnology company's stock worth $5,319,928,000 after acquiring an additional 53,060 shares during the last quarter. Geode Capital Management LLC lifted its holdings in shares of Axon Enterprise by 1.6% in the 4th quarter. Geode Capital Management LLC now owns 2,226,159 shares of the biotechnology company's stock worth $1,265,657,000 after acquiring an additional 35,544 shares during the last quarter. Baillie Gifford & Co. lifted its holdings in shares of Axon Enterprise by 1,198.7% in the 4th quarter. Baillie Gifford & Co. now owns 1,642,578 shares of the biotechnology company's stock worth $932,869,000 after acquiring an additional 1,516,099 shares during the last quarter. Sands Capital Management LLC lifted its holdings in shares of Axon Enterprise by 11.6% in the 4th quarter. Sands Capital Management LLC now owns 1,609,436 shares of the biotechnology company's stock worth $914,047,000 after acquiring an additional 167,095 shares during the last quarter. Finally, Wellington Management Group LLP lifted its holdings in shares of Axon Enterprise by 326.9% in the 4th quarter. Wellington Management Group LLP now owns 1,539,738 shares of the biotechnology company's stock worth $874,463,000 after acquiring an additional 1,179,038 shares during the last quarter. 79.08% of the stock is currently owned by institutional investors and hedge funds.

Axon Enterprise News Roundup

Here are the key news stories impacting Axon Enterprise this week:

• Positive Sentiment: Axon’s Connected Devices segment is benefiting from strong demand for TASERs, body cameras, and counter-drone products, reinforcing the company’s revenue growth story. Strength in Connected Devices Unit Drives Axon: Can the Momentum Sustain?
• Positive Sentiment: The company is highlighting AI and drone growth as part of its strategy to become a broader “operating system” for public safety, which could expand long-term recurring revenue opportunities. Axon Enterprise touts AI, drone growth in push to be public safety's operating system
• Positive Sentiment: Investors are also reacting to Axon’s strong Q1 2026 results, which included revenue of $807.35 million and higher full-year revenue growth guidance of 30%–32%, signaling sustained momentum. Should Axon’s Strong Q1 2026 Results and Higher Guidance Require Action From Axon Enterprise (AXON) Investors?
• Neutral Sentiment: Axon’s presentation at the J.P. Morgan Technology, Media and Communications Conference kept management’s growth story in front of investors, but the item itself did not include a major new catalyst. Axon Enterprise, Inc. Presents at J.P. Morgan Conference Transcript
• Neutral Sentiment: Commentary from Jim Cramer framed AXON as a high-multiple stock that may remain sensitive to bond yields and market sentiment, which is a reminder of valuation risk rather than a direct company-specific negative. Jim Cramer on Axon: “I Still Think That This Market Does Not Like High Multiple Stocks”
• Negative Sentiment: One market report noted AXON underperformed some competitors despite gains, suggesting investors may be weighing its rich valuation against the strong growth outlook. Axon Enterprise Inc. stock underperforms Monday when compared to competitors despite daily gains

About Axon Enterprise

Axon Enterprise, Inc develops technology and weapons systems for public safety and law enforcement agencies, combining hardware, software and cloud services. The company's hardware portfolio includes conducted energy weapons (commonly known as TASER devices), body-worn cameras and in-car camera systems. Axon pairs these devices with a suite of connected products and accessories designed to capture, store and manage field evidence.

Beyond hardware, Axon operates a subscription-based software platform for digital evidence management, evidence review and records management.

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