Commonwealth Equity Services LLC Buys 2,910,074 Shares of Axon Enterprise, Inc $AXON

Key Points

• Commonwealth Equity Services increased its Axon stake by 5,348.8% in the third quarter, buying 2,910,074 shares to reach 2,964,480 shares valued at about $1.25 billion.
• Axon now represents about 1.6% of Commonwealth’s portfolio and is its fifth-largest holding; institutional investors collectively own 79.08% of the company’s shares.
• Axon’s third-quarter revenue rose 27.8% year over year to $908.55 million, but both revenue and EPS came in below analyst estimates; the stock was reported down 9.8%.

Commonwealth Equity Services LLC lifted its position in shares of Axon Enterprise, Inc (NASDAQ:AXON - Free Report) by 5,348.8% during the third quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 2,964,480 shares of the biotechnology company's stock after purchasing an additional 2,910,074 shares during the period. Axon Enterprise comprises about 1.6% of Commonwealth Equity Services LLC's holdings, making the stock its 5th largest position. Commonwealth Equity Services LLC owned 3.65% of Axon Enterprise worth $1,252,552,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also made changes to their positions in the company. State Street Corp boosted its holdings in shares of Axon Enterprise by 5,700.2% in the second quarter. State Street Corp now owns 213,561,844 shares of the biotechnology company's stock valued at $119,724,905,000 after acquiring an additional 209,879,882 shares during the period. Envestnet Asset Management Inc. grew its position in shares of Axon Enterprise by 18,050.2% during the second quarter. Envestnet Asset Management Inc. now owns 13,200,075 shares of the biotechnology company's stock worth $7,400,094,000 after acquiring an additional 13,127,348 shares during the last quarter. Robeco Institutional Asset Management B.V. increased its holdings in shares of Axon Enterprise by 391,214.9% in the 3rd quarter. Robeco Institutional Asset Management B.V. now owns 6,988,884 shares of the biotechnology company's stock valued at $2,952,943,000 after acquiring an additional 6,987,098 shares during the period. Assenagon Asset Management S.A. increased its holdings in shares of Axon Enterprise by 5,022.8% in the 3rd quarter. Assenagon Asset Management S.A. now owns 4,266,589 shares of the biotechnology company's stock valued at $1,802,719,000 after acquiring an additional 4,183,302 shares during the period. Finally, The Manufacturers Life Insurance Company increased its holdings in shares of Axon Enterprise by 8,432.6% in the 2nd quarter. The Manufacturers Life Insurance Company now owns 3,537,957 shares of the biotechnology company's stock valued at $1,983,414,000 after acquiring an additional 3,496,493 shares during the period. 79.08% of the stock is owned by hedge funds and other institutional investors.

Key Axon Enterprise News

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

• Positive Sentiment: Axon reported record Q3 revenue of $909 million, up 28% year over year, and returned to net income. Adjusted EBITDA rose 33% to $236 million. Axon Q3 results
• Positive Sentiment: Growth in newer offerings was strong: Drone as First Responder software and services revenue grew 43%, Platform Solutions revenue climbed 106%, and AI annual recurring revenue exceeded $100 million. Axon Q3 results
• Positive Sentiment: Axon invested an additional $1.2 billion in Skydio, raising its stake to 37% and making it Skydio’s exclusive public-safety distributor in the U.S. and Canada. The deal could strengthen Axon’s drone-response offering, though it requires substantial capital. Axon Skydio investment
• Negative Sentiment: Q3 adjusted earnings of $1.72 per share and revenue of about $909 million both missed analyst estimates, despite solid year-over-year growth. Q3 earnings and revenue miss
• Negative Sentiment: Axon’s Q4 revenue outlook of $990 million–$1.0 billion was below the roughly $1.1 billion consensus, while its full-year 2026 revenue outlook of $3.6 billion also trailed expectations of about $3.7 billion. Revenue outlook and Skydio investment
• Negative Sentiment: Zacks Research downgraded Axon from “strong buy” to “hold.” A lawsuit over the company’s AI-powered license-plate-reader network also presents potential legal uncertainty. License plate reader lawsuit

Axon Enterprise Stock Down 9.8%

Shares of NASDAQ:AXON opened at $382.56 on Friday. Axon Enterprise, Inc has a fifty-two week low of $339.01 and a fifty-two week high of $665.07. The company has a quick ratio of 1.80, a current ratio of 2.15 and a debt-to-equity ratio of 0.47. The firm's 50-day simple moving average is $447.49 and its 200-day simple moving average is $476.73. The company has a market cap of $31.08 billion, a price-to-earnings ratio of 158.74, a PEG ratio of 8.06 and a beta of 1.48.

Axon Enterprise (NASDAQ:AXON - Get Free Report) last posted its quarterly earnings results on Thursday, November 5th. The biotechnology company reported $1.72 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.89 by ($0.17). The firm had revenue of $908.55 million for the quarter, compared to analysts' expectations of $934.33 million. Axon Enterprise had a return on equity of 2.84% and a net margin of 6.19%. The company's revenue for the quarter was up 27.8% on a year-over-year basis. During the same period in the prior year, the company earned $1.17 earnings per share. As a group, equities research analysts predict that Axon Enterprise, Inc will post 2.10 earnings per share for the current year.

Analyst Ratings Changes

A number of brokerages recently weighed in on AXON. Morgan Stanley increased their price target on shares of Axon Enterprise from $600.00 to $640.00 and gave the stock an "overweight" rating in a research note on Thursday, August 6th. Royal Bank Of Canada restated an "outperform" rating on shares of Axon Enterprise in a research report on Tuesday, July 21st. The Goldman Sachs Group reduced their price objective on Axon Enterprise from $715.00 to $675.00 and set a "buy" rating for the company in a research note on Monday, September 21st. TD Cowen decreased their price objective on Axon Enterprise from $825.00 to $800.00 and set a "buy" rating for the company in a research report on Monday, October 26th. Finally, UBS Group lifted their target price on Axon Enterprise from $440.00 to $600.00 and gave the company a "neutral" rating in a research note on Thursday, August 6th. Fourteen research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company. According to data from MarketBeat.com, Axon Enterprise has a consensus rating of "Moderate Buy" and an average price target of $688.38.

Insiders Place Their Bets

In other news, CEO Patrick Smith sold 10,000 shares of the stock in a transaction that occurred on Tuesday, September 8th. The stock was sold at an average price of $508.99, for a total transaction of $5,089,900.00. Following the completion of the transaction, the chief executive officer directly owned 3,118,012 shares of the company's stock, valued at approximately $1,587,036,927.88. This represents a 0.32% decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Jeffrey Kunins sold 9,605 shares of the stock in a transaction that occurred on Friday, August 21st. The stock was sold at an average price of $626.70, for a total value of $6,019,453.50. Following the transaction, the insider directly owned 97,761 shares of the company's stock, valued at approximately $61,266,818.70. This trade represents a 8.95% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 37,397 shares of company stock worth $21,234,034. Company insiders own 4.20% of the company's stock.

Axon Enterprise Company Profile

Axon Enterprise, Inc develops technology and connected products for public safety organizations. The company's portfolio includes TASER conducted-energy weapons, body-worn cameras, in-car cameras, and related hardware designed to support law enforcement, corrections, security, and other emergency-response professionals.

Axon also provides cloud-based software for managing digital evidence, records, workflows, real-time operations, investigations, and communications. Its platform is intended to connect hardware, software, and services across the public-safety ecosystem, helping agencies collect, store, analyze, and share operational information.

The company was founded in 1993 as TASER International by Rick Smith and Tom Smith and adopted the name Axon Enterprise in 2017 as it expanded beyond conducted-energy weapons into a broader technology platform.

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