Axon Enterprise on Thursday Receives Overweight Rating From Barclays

Trending News 🌧️

Axon Enterprise($NASDAQ:AXON) on Thursday was rated Overweight by analysts at Barclays because of expected sales growth for Tasers and body cameras. The bank estimated that Axon’s EPS will fall 21% to $1.86 in 2022 and reverse higher by 36% to $2.53 in 2023. Barclays believes that the company’s new products will drive sales growth and that the EPS decline in 2022 is due to investments in research and development.

Earnings

This represents a 14.9% increase in total revenue and a 334.7% decrease in net income compared to the same period last year.

Price History

On Thursday, shares of Axon Enterprise Inc opened at $120.20 and closed at $120.20, up slightly from the previous closing price of $120.00. Axon Enterprise is a leading provider of public safety technologies, including body-worn cameras, software and cloud-based evidence management solutions. The company’s products are used by law enforcement, military and commercial customers around the world. Investors appear to be bullish on the company’s prospects, as evidenced by the stock’s strong performance in recent months.

VI Analysis

Axon Enterprise, Inc is a provider of technology solutions for law enforcement, government, and military markets worldwide. The company operates in two segments, TASER and Software & Sensors. The TASER segment offers conducted electrical weapons and related accessories for use in law enforcement, corrections, military, and private security markets. The Software & Sensors segment provides evidence management solutions, including data storage, analysis, and sharing software and on-officer body-worn cameras and related accessories. The company’s fundamentals reflect its long term potential. According to the VI Star Chart, Axon Enterprise is strong in asset growth, profitability, and weak in dividend. The company has a high health score of 8 out of 10, indicating that it is capable of safely riding out any crisis without the risk of bankruptcy. Axon Enterprise is classified as a ‘gorilla’, a type of company that has achieved stable and high revenue or earning growth due to its strong competitive advantage. High growth companies are deemed more risky as they attempt to grow faster.

Summary

Axon Enterprise is a provider of public safety technologies. Its products include body-worn cameras, cloud and on-premises evidence management solutions, and Axon Fleet, a vehicle automation solution. The company has been benefiting from the increased demand for its products amid the current environment of social unrest and calls for police reform. Barclays believes that the demand for Axon’s products is likely to continue in the near term, and that the company is well-positioned to capitalize on this trend. In addition, Barclays is bullish on the company’s recent entry into the consumer market with its Akins product. The analysts believe that this product has the potential to be a “significant growth driver” for the company in the long term.