Axon Enterprise (AXON) Stock Falls Amid Market Uptick: What Investors Need to Know
In the latest market close, Axon Enterprise (AXON) reached $251.24, with a -1.48% movement compared to the previous day. The stock's change was less than the S&P 500's daily gain of 0.08%. Meanwhile, the Dow lost 0.26%, and the Nasdaq, a tech-heavy index, added 0.36%.
The maker of stun guns and body cameras's stock has dropped by 1.2% in the past month, falling short of the Industrial Products sector's loss of 0.83% and the S&P 500's gain of 2.4%.
The upcoming earnings release of Axon Enterprise will be of great interest to investors. On that day, Axon Enterprise is projected to report earnings of $0.86 per share, which would represent year-over-year growth of 22.86%. At the same time, our most recent consensus estimate is projecting a revenue of $418.97 million, reflecting a 24.64% rise from the equivalent quarter last year.
It is also important to note the recent changes to analyst estimates for Axon Enterprise. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been a 0.4% fall in the Zacks Consensus EPS estimate. As of now, Axon Enterprise holds a Zacks Rank of #4 (Sell).
Valuation is also important, so investors should note that Axon Enterprise has a Forward P/E ratio of 61.57 right now. This signifies a premium in comparison to the average Forward P/E of 21.39 for its industry.
The Security and Safety Services industry is part of the Industrial Products sector. With its current Zacks Industry Rank of 106, this industry ranks in the top 43% of all industries, numbering over 250.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow AXON in the coming trading sessions, be sure to utilize Zacks.com.
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Axon Enterprise, Inc (AXON) : Free Stock Analysis Report
