Latest news with #AxonEnterprise
Yahoo
3 hours ago
- Business
- Yahoo
2 world-class growth shares to consider buying during a stock market crash
It's always a smart idea to have a shopping list of shares at hand. This is what I had in April when the proverbial hit the fan, saving me valuable time deciding which stocks to buy when many suddenly went on sale. Two on my list were Shopify and Nvidia, and I took my chance when things quickly went south. Those positions are currently up 40% and 51% respectively since early April. Here are two shares that look overvalued, but which I think investors should consider putting on a shopping list for the next bear market or crash. The first is Axon Enterprise (NASDAQ: AXON). As well as owning the Taser brand, the company sells body-cams, dash-cams, and various software products to law enforcement customers. It's also innovating in drones, VR training, and powerful artificial intelligence (AI)-powered tools. Last year, revenue jumped 33% to $2.1bn, up from $681m in 2020. Over $1bn of that is now annual recurring revenue, while total future contracted bookings rose to $10.1bn. The company continues to scale up very impressively. This rapid progress is reflected in the share price, which has vaulted 700% in three years. The key risk now then is valuation, with the shares trading at 27 times sales. If Axon's growth underwhelms, the stock could sell off heavily. But I think this is definitely one to consider picking up during any such sell-off. The enterprise growth opportunity's very large. Take body-cams, for example. In an attempt to reduce attacks on staff, Walmart's piloting black-and-yellow body-cams in some stores (Axon's signature colours). Management points out that Walmart has 2.1m retail workers, far in excess of the 900,000 cops in the US. What about airlines? Cabin crew are no strangers to abusive behaviour. Cameras can provide evidence, reduce false claims, and deter aggression. They would integrate with Axon's cloud-based evidence system, adding to the recurring revenue. Meanwhile, the company's sitting on a library of video data that's roughly 40 times larger than that belonging to Netflix (NASDAQ: NFLX). Axon's using this vast data trove to train AI models and power a growing suite of tools, embedding it ever deeper into customers' daily workflows. Looking ahead, the international opportunity in Europe, Latin America and Asia remains largely untapped. Returning to Netflix, I think the global streaming leader is worthy of consideration. But perhaps not right now around $1,220. This price puts the stock at 13 times sales and 49 times forward earnings. Again, this stretched valuation leaves very little margin for error, particularly if subscriber growth unexpectantly slows. Long term though, I'm bullish on Netflix. The firm possesses an incredible brand and streaming still has plenty of room to grow globally. It also offers fantastic value for money. At £12.99, my Netflix subscription's probably one of the last discretionary things I would cut. The new ad-supported tier is just £5.99 a month — less than the price of a pint in London nowadays! I think Netflix can keep increasing prices for years without losing too many subscribers. The firm has set a goal of reaching a $1trn market-cap by 2030, up from $520bn today. I think that's achievable, especially if cutting-edge generative AI helps it make content for less money. The post 2 world-class growth shares to consider buying during a stock market crash appeared first on The Motley Fool UK. More reading 5 Stocks For Trying To Build Wealth After 50 One Top Growth Stock from the Motley Fool Ben McPoland has positions in Axon Enterprise, Nvidia, and Shopify. The Motley Fool UK has recommended Axon Enterprise, Nvidia, Shopify, and Walmart. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Motley Fool UK 2025 Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
5 hours ago
- Automotive
- Yahoo
Hunting for the next Tesla-style stock? This might help…
The gains that early Tesla stock investors generated are legendary. Since going public in 2010, Tesla has gone up by around 25,000%, turning every $5,000 invested into more than $1m! In the early years, Tesla's ambition to shake up the car industry was seen by most as fanciful, at best. But driven forward by its very unconventional CEO Elon Musk, it went on to become a $1trn company. Unfortunately, I didn't invest in Tesla back in the early days. But I've noticed a similar thread of unconventionality running through many of my best stock investments. Take Axon Enterprise, for example, which is my largest holding after rocketing 750% in the past five years. The company's mission? To make the bullet obsolete (through its Tasers). Not exactly a traditional corporate goal! Axon's focus on solving customers' problems is relentless. CEO Rick Smith once hosted a live quarterly earnings call from the back seat of a police car, while out on patrol with a law enforcement customer. That was quirky. Or consider Games Workshop from the FTSE 100. It does no acquisitions or earnings calls with analysts focused on the next quarter. No rah-rah investor updates. Just a laser focus on one niche goal: to make the best fantasy miniatures in the world, profitably, forever. One of my newer holdings – Nu Holdings – is a digital bank in Latin America. It launched its purple credit cards across Brazil precisely because purple was considered the most 'anti-bank' colour possible. I like that disruptive mentality. This brings me to Duolingo (NASDAQ: DUOL), the world's most downloaded language-learning app, which I invested in a few months ago. The firm's mission is to 'develop the best education in the world and make it universally available'. It made great strides towards that goal in Q1, which saw daily active users soar 49% to 46.6m. Revenue jumped 38% to $230.7m, while net profit rose to $35.1m, from $27m. As one of those daily active users (and a paid subscriber), I can testify to what Duolingo calls its 'healthy dose of weirdness'. This includes a motley cast of cartoon characters and unhinged social media campaigns. And the app's mascot, a peculiar green owl, which sends learners guilt-tripping push notifications. In November, Duolingo really cranked up the quirkiness when Lily — its sassy artificial intelligence (AI)-powered, emo teenage character — actually opened the company's earnings call with Wall Street analysts. That was a first, but exactly the sort of thing I like to see! Duolingo's stock isn't cheap, and it's facing potential competition from Google, which is a big risk to be aware of. But it has all the hallmarks of a winning investment to me, and I think it's worth considering for long-term investors, especially on dips. We are willing to be misunderstood for long periods of time. These quirks might sound irrelevant. And they obviously don't show up on the balance sheet or income statement. But I believe they're a big part of why some growth companies are wildly successful. So this is something I specifically like to see in most of the growth companies I invest in. Something distinctive about the firm or its corporate culture. After all, unusually good returns will rarely be delivered by average companies. The post Hunting for the next Tesla-style stock? This might help… appeared first on The Motley Fool UK. More reading 5 Stocks For Trying To Build Wealth After 50 One Top Growth Stock from the Motley Fool John Mackey, former CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool's board of directors. Ben McPoland has positions in Axon Enterprise, Duolingo, Games Workshop Group Plc, and Nu Holdings. The Motley Fool UK has recommended Amazon, Axon Enterprise, Duolingo, Games Workshop Group Plc, Nu Holdings, and Tesla. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors. Motley Fool UK 2025
Yahoo
3 days ago
- Business
- Yahoo
Axon Enterprise's Software Revenues Accelerate: More Upside to Come?
Axon Enterprise, Inc.'s AXON Software & Services segment is playing an important role in driving its overall growth. An increase in the aggregate number of users to the Axon network is aiding the segment's performance. After recording 33.4% year-over-year revenue growth in 2024, the segment continued its strong performance with a 39% increase in the first quarter of 2025. Solid momentum in digital evidence management and rising demand for premium add-on features are fueling the segment's performance. Also, the adoption of premium subscription plans continues to grow as more customers recognize the value of enhanced capabilities. Existing customers are consistently returning to purchase additional services, reflecting strong customer satisfaction and engagement. This recurring activity is helping Axon Enterprise grow its base of annual recurring revenues (ARR), supporting long-term nearly 70% of AXON's domestic user base still on basic plans, the Software & Services segment holds substantial growth potential. New product innovations also continue to play a key role in its upliftment as the customers are rapidly adopting products like Draft One and the OSP 10 premium AXON continues to expand its ecosystem with AI-driven tools, digital workflows and subscription-based models, the Software & Services segment is well-positioned to deliver sustained growth. With significant room for user upgrades and products that meet customer needs well, this segment is expected to keep playing an important role in AXON's success in the near term. Among its major peers, Woodward, Inc.'s WWD Industrial business segment reported net sales of $321.9 million in the second quarter of fiscal 2025, down 4.7% year over year. Woodward generated 36.4% of its total sales from this segment in the quarter. The decline in revenues for Woodward's segment is primarily due to lower on-highway volume in Technologies Incorporated's TDY Digital Imaging segment's first-quarter 2025 revenues increased 2.2% year over year to $757 million. This was driven by higher sales of Teledyne's commercial infrared imaging components and surveillance systems. Teledyne derived 52.2% of its total revenues from this segment during the quarter. Shares of Axon Enterprise have surged 163% in the past year compared with the industry's growth of 42.1%. Image Source: Zacks Investment Research From a valuation standpoint, AXON is trading at a forward price-to-earnings ratio of 1,119.00X, above the industry's average of 46.29X. Axon Enterprise carries a Value Score of F. Image Source: Zacks Investment Research The Zacks Consensus Estimate for AXON's second-quarter 2025 earnings has been on the rise over the past 60 days. Image Source: Zacks Investment Research The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Teledyne Technologies Incorporated (TDY) : Free Stock Analysis Report Woodward, Inc. (WWD) : Free Stock Analysis Report Axon Enterprise, Inc (AXON) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
4 days ago
- Business
- Yahoo
Is Axon Enterprise Stock Outperforming the Nasdaq?
Scottsdale, Arizona-based Axon Enterprise, Inc. (AXON) is a technology provider in global public safety for law enforcement, military, and civilians. Valued at a market cap of $60.5 billion, the company operates through two segments, Software and Sensors, and TASER. Companies valued at $10 billion or more are generally classified as 'large-cap' stocks, and Axon Enterprise fits this description perfectly. The company is known for its TASER energy weapons. It also provides body-worn cameras, digital evidence management systems, and AI-powered software through its cloud-based Axon Cloud platform. Trump Is Giving Tesla's Robotaxis a Leg Up Ahead of June 22. Should You Buy TSLA Stock Now? Dear Nvidia Stock Fans, Mark Your Calendars for July 16 The Trump Family Is Betting Big on Mobile Phones. Should Apple Stock Investors Be Worried? Markets move fast. Keep up by reading our FREE midday Barchart Brief newsletter for exclusive charts, analysis, and headlines. AXON stock has declined 3.6% from its 52-week high of $806.64 recorded on June 9. AXON Enterprise stock has surged 40.1% over the past three months, notably surpassing the broader Nasdaq Composite ($NASX), which increased 9.6% during the same period. In the longer term, AXON stock is up 30.8% on a YTD basis, significantly outperforming NASX's 1.1% return. Additionally, shares of AXON have soared 161.7% over the past 52 weeks, compared to NASX's 9.3% gain over the same period. Despite a few fluctuations, the stock has been trading above its 50-day and 200-day moving averages since last year. Shares of AXON climbed 14.1% following its better-than-expected Q1 2025 results on May 7. It posted record quarterly revenue of $603.6 million, up 31.3% year-over-year, significantly beating Wall Street expectations. The strong performance was driven by growth in Software & Services, robust adoption of TASER 10 and Axon Body 4, and rising demand for its platform sensors. Adjusted EPS came in at $1.41, marking a 22.6% increase from the year-ago quarter and surpassing consensus estimates. Encouraged by the momentum, AXON also raised its full-year 2025 revenue guidance to a range of $2.6 billion to $2.7 billion, up from its previous projection of $2.55 billion to $2.65 billion. Compared to its rival, L3Harris Technologies, Inc. (LHX) has lagged behind AXON stock. LHX stock has increased 13.7% over the past 52 weeks and 19.3% on a YTD basis. Due to AXON's strong performance, analysts are strongly optimistic about its prospects. Among the 15 analysts covering the stock, there is a consensus rating of 'Strong Buy,' and it is currently trading above the mean price target of $735. On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Sign in to access your portfolio
Yahoo
11-06-2025
- Business
- Yahoo
Jim Cramer Notes Axon (AXON) is a 'New High Natural'
We recently published a list of . In this article, we are going to take a look at where Axon Enterprise, Inc. (NASDAQ:AXON) stands against other stocks that Jim Cramer discusses. While discussing Axon Enterprise, Inc. (NASDAQ:AXON), Cramer said that it has a 'great software business.' 'Now, each day has its own Mosaic. We have Axon tonight, the law enforcement technology company that has so much business, they can barely handle it. It's a new high natural. By the way, they have great software business growing at more than 30%.' Axon (NASDAQ:AXON) produces TASER-branded conducted energy devices and provides a range of hardware, cloud software, and mobile tools that support public safety operations, evidence management, and real-time data integration across various industries. In a February episode of Mad Money, Cramer remarked: 'Now, biggest losers, one of them that has just been quietly going up over time, it's called Axon Enterprise. It was formerly TASER, which plunged nearly 28% over the course of three days. Now, Axon has been a fabulous winner for years. It pivoted… to police body cameras, evidence management software Those were good businesses. So why then did the stock just get completely obliterated? Weirdly, there really wasn't any bad news from the company. Instead, it was a one-two punch of downgrades from analysts at boutique research firms that failed Axon. A technician in a white coat testing an in-car system on a modern military vehicle. The stock fell another 5% on Friday when the market wide selling really got going. Now Axon reports tomorrow after the close, but clearly people wanted to ring the register going into the quarter and the bearish analysts gave them a real excuse to do so. Very different attitude from what we've seen in the past few months, huh, where momentum stocks are frankly unstoppable.' Overall, AXON ranks 15th on our list of stocks that Jim Cramer discusses. While we acknowledge the potential of AXON as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
