How much a stock's price changes over time is important for most investors, since price performance can both impact your investment portfolio and help you compare investment results across sectors and industries.
Another factor that can influence investors is FOMO, or the fear of missing out, especially with tech giants and popular consumer-facing stocks.
What if you'd invested in Axon Enterprise (AXON) ten years ago? It may not have been easy to hold on to AXON for all that time, but if you did, how much would your investment be worth today?
Axon Enterprise's Business In-Depth
With that in mind, let's take a look at Axon Enterprise's main business drivers.
Headquartered in Scottsdale, AZ, Axon. develops and manufactures weapons for selling to U.S. state and local governments, the U.S. federal government, international government customers and commercial enterprises. Focused on global public safety, Axon’s suite of products includes conducted energy devices, body-worn cameras, in-car cameras, cloud-hosted digital evidence management solutions, productivity software and real-time operations capabilities. The company generates the majority of its revenues through direct sales, including its online store. Axon faces strong competition in both its hardware and software markets from companies like Motorola Solutions, Panasonic, IBM and others. On a geographical basis, the company has operations in the United States (85% of 2024 net sales) and other international markets (15%).
Effective first-quarter 2025, AXON realigned its business segments. The company now reports results under the following two segments:
Connected Devices (56.3% of total revenues in the second quarter of 2025): This segment focuses on the design, production and sale of fully integrated hardware solutions including conducted energy devices (CEDs), body cameras, drones, various accessories and other related hardware products. The CEDs is a weapon system designed to temporarily incapacitate a subject with the help of an electrical current. Devices like the Axon Body 4 are equipped with built-in AI features, including real-time translation and voice-enabled support. The segment also includes Axon Vehicle Intelligence, which uses fixed and mobile video solutions, like Axon Outpost and Lightpost, to deliver license plate recognition and detailed vehicle information. It develops tools, such as TASER devices (energy weapon systems), virtual reality training services and consumer devices, to support public safety officers in de-escalating situations, avoiding or minimizing the use of force and aiding consumer personal protection. These are sold to law enforcement agencies, attorneys, emergency services personnel and the U.S. military.
Software and Services (43.7%): This segment focuses on the development and sale of fully integrated cloud-based software platforms. Key offerings under this segment include Axon Evidence, Records Management System, Draft One and other AI-powered tools. These solutions enable law enforcement to securely store, manage, share and analyze video.
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Axon Enterprise, if you bought shares a decade ago, you're likely feeling really good about your investment today.
A $1000 investment made in August 2015 would be worth $34,384.98, or a gain of 3,338.50%, as of August 27, 2025, according to our calculations. This return excludes dividends but includes price appreciation.
Compare this to the S&P 500's rally of 233.21% and gold's return of 189.69% over the same time frame.
Analysts are forecasting more upside for AXON too.
Axon is witnessing strength across its businesses. Its Connected Devices segment is driven by solid demand for TASER 10 devices, virtual reality training services and counter drone equipment. Higher adoption of the TASER products has been driving the segment's performance. An increase in the aggregate number of users to the Axon network is aiding the Software & Services segment's growth. The company is actively pursuing strategic partnerships to enhance its product offerings and expand its customer reach. Benefits from acquired assets are likely to drive Axon's performance in the quarters ahead. However, escalating operating expenses, due to higher compensation expenses and business integration activities, have been weighing on Axon's performance. Given its international presence, foreign exchange headwinds may be worrying.
The stock is up 5.53% over the past four weeks, and no earnings estimate has gone lower in the past two months, compared to 6 higher, for fiscal 2025. The consensus estimate has moved up as well.
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Axon Enterprise, Inc (AXON): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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