Northcoast Upgrades Axon (AXON) to Buy With $742 Price Target

Axon Enterprise Inc. (NASDAQ:AXON) is one of the best future stocks to buy for the long term. On January 6, Northcoast analyst Keith Housum upgraded Axon to Buy from Neutral, while setting a $742 price target on the shares.

Earlier on December 17, Morgan Stanley analyst Meta Marshall lowered the firm’s price target on Axon to $713 from $760 and kept an Overweight rating on the shares. In a year-ahead outlook, Marshall noted that the AI trade expanded beyond semiconductor stocks in 2025 to include infrastructure companies, specifically benefiting the optical sector. While the analyst believes that this momentum can continue through H1 2026, she cautioned that investors will need to be more selective for full-year returns.

In Q3 2025, the company reported that it achieved total revenue of $711 million, which was a 31% increase year-over-year. This growth was spearheaded by the Software and Services segment, which rose 41% to $305 million, while Connected Devices grew 24% to $405 million. Axon Enterprise Inc. (NASDAQ:AXON) highlighted the expansion of the Axon ecosystem through the introduction of Axon 911 and the integration of newly acquired companies, Prepared and Carbyne. These additions use AI and cloud infrastructure to enhance emergency response and voice communications.

Axon Enterprise Inc. (NASDAQ:AXON) provides public safety technology solutions in the US and internationally. The company operates in two segments: Software & Sensors and TASER.

While we acknowledge the potential of AXON as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.