Axon Enterprise (AXON) closed the latest trading day at $778.36, indicating a +2.06% change from the previous session's end. The stock outpaced the S&P 500's daily loss of 0.27%.
Shares of the maker of stun guns and body cameras witnessed a gain of 5.23% over the previous month, trailing the performance of the Aerospace sector with its gain of 8.18%, and the S&P 500's gain of 6.9%.
The upcoming earnings release of Axon Enterprise will be of great interest to investors. The company's earnings per share (EPS) are projected to be $1.54, reflecting a 28.33% increase from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $641.21 million, indicating a 27.2% upward movement from the same quarter last year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $6.34 per share and a revenue of $2.65 billion, representing changes of +6.73% and +27.17%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Axon Enterprise. These revisions help to show the ever-changing nature of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Axon Enterprise currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Axon Enterprise has a Forward P/E ratio of 120.32 right now. This valuation marks a premium compared to its industry average Forward P/E of 36.19.
We can also see that AXON currently has a PEG ratio of 4.24. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Aerospace - Defense Equipment industry stood at 2.75 at the close of the market yesterday.
The Aerospace - Defense Equipment industry is part of the Aerospace sector. This industry currently has a Zacks Industry Rank of 30, which puts it in the top 13% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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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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