Axon Enterprise (NASDAQ:AXON) Rating Lowered to Hold at Craig Hallum

Axon Enterprise (NASDAQ:AXON) was downgraded by research analysts at Craig Hallum from a “buy” rating to a “hold” rating in a note issued to investors on Friday, Briefing.com reports. They presently have a $390.00 price objective on the biotechnology company’s stock. Craig Hallum‘s price objective suggests a potential upside of 1.94% from the stock’s previous close.

Several other equities analysts also recently commented on AXON. Argus increased their target price on shares of Axon Enterprise from $460.00 to $600.00 and gave the stock a “buy” rating in a research report on Thursday, September 3rd. Piper Sandler reduced their price target on Axon Enterprise from $732.00 to $561.00 and set an “overweight” rating for the company in a research report on Tuesday, October 20th. UBS Group upped their price target on Axon Enterprise from $440.00 to $600.00 and gave the stock a “neutral” rating in a research note on Thursday, August 6th. Weiss Ratings reissued a “hold (c-)” rating on shares of Axon Enterprise in a report on Tuesday. Finally, Citigroup reissued a “market outperform” rating on shares of Axon Enterprise in a research note on Monday. Thirteen equities research analysts have rated the stock with a Buy rating and four have given a Hold rating to the company’s stock. Based on data from MarketBeat, Axon Enterprise presently has an average rating of “Moderate Buy” and an average target price of $645.88.

Axon Enterprise Price Performance

NASDAQ AXON opened at $382.56 on Friday. The company has a quick ratio of 1.80, a current ratio of 2.15 and a debt-to-equity ratio of 0.47. The stock has a market capitalization of $31.08 billion, a PE ratio of 158.74, a price-to-earnings-growth ratio of 8.06 and a beta of 1.48. Axon Enterprise has a 12-month low of $339.01 and a 12-month high of $665.07. The company has a 50 day moving average price of $447.49 and a two-hundred day moving average price of $476.73.

Axon Enterprise (NASDAQ:AXON) last announced its quarterly earnings results on Friday, November 6th. The biotechnology company reported $1.72 EPS for the quarter, missing the consensus estimate of $1.89 by ($0.17). The business had revenue of $908.55 million for the quarter, compared to analyst estimates of $934.33 million. Axon Enterprise had a return on equity of 2.84% and a net margin of 6.19%. The business’s revenue for the quarter was up 27.8% compared to the same quarter last year. During the same quarter last year, the company earned $1.17 EPS. As a group, equities analysts predict that Axon Enterprise will post 2.10 earnings per share for the current fiscal year.

Insider Activity

In other news, insider Isaiah Fields sold 1,017 shares of the firm’s stock in a transaction dated Friday, September 11th. The stock was sold at an average price of $480.45, for a total value of $488,617.65. Following the sale, the insider directly owned 56,264 shares of the company’s stock, valued at approximately $27,032,038.80. This trade represents a 1.78% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Patrick W. Smith sold 10,000 shares of Axon Enterprise stock in a transaction dated Tuesday, September 8th. The stock was sold at an average price of $508.99, for a total value of $5,089,900.00. Following the completion of the transaction, the chief executive officer owned 3,118,012 shares in the company, valued at $1,587,036,927.88. The trade was a 0.32% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 37,397 shares of company stock worth $21,234,034 in the last 90 days. Insiders own 4.20% of the company’s stock.

Institutional Trading of Axon Enterprise

Several hedge funds have recently added to or reduced their stakes in AXON. Eurizon Capital SGR S.p.A. grew its stake in shares of Axon Enterprise by 6,058.4% in the third quarter. Eurizon Capital SGR S.p.A. now owns 1,593,304 shares of the biotechnology company’s stock worth $673,203,000 after acquiring an additional 1,567,432 shares during the last quarter. Mitsubishi UFJ Morgan Stanley Securities Co. Ltd. increased its position in Axon Enterprise by 756.5% during the third quarter. Mitsubishi UFJ Morgan Stanley Securities Co. Ltd. now owns 1,439 shares of the biotechnology company’s stock worth $608,000 after acquiring an additional 1,271 shares during the period. CENTRAL TRUST Co raised its stake in Axon Enterprise by 3,086.6% during the 3rd quarter. CENTRAL TRUST Co now owns 147,028 shares of the biotechnology company’s stock valued at $62,122,000 after purchasing an additional 142,414 shares during the last quarter. Three Bridge Wealth Advisors LLC acquired a new position in Axon Enterprise during the 3rd quarter valued at $41,000. Finally, King Luther Capital Management Corp boosted its holdings in Axon Enterprise by 1,731.8% in the 3rd quarter. King Luther Capital Management Corp now owns 116,539 shares of the biotechnology company’s stock valued at $49,240,000 after purchasing an additional 110,177 shares during the period. Institutional investors own 79.08% of the company’s stock.

Key Stories Impacting Axon Enterprise

Here are the key news stories impacting Axon Enterprise this week:

• Positive Sentiment: Axon reported record Q3 revenue of $909 million, up 28% year over year. Drone-as-First-Responder revenue grew 43%, Platform Solutions revenue rose 106%, and AI annual recurring revenue surpassed $100 million. Net income was $57 million, versus a loss a year earlier, while adjusted EBITDA increased 33%. Read More.
• Neutral Sentiment: Axon committed an additional $1.2 billion to Skydio, bringing its stake to 37%, and became Skydio’s exclusive public-safety distributor in the U.S. and Canada. The move strengthens Axon’s drone strategy, but the large investment also raises questions about capital allocation and the time needed for returns. Read More.
• Negative Sentiment: Q3 adjusted earnings of $1.72 per share and revenue of $908.55 million missed analyst estimates of $1.89 and roughly $934 million, respectively. Although revenue grew year over year, the miss is a concern for a high-growth, premium-valued stock. Read More.
• Negative Sentiment: The outlook was weaker than expected: Axon forecast Q4 revenue of $990 million–$1 billion versus consensus near $1.1 billion, and FY 2026 revenue of $3.6 billion versus about $3.7 billion. Reports also cite delays in federal drone business as a factor behind investor concerns. Read More.
• Negative Sentiment: Axon faces a class-action lawsuit over its AI-powered license-plate surveillance network, adding legal and reputational risk. Read More.

About Axon Enterprise

Axon Enterprise, Inc develops technology and connected products for public safety organizations. The company’s portfolio includes TASER conducted-energy weapons, body-worn cameras, in-car cameras, and related hardware designed to support law enforcement, corrections, security, and other emergency-response professionals.

Axon also provides cloud-based software for managing digital evidence, records, workflows, real-time operations, investigations, and communications. Its platform is intended to connect hardware, software, and services across the public-safety ecosystem, helping agencies collect, store, analyze, and share operational information.

The company was founded in 1993 as TASER International by Rick Smith and Tom Smith and adopted the name Axon Enterprise in 2017 as it expanded beyond conducted-energy weapons into a broader technology platform.