Stacking Up AXON Against Its Peers – Is It Still a Buy?

AXON: Axon Enterprise logo
AXON
Axon Enterprise

Here is how Axon Enterprise (AXON) stacks up against its peers in size, valuation, growth and margin.

  • AXON’s operating margin of 1.5% is modest, and lower than most peers – trailing TDG (46.3%).
  • AXON’s revenue growth of 32.7% in the last 12 months is solid, outpacing TXT, HWM, HII, SPR, TDG.
  • AXON gained 203.0% in the past year and trades at a PE of 201.0, outperforming its peers.
  AXON TXT HWM HII SPR TDG
Market Cap ($ Bil) 66.7 14.2 73.4 10.4 4.6 82.3
Revenue ($ Bil) 2.2 13.9 7.5 11.5 6.1 8.4
PE Ratio 201.0 17.1 58.4 19.1 -2.1 43.3
LTM Revenue Growth 32.7% 0.6% 10.0% -1.0% -2.9% 14.8%
LTM Operating Margin 1.5% 6.2% 23.2% 4.3% -29.8% 46.3%
LTM FCF Margin 16.3% 3.9% 13.5% -1.4% -21.2% 22.7%
12M Market Return 203.0% -7.8% 107.3% 8.5% 17.1% 23.7%

Axon Enterprise develops and sells TASER conducted energy devices and provides hardware and cloud software for capturing, storing, managing, and analyzing digital evidence for law enforcement.

Why does this matter? AXON just went up 19% in a week – peer comparison puts stock performance, valuation, and financials in context – highlighting whether it is truly outperforming, lagging behind, and above all – can this continue? Read Buy or Sell AXON Stock to see if Axon Enterprise holds up as a quality investment. Furthermore, there is always a risk of fall after a strong rally – see how the stock has dipped and recovered in the past through AXON Dip Buyer Analysis lens.

While peer comparison is critical Trefis High Quality Portfolio evaluates much more, and is designed to reduce stock-specific risks while giving upside exposure.

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Revenue Growth Comparison

  LTM 2024 2023 2022
AXON 32.7% 33.4% 31.5% 37.5%
TXT 0.6% 0.1% 6.3% 3.9%
HWM 10.0% 11.9% 17.3% 13.9%
HII -1.0% 0.7% 7.3% 12.1%
SPR -2.9% 4.4% 20.2% 27.2%
TDG 14.8% 20.6% 21.3% 13.2%

Operating Margin Comparison

  LTM 2024 2023 2022
AXON 1.5% 2.8% 10.0% 7.8%
TXT 6.2% 6.2% 7.7% 6.9%
HWM 23.2% 22.1% 18.3% 17.4%
HII 4.3% 4.2% 6.5% 4.8%
SPR -29.8% -28.3% -2.7% -5.7%
TDG 46.3% 45.1% 44.5% 40.8%

PE Ratio Comparison

  LTM 2024 2023 2022
AXON 191.9 119.4 109.0 80.3
TXT 17.6 17.5 17.4 17.5
HWM 60.0 38.6 29.1 35.0
HII 17.4 13.5 15.2 16.0
SPR -1.9 -1.9 -5.5 -5.7
TDG 46.5 42.7 44.6 42.3

The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming the S&P 500 over the last 4-year period. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.