Axon Enterprise Stock Plummets -12% With 8-Day Losing Streak

AXON: Axon Enterprise logo
AXON
Axon Enterprise

Axon Enterprise (AXON) stock hit day 8 of a continuous streak of days with losses, with cumulative losses over this period amounting to a -12% return. The company has lost about $5.6 Bil in value over the last 8 days, with its current market capitalization at about $42 Bil. The stock remains 10.6% below its value at the end of 2024. This compares with year-to-date returns of 12.9% for the S&P 500.

Axon’s recent streak saw shares pressured by a significant Q3 earnings per share miss, largely attributed to U.S. import tariffs squeezing margins. This profitability challenge, despite robust revenue growth, triggered analyst price target cuts and amplified investor concerns over the stock’s rich valuation.

What is the point? Sustained weakness can be more than noise. It often signals shifting sentiment or deeper concerns. A multi-day losing streak may warn of further downside, or present an opportunity to buy if fundamentals are intact. Our take: There is not much to fear in AXON stock given its overall Strong operating performance and financial condition. But given its Very High valuation, the stock appears Relatively Expensive (see Buy or Sell AXON).

For quick background, AXON provides conducted energy devices and hardware-software solutions for law enforcement to capture, store, manage, share, and analyze digital evidence globally.

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Comparing AXON Stock Returns With The S&P 500

The following table summarizes the return for AXON stock vs. the S&P 500 index over different periods, including the current streak:
 

Return Period AXON S&P 500
1D -0.5% 0.4%
8D (Current Streak) -11.9% -1.3%
1M (21D) -24.9% -1.4%
3M (63D) -30.4% 4.3%
YTD 2025 -10.6% 12.9%
2024 130.1% 23.3%
2023 55.7% 24.2%
2022 5.7% -19.4%

 
Take a look at what history tells you about whether past dips like this have been buying opportunities or traps: AXON Dip Buyer Analysis.

Gains and Losses Streaks: S&P 500 Constituents

There are currently 11 S&P constituents with 3 days or more of consecutive gains and 113 constituents with 3 days or more of consecutive losses.
 

Consecutive Days # of Gainers # of Losers
3D 3 40
4D 2 19
5D 2 37
6D 0 10
7D or more 4 7
Total >=3 D 11 113

 
 
Key Financials for Axon Enterprise (AXON)

Last 2 Fiscal Years:

Metric FY2023 FY2024
Revenues $1.6 Bil $2.1 Bil
Operating Income $156.9 Mil $58.5 Mil
Net Income $175.8 Mil $377.0 Mil

Last 2 Fiscal Quarters:

Metric 2025 FQ2 2025 FQ3
Revenues $668.5 Mil $710.6 Mil
Operating Income $-1.0 Mil $-2.1 Mil
Net Income $36.1 Mil $-2.2 Mil

 
The losing streak AXON stock is currently on doesn’t inspire much confidence among investors. In contrast, Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 — the S&P 500, S&P mid-cap, and Russell 2000 indices. 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.