Taser Maker Soars On Uplifting Guidance After Trump Election

Date:

Taser maker Axon Enterprises (AXON) guided high late Thursday after smashing earnings estimates for the third quarter. Axon stock rocketed on Friday amid a slew of price-target hikes.

Heading into the Nov. 5 election, analysts saw Axon stock as a potential beneficiary of a Trump win. Former President Donald Trump survived an assassination attempt in July to win the 2024 U.S. election this week. He will begin his second presidential term in January.

Axon Earnings Acceleration

The company reported earnings of $1.45 per share, easily beating views for $1.20. Revenue of $544.3 million came in slightly ahead of views. Year over year, Axon earnings surged 42% and sales jumped 32%, according to FactSet.

Though robust, the Q3 sales pace marked a slight slowdown from more than 34% in the prior two quarters. But earnings growth accelerated sharply from Q2’s 8% pace.





X



NOW PLAYING
This Stock Could Be The Next Chipotle. But Can It Maintain Stellar Earnings Growth?



For the entire year, Axon is now targeting revenue of about $2.07 billion, a 32% increase from 2023. Analysts were expecting $2.04 billion going into the Q3 report and they now expect $2.064 billion, FactSet shows. The company also said Thursday that it expects 2024 adjusted EBITDA of about $510 million, up from $460 million-$475 million previously. Analysts projected $500.8 million as of Friday.


Market Roars, Tesla Tops $1 Trillion; Five Stocks Still In Range


Taser Maker Axon Stock Surges

Shares of the Taser maker soared 28.7% to 603.18 in Friday’s stock market action. Axon stock made a fresh 52-week high and has now more than doubled year to date, vaulting 134%.

Six analysts hiked price targets on Axon stock on Friday, FactSet shows. No one cut. Two firms, Baird and Needham, raised their price targets on the Taser maker to a Street-high 600, implying a further 14% upside for shares from Friday’s intraday price. Baird hiked its price target from 460, a 30% increase.

The Taser stun-gun and Axon body camera maker has continually expanded its target markets. It took another step with its May deal for “airspace security” leader Dedrone.

Northcoast Research analyst Keith Housum told Investor’s Business Daily in July that law enforcement should continue to be well funded if Trump wins the election, benefiting Axon stock.

YOU MAY ALSO LIKE:

Why This IBD Tool Simplifies The Search For Top Stocks

Best Growth Stocks To Buy And Watch

IBD Digital: Unlock IBD’s Premium Stock Lists, Tools And Analysis Today

Looking For Market Insights? Check Out Our IBD Live Daily Segment

These Are The 5 Best Stocks To Buy And Watch Now

Why These Two Prison Stocks Soared Around 80% After Trump Win

 

Share post:

Popular

More like this
Related

Jerry Jones continues to insist that the blinding sun at AT&T Stadium is a home-field advantage

Jerry Jones is a glass half-full kind of guy.Where...

Daunting Luka assignment is key to Warriors’ win over Mavericks

Daunting Luka assignment is key to Warriors' win over...

Are the Chiefs the NFL’s worst-ever 9-0 team?

It’s like facing criticism for being the least impactful...

Fallen Inter legend Adriano: ‘I was football’s biggest waste’

The situation got out of hand when Adriano fell...