Why Axon Enterprise (AXON) Outpaced the Stock Market Today

The most recent trading session ended with Axon Enterprise (AXON) standing at $593.89, reflecting a +1.37% shift from the previouse trading day's closing. This move outpaced the S&P 500's daily gain of 1%. Elsewhere, the Dow gained 0.78%, while the tech-heavy Nasdaq added 1.51%.Shares of the maker of stun guns and body cameras have depreciated by 4.85% over the course of the past month, underperforming the Aerospace sector's loss of 0.45% and the S&P 500's loss of 2.14%.Market participants will be closely following the financial results of Axon Enterprise in its upcoming release. It is anticipated that the company will report an EPS of $1.51, marking a 34.82% rise compared to the same quarter of the previous year. Simultaneously, our latest consensus estimate expects the revenue to be $567.56 million, showing a 31.34% escalation compared to the year-ago quarter.Investors should also take note of any recent adjustments to analyst estimates for Axon Enterprise. These recent revisions tend to reflect the evolving nature of short-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Right now, Axon Enterprise possesses a Zacks Rank of #2 (Buy).Investors should also note Axon Enterprise's current valuation metrics, including its Forward P/E ratio of 90.19. This denotes a premium relative to the industry's average Forward P/E of 29.88.Meanwhile, AXON's PEG ratio is currently 3.03. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The average PEG ratio for the Aerospace - Defense Equipment industry stood at 2.51 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 71, which puts it in the top 29% of all 250+ industries.The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.Just Released: Zacks Top 10 Stocks for 2025Hurry – you can still get in early on our 10 top tickers for 2025. Handpicked by Zacks Director of Research Sheraz Mian, this portfolio has been stunningly and consistently successful. From inception in 2012 through November, 2024, the Zacks Top 10 Stocks gained +2,112.6%, more than QUADRUPLING the S&P 500’s +475.6%. Sheraz has combed through 4,400 companies covered by the Zacks Rank and handpicked the best 10 to buy and hold in 2025. You can still be among the first to see these just-released stocks with enormous potential. See New Top 10 Stocks >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Axon Enterprise, Inc (AXON): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks