Wall Street closes at a record for the first time since end of January
Investing.com -- Axon Enterprise (NASDAQ:AXON) shares rose 4% on Wednesday following positive analyst commentary on the company’s growth prospects and new product offerings.
RBC Capital analyst David Paige maintained an Outperform rating with a $735.00 price target, noting "Axon is positioned to reach approximately $6 billion in revenues and 28% EBITDA margins by FY28, driven by deeper US public safety market penetration, expansion in Enterprise and International segments, and increased drone adoption. The Axon 911 platform unlocks incremental AI attachment opportunities."
Needham analyst Joshua Reilly reiterated a Buy rating with a $600.00 price target after attending Axon Week in Nashville. Reilly commented "We attended Axon Week yesterday in Nashville, TN, and came away with a reinforced positive view around current demand trends, and the company’s ability to further strengthen their competitive position with new ecosystem products."
TD Cowen analyst Andrew Sherman lowered his price target to $825.00 from $950.00 while maintaining a Buy rating. Sherman noted "We attended AXON’s customer conference in Nashville. The keynote highlighted new AI products Vision (real-time awareness w/ live video), Assistant (now across the whole ecosystem), & Axon 911. We thought the customer panel was very bullish."
Sherman attributed recent stock weakness to non-fundamental factors, adding "With the stock now -30% over the past month (also perplexing given the very strong 4Q), now trading at 7x EV/CY27E Sales, ~25x EV/EBITDA for a 30%+ growth company, we see this as a significant overreaction and would be taking advantage of the weakness to add to positions."
The company showcased new AI-focused products including Axon Vision, Axon Assistant, and the Axon 911 platform at its Nashville customer conference.
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