Needham & Company LLC Issues Pessimistic Forecast for Axon Enterprise (NASDAQ:AXON) Stock Price

Axon Enterprise (NASDAQ:AXON) had its price target lowered by research analysts at Needham & Company LLC from $750.00 to $500.00 in a research note issued on Friday, MarketBeat Ratings reports. The brokerage currently has a “buy” rating on the biotechnology company’s stock. Needham & Company LLC‘s price objective indicates a potential upside of 59.74% from the company’s current price.

Several other research firms also recently weighed in on AXON. Zacks Research downgraded shares of Axon Enterprise from a “strong-buy” rating to a “hold” rating in a report on Tuesday, November 3rd. Argus raised their target price on shares of Axon Enterprise from $460.00 to $600.00 and gave the company a “buy” rating in a research note on Thursday, September 3rd. The Goldman Sachs Group lowered their target price on shares of Axon Enterprise from $715.00 to $675.00 and set a “buy” rating on the stock in a research note on Monday, September 21st. Raymond James Financial set a $675.00 price target on shares of Axon Enterprise in a research report on Thursday, October 15th. Finally, Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Axon Enterprise in a research note on Tuesday. Thirteen research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $631.35.

Axon Enterprise Stock Down 18.2%

Shares of Axon Enterprise stock opened at $313.00 on Friday. The company has a debt-to-equity ratio of 0.47, a current ratio of 2.15 and a quick ratio of 1.80. Axon Enterprise has a 1-year low of $307.00 and a 1-year high of $665.07. The business’s fifty day moving average price is $441.53 and its two-hundred day moving average price is $475.20. The company has a market capitalization of $25.43 billion, a P/E ratio of 100.32, a PEG ratio of 5.95 and a beta of 1.48.

Axon Enterprise (NASDAQ:AXON) last issued its quarterly earnings results on Thursday, November 5th. The biotechnology company reported $1.72 EPS for the quarter, missing analysts’ consensus estimates of $1.89 by ($0.17). The business had revenue of $908.55 million for the quarter, compared to analyst estimates of $934.33 million. Axon Enterprise had a net margin of 7.56% and a return on equity of 3.95%. Axon Enterprise’s revenue for the quarter was up 27.8% on a year-over-year basis. During the same period last year, the business posted $1.17 earnings per share. As a group, research analysts forecast that Axon Enterprise will post 2.10 EPS for the current year.

Insider Transactions at Axon Enterprise

In other news, President Joshua Isner sold 16,775 shares of the company’s stock in a transaction on Monday, August 31st. The stock was sold at an average price of $574.43, for a total value of $9,636,063.25. Following the completion of the sale, the president owned 296,974 shares in the company, valued at $170,590,774.82. This represents a 5.35% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Isaiah Fields sold 1,017 shares of the company’s stock in a transaction on Friday, September 11th. The shares were sold at an average price of $480.45, for a total value of $488,617.65. Following the completion of the sale, the insider owned 56,264 shares of the company’s stock, valued at approximately $27,032,038.80. This trade represents a 1.78% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 37,397 shares of company stock valued at $21,234,034 in the last quarter. Company insiders own 4.20% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of AXON. Wellington Grp LLC grew its stake in Axon Enterprise by 79.4% during the 3rd quarter. Wellington Grp LLC now owns 2,532 shares of the biotechnology company’s stock valued at $1,070,000 after acquiring an additional 1,121 shares in the last quarter. Addison Advisors LLC increased its holdings in shares of Axon Enterprise by 160,200.0% in the 3rd quarter. Addison Advisors LLC now owns 1,603 shares of the biotechnology company’s stock valued at $677,000 after purchasing an additional 1,602 shares during the period. Diversified Trust Co increased its holdings in shares of Axon Enterprise by 470.3% in the 3rd quarter. Diversified Trust Co now owns 79,246 shares of the biotechnology company’s stock valued at $33,483,000 after purchasing an additional 65,351 shares during the period. Aberdeen Group plc lifted its position in shares of Axon Enterprise by 429.4% in the third quarter. Aberdeen Group plc now owns 281,029 shares of the biotechnology company’s stock worth $122,674,000 after purchasing an additional 227,949 shares in the last quarter. Finally, William Blair Investment Management LLC purchased a new stake in shares of Axon Enterprise in the third quarter worth approximately $2,729,000. 79.08% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting Axon Enterprise

Here are the key news stories impacting Axon Enterprise this week:

• Positive Sentiment: Q3 revenue reached a record $909 million, up 28% year over year, while software and services revenue rose 43%. Axon also reported AI annual recurring revenue above $100 million, signaling continued demand for its software and AI offerings. Axon Q3 results
• Neutral Sentiment: Axon committed an additional $1.2 billion to drone maker Skydio, bringing its stake to 37% and making it Skydio’s exclusive public-safety distributor in the U.S. and Canada. The move could expand Axon’s Drone as First Responder business, but its scale also raises investment and execution risks. Reuters: Axon invests in Skydio
• Negative Sentiment: Q3 adjusted earnings of $1.72 per share and revenue of $908.55 million fell short of analyst expectations. Axon’s 2026 revenue forecast was reduced to $3.6 billion from a consensus of about $3.7 billion; its Q4 revenue guidance also came in below estimates. The company cited delays in federal counter-drone projects, while margin pressure added to concerns. Zacks: Q3 miss and outlook
• Negative Sentiment: Several analysts lowered price targets after the results, and Craig Hallum downgraded AXON from Buy to Hold, adding to pressure on investor sentiment. Benzinga: analyst forecast changes
• Negative Sentiment: A class-action lawsuit over Axon’s license-plate surveillance practices is a potential additional legal and reputational overhang. Class-action announcement

About Axon Enterprise

Axon Enterprise develops technology and services for public safety agencies. Its products include TASER conducted-energy weapons, body-worn and in-car cameras, and related hardware designed to support law enforcement and other safety professionals.

The company also provides cloud-based software for managing digital evidence, records and operational workflows. Its Axon Evidence platform helps agencies store, organize and share video and other evidence, while its broader software offerings include tools for dispatch and records management.

Founded in 1993 as TASER International, the company adopted the name Axon Enterprise in 2017 as it expanded beyond conducted-energy weapons into connected devices and software.