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Axon Enterprise (AXON) Dips More Than Broader Markets: What You Should Know

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Axon Enterprise (AXON - Free Report) closed at $211.21 in the latest trading session, marking a -1.76% move from the prior day. This change lagged the S&P 500's 0.7% loss on the day. Elsewhere, the Dow lost 0.87%, while the tech-heavy Nasdaq added 2.77%.

Heading into today, shares of the maker of stun guns and body cameras had gained 10.88% over the past month, outpacing the Industrial Products sector's loss of 3.81% and the S&P 500's loss of 5.06% in that time.

Investors will be hoping for strength from Axon Enterprise as it approaches its next earnings release. The company is expected to report EPS of $0.49, up 8.89% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $312.07 million, up 21.7% from the year-ago period.

AXON's full-year Zacks Consensus Estimates are calling for earnings of $2.59 per share and revenue of $1.43 billion. These results would represent year-over-year changes of +18.26% and +19.95%, respectively.

Any recent changes to analyst estimates for Axon Enterprise should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 5.21% higher. Axon Enterprise currently has a Zacks Rank of #3 (Hold).

Investors should also note Axon Enterprise's current valuation metrics, including its Forward P/E ratio of 83.01. This valuation marks a premium compared to its industry's average Forward P/E of 18.3.

The Security and Safety Services industry is part of the Industrial Products sector. This industry currently has a Zacks Industry Rank of 49, which puts it in the top 20% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on

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