Self defense company AXON (NASDAQ: AXON) will be reporting earnings this Wednesday afternoon. Here’s what investors should know.
Axon beat analysts’ revenue expectations last quarter, reporting revenues of $796.7 million, up 38.5% year on year. It was a stunning quarter for the company, with a beat of analysts’ EPS estimates and an impressive beat of analysts’ EBITDA estimates.
Is Axon a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Axon’s revenue to grow 29% year on year, slowing from the 31.3% increase it recorded in the same quarter last year.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Axon has a history of exceeding Wall Street’s expectations.
Looking at Axon’s peers in the aerospace and defense segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Byrna delivered year-on-year revenue growth of 10.9%, missing analysts’ expectations by 2.3%, and General Dynamics reported revenues up 10.3%, topping estimates by 5.9%. Byrna traded down 38.3% following the results while General Dynamics was up 9.5%.
Read our full analysis of Byrna’s results here and General Dynamics’s results here.
There has been positive sentiment among investors in the aerospace and defense segment, with share prices up 7.6% on average over the last month. Axon is down 4.4% during the same time and is heading into earnings with an average analyst price target of $701.76 (compared to the current share price of $394.90).
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