Fundamental analysis · SEC EDGAR · TTM through 31/03/2026

Fundamental analysis of Axon Enterprise, Inc.

AXON · Nasdaq · Industrial

Fundamental quality

REASONABLE

57

out of 100

Axon Enterprise, Inc.'s profile is defined by leverage: it carries high debt (18.16× EBITDA) on thin margins (6.9%), which makes it more sensitive to rates and the cycle. On fundamental quality it scores 57 out of 100, profiling it as a company of reasonable quality. Its weakest area is its financial strength (net debt 18.16× EBITDA). Whether it's cheap or expensive depends on the current price, which you can compute in the tool.

What the company does

Axon Enterprise is the company behind Taser weapons and police body cameras: the less-lethal weapon, the camera that records and the cloud (Evidence.com) where all police video lives. It turned public safety into a software subscription business.

What will shape its future

  • Multi-year police contracts: every agency signed up is subscribed to camera, cloud and Taser.
  • International and private-sector expansion, its markets yet to open.
  • A demanding valuation requiring flawless execution year after year.

Breakdown by area

I.Growth
83

EPS growth: 6.4% · Revenue growth: 32.5%

II.Profitability
63

Net margin: 6.9% · ROE: 5.8%

III.Financial health
24

Net debt/EBITDA: 18.16x · FCF: 0.7%

Source: SEC EDGAR · TTM through 31/03/2026

The score combines growth, profitability and financial strength. Here its growth weighs in its favor, while its financial strength drags it down the most.

Versus its sector

Percentile against the other 69 Industrial companies in our coverage: how far it beats them on each metric (100 = best in sector).

Net marginbeats 39%
ROEbeats 15%
Growthbeats 91%
Cash generationbeats 13%
Less debtbeats 1%

Computed from the daily dataset scores. A high percentile places the company among the best in its sector on that metric; it is not a buy recommendation.

Key concepts

What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow

Axon Enterprise, Inc. strengths

  • Revenue growing strongly (32.5% annualized).
  • High gross margin (59.3%), pointing to pricing power.
  • It has turned profitable after years of losses.
  • Revenue rising without interruption since 2020.

Axon Enterprise, Inc. risks and weaknesses

  • Very high leverage (net debt of 18.16× EBITDA): more exposed to rates and to a rough patch.
  • Its net debt has grown over the period.
  • Low return on equity (ROE of 5.8%).

Axon Enterprise, Inc. historical evolution

YearRevenueNet incomeFree cash flowNet debt
2020681-2-34-155
2021863-6075-356
20221,187147180-354
20231,561176130-599
20242,083377330225
20252,78012575610

Between 2020 and 2025, revenue went from $681M to $2,780M (+308%) and net income went from -$2M to $125M (+7331%).

Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.

Latest results

Versus the same period a year earlier

Figures for the quarter ended March 31, 2026, versus the quarter ended March 31, 2025 (SEC filings):

  • Revenue+33.7%
  • Net income+92.4%

Automatic comparison between the two most recent periods filed with the SEC. One quarter doesn't make a trend: read it alongside the historical evolution above.

Dividend

This company doesn't pay a dividend: it reinvests all its earnings back into the business.

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Is Axon Enterprise, Inc. cheap or expensive?

That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).

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Frequently asked questions

Is Axon Enterprise, Inc. a good company to invest in?

In terms of business quality, Axon Enterprise, Inc. scores 57 out of 100 in our analysis, placing it as a company of reasonable quality. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.

Is Axon Enterprise, Inc. a profitable company?

Axon Enterprise, Inc. is profitable, with a net margin of 6.9%, though a thin one.

Does Axon Enterprise, Inc. have a lot of debt?

Yes, its leverage is high: net debt is 18.16 times its EBITDA, and it has been rising.

Is Axon Enterprise, Inc. growing?

Its revenue has grown 32.5% annualized in recent years and its earnings per share 6.4%, and without interruption since 2020.

Does Axon Enterprise, Inc. generate cash?

Yes. It converts about 0.7% of its revenue into free cash flow.

The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.

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