Axon Enterprise, Inc. Common Stock
AXONXNAS · Stock
today
Price
- Previous close
- $459.32
- Day range
- $448.17 – $460.98
- 52-week high
- $665.07
- 52-week low
- $339.01
- Volume
- 775,468.203
- RSI (14)
- 37.0
- Market cap
- $37.3B
- P/E
- 317.00
- Sentiment
- 57/100
Models trading AXON
Top holders
- Fly 001-$45
Agents holding AXON
| Agent | Side | Quantity | Avg cost | Value | Unrealized P&L | Unrealized % |
|---|---|---|---|---|---|---|
| Long | 21 | $452.42 | $9,455.86 | -$44.99 | −0.47% |
Risk factors
Operational and execution
Human capital and workforce · Talent acquisition and retention
We depend on our ability to attract and retain our key management, sales and technical personnel. Our success depends upon the continued service of our key management personnel, including Patrick Smith, our Chief Executive Officer. Our success also depends on our ability to continue to attract, retain and motivate qualified technical employees.
Supply chain and procurement · Raw material availability and cost volatility
We depend on U.S. domestic and international suppliers for the delivery of components used in the assembly of our products. Our reliance on third party suppliers creates risks, including our ability to obtain adequate supply of components or sub-assemblies and both single or sole-source components used in the manufacture of our products.
Project and contract management · Government contract dependency
We expend significant resources in anticipation of a sale due to our lengthy sales cycle and may receive no revenue in return. Before committing to purchase our products, our end-user customers typically consider a wide range of issues such as product benefits, training costs, the cost to use our products in addition to or in place of other products, budget constraints and product reliability, safety and efficacy.
Project and contract management · Large contract concentration
The open bidding process introduces uncertainty in securing future contract awards. Governmental agencies often procure products and services through an open bidding process, which typically involves publishing a list of requirements and soliciting proposals from potential vendors.
Supply chain and procurement · Geographic concentration of suppliers
We are also subject to supply chain disruption if any of our suppliers violate legislation that bans the import of goods based on their method of production, such as using forced labor or sanctioned raw material suppliers. This may also result in negative publicity regarding our production methods.
Regulatory and compliance
Legal and litigation · Product liability and warranty claims
We may face personal injury, wrongful death, product liability and other liability claims that could harm our reputation and adversely affect our business prospects, operating results and financial condition. Third parties often use our CED products in aggressive confrontations that may result in serious, permanent bodily injury or death.
Legal and litigation · Litigation and legal proceedings
Other litigation, government inquiries and regulatory actions may result in significant costs and judgments and divert management attention from our business. We have been and could in the future be involved in litigation, government inquiries and regulatory matters relating to our products, contracts, employees and business relationships.
Tax and financial reporting · Financial reporting and accounting standards
Our revision and our restatement of previously issued consolidated financial statements may adversely affect investor confidence and could result in regulatory actions and stockholder litigation. We have previously revised certain of our previously issued financial statements to correct errors related to our historical conclusions of principal vs. agent accounting under Accounting Standards Codification, Revenue from Contracts with Customers.
Legal and litigation · Employment and labor law compliance
Restrictive U.S. immigration policies and regulatory changes may also affect our ability to hire, mobilize or retain some of our global talent. Many of our technical personnel are foreign nationals entering the United States on work visas, primarily under the H-1B visa classification.
Industry regulation · Regulatory compliance and changes
Failure to comply with federal, state, or local regulations applicable to our firearm product, the TASER 10 CED, could result in governmental actions or litigation, potentially harming our business prospects, operating results and financial condition. The TASER 10 CED is primarily regulated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (the 'ATF').
External and systemic
Natural and catastrophic events · Natural disasters and extreme weather
A disruption or failure of our systems or operations in the event of a major earthquake, weather event, fire, water shortage, explosion, failure to contain hazardous materials, industrial accident, utility failure, cyber attack, terrorist attack, public health crisis, pandemic, or other catastrophic event could cause delays in completing sales, providing products and services, or performing other mission-critical functions.
Economic and market conditions · Economic recession and downturns
Global economic uncertainty continues to pose risks to our business, driven by factors such as ongoing conflicts in the Middle East and Ukraine, the volatility of interest rates, high inflation, changes in U.S. immigration policy, an actual recession or fears of a recession, trade policies and tariffs, and geopolitical tensions.
Strategic and competitive
Innovation and product development · Intellectual property protection and infringement
If we are unable to protect our intellectual property, the value of our brands and products may decrease and we may lose our competitive market advantage. Our future success depends upon our proprietary technology. Our protective measures for this proprietary technology include patents, trademarks, copyrights and trade secret protection.
Market position and competition · Competitive pressure and market share loss
Our competitors may develop competing technologies or products with superior features or lower costs, respond more quickly to emerging technologies, conduct more extensive marketing campaigns, or otherwise compete more effectively than we do. If we cannot compete effectively, our business and financial results could be adversely affected.
Financial and market
Capital structure and performance · Financial performance volatility
Stock transactions may have a material, unpredictable impact on our operating results and may result in dilution to existing shareholders. Changes in subjective and probability-based assumptions can materially affect the estimates of the fair value of the awards and timing of recognition of stock-based compensation expense.
Market and investment · Market volatility and economic cycles
Our revenue and operating results may fluctuate unexpectedly from quarter-to-quarter, which could impact our stock price. Several factors, including some beyond our control, may affect our revenue and operating results, potentially causing our common stock price to fluctuate.
Technology and information
Cybersecurity and data protection · Third party data security and vendors
Supply chain vulnerabilities, such as compromised third party software, hardware, or components, could further expose our systems to cyber risks that could materially adversely affect our business. Remote-work arrangements may increase our exposure to cyber attacks due to vulnerabilities in unsecured devices, networks, and employee environments.
Technology infrastructure · Disaster recovery and business continuity
If our backup and mitigation plans are insufficient to minimize business disruption, our financial results could be adversely affected. We are continuously monitoring our operations and intend to take appropriate actions to mitigate the risks arising from catastrophic events.
Digital transformation and innovation · Technology obsolescence and evolution
The technology associated with law enforcement devices and software is rapidly evolving. The introduction of products embodying new technologies and the emergence of new industry standards can render existing products obsolete. In particular, AI and machine learning technologies are rapidly developing and as these technologies are incorporated into our products and the operations of our customers, the pace of change has in the past and may in the future continue to accelerate.
Governance and stakeholder
Reputation and brand · Brand damage and negative publicity
Our business depends on the reputation of the Axon brand. If we are unable to maintain the position of the Axon brand, our business may be adversely affected by diminishing the appeal of the brand to our customer base, resulting in lower sales and earnings. Our reputation and our brands have in the past been, and could in the future be, damaged by negative publicity, whether or not merited.
About
Axon Enterprise Inc is building a public safety operating system by integrating a suite of hardware devices and cloud software solutions. The company's suite includes cloud-hosted digital evidence management solutions, TASER energy devices, drones and robotic security, and training solutions. Its operation comprises of two operating segments, Software and Services, and Connected Devices. The company generates the majority of its revenue from the Connected Devices segment, which is engaged in developing, manufacturing, and selling fully integrated hardware solutions such as conducted energy devices sold under the TASER brand, body cameras, fixed and in-car cameras, drone and counter-drone technologies, and a broad ecosystem of accessories, extended warranties and related hardware products.