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Axon Shares Surge on Analyst Upgrades and Raised Revenue Outlook
5 Aug
Summary
- Axon's Q2 results and increased full-year revenue guidance
- Analysts raise price targets, with Needham boosting to $870
- Axon stock hits new 52-week high, reflecting strong momentum
On August 5, 2025, Axon Enterprise Inc. (NASDAQ:AXON) saw its stock price surge during the regular trading session. This came after multiple analysts raised their price forecasts for the company following its impressive second-quarter results and increased full-year revenue guidance.
According to the report, Raymond James maintained an Outperform rating on Axon and lifted its price target to $855 from $645. UBS reiterated a Neutral rating but raised its forecast to $840 from $820. Needham, on the other hand, reaffirmed its Buy rating and boosted its price target to $870 from $820.
The upgrades came as Axon's stock price soared past its 52-week high of $830.21, reflecting the company's strong rebound from its 52-week low of $279.02. This underscores Axon's recent momentum, which is evident in its financial performance.
In the second quarter, Axon's Software and Services revenue rose 39% year-over-year to $292 million, while Connected Devices revenue increased 29% to $376 million. The company's Platform Solutions revenue also surged 86% to $67 million. Additionally, Axon's annual recurring revenue grew 39% to $1.2 billion, and its adjusted gross margin reached 63.3%, improving 20 basis points from the year-ago quarter.
Buoyed by these strong results, Axon raised its full-year revenue outlook to $2.65 billion to $2.73 billion, up from its prior guidance of $2.6 billion to $2.7 billion. This compares favorably to the $2.66 billion consensus estimate.
