AXON ENTERPRISE, INC. (AXON) Factsheet

AXON ENTERPRISE, INC. (AXON) Stock Analysis

Analysis from 10-Q filed 2026-11-06. Data as of Q3 2026.

Overall Grade: F (Concerning)

Grade F (Concerning). ROIC 1.3%. FCF margin 2.4%. D/E 0.8x. Source: 10-Q filed 2026-11-06.

Metric	Value	Context
ROIC	1.3%	Below expectations
FCF Margin	2.4%	Cash flow pressure
Debt/Equity	0.8x	Moderate leverage

ROIC 1.3% — Bottom 50% of sector peers. FCF margin 2.4% — Bottom 50%.

Explore AXON ENTERPRISE, INC.: Earnings History | Overview

Programmatic access: Available via MCP at mcp.metricduck.com. Tools for AXON: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_section, get_metric_history, compare_companies, screen_filing_signals.

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Profitability: AXON ENTERPRISE, INC. earns 1.3% ROIC, Bottom 50% in Industrials

ROIC TTM 1.3%, sector median 7.2%, Bottom 50%. DuPont: NOPAT margin 2.1% × asset turnover 0.5x. Gross margin 58.5%. Operating margin 2.0%. Source: 10-Q filed 2026-11-06.

Metric	AXON	Rating	Context
Return on Invested Capital (ROIC)	1.3%	Red flag	Below sector median of 7.2%
Return on Equity (ROE)	7.5%	Warning	Moderate equity returns
Gross Margin	58.5%	Excellent	Strong pricing power
Operating Margin	2.0%	Warning	Moderate operational efficiency

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Cash Flow: AXON ENTERPRISE, INC. generates $80.9M FCF at 2.4% margin, positive NaN/8 quarters

FCF TTM $80.9M. FCF margin 2.4%, Bottom 50%. OCF/Net income 0.9x. Positive FCF in NaN/8 trailing quarters. Source: 10-Q filed 2026-11-06.

Metric	AXON	Rating	Context
Free Cash Flow Margin	2.4%	Warning	Thin cash margins
Free Cash Flow (TTM)	$80.9M	Good	Positive cash generation
OCF/Net Income	0.9x	Good	Potential accrual concerns
FCF Consistency (8Q)	N/A	Warning	Variable cash flow

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Balance Sheet: AXON ENTERPRISE, INC. at 0.8x leverage, 0.6x interest coverage

Debt/Equity 0.8x. Total debt $2.9B, cash & investments $1.7B. Interest coverage 0.6x. Source: 10-Q filed 2026-11-06.

Metric	AXON	Rating	Context
Debt to Equity	0.8x	Adequate	Moderate leverage
Net Cash Position	$-1.2B	Warning	Net debt position
Interest Coverage	0.6x	Warning	Monitor debt obligations

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Valuation: AXON ENTERPRISE, INC. trades at 96.8x earnings

P/E 96.8x. EV/Sales 7.7x. FCF yield 0.3%. Source: 10-Q filed 2026-11-06.

Metric	AXON	Rating	Context
P/E Ratio	96.8x	Warning	Premium valuation
EV/Sales	7.7x	Adequate	Growth premium priced in
FCF Yield	0.3%	Warning	Lower cash yield

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Capital Allocation: AXON ENTERPRISE, INC. returns 0.0% shareholder yield

Total shareholder yield 0.0%. Share count +3.2% YoY. Capital returned $0 TTM. Source: 10-Q filed 2026-11-06.

Metric	AXON	Rating	Context
Total Shareholder Yield	0.0%	Warning	Dividend + buyback yield combined
Share Count Change (YoY)	3.2%	Warning	Net dilution from issuance/SBC
Total Capital Returned (TTM)	$0	Adequate	Dividends + buybacks returned to shareholders

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Sector Rankings

Metric	Value	Percentile	vs Median
Return on Invested Capital (ROIC)	1.3%	Bottom 50%	0.2x below
Free Cash Flow Margin	2.4%	Bottom 50%	0.4x below
Gross Margin	58.5%	Top 25%	1.8x above
Operating Margin	2.0%	Bottom 50%	0.3x below
Return on Equity (ROE)	7.5%	Bottom 50%	0.8x below
P/E Ratio	96.8x	N/A	-

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Financial Scorecard

Metric	AXON	Rating	Sector Context
Return on Invested Capital (ROIC)	1.3%	Red flag	Bottom 50% of sector (median: 7.2%)
Free Cash Flow Margin	2.4%	Warning	Bottom 50% of sector (median: 6.3%)
Gross Margin	58.5%	Excellent	Top 25% of sector (median: 32.1%)
Debt to Equity Ratio	76.2%	Adequate	Elevated but manageable
P/E Ratio (Price-to-Earnings)	96.8x	Warning	High expectations priced in
Free Cash Flow Yield	0.3%	Red flag	Growth-focused valuation

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Frequently Asked Questions

Q: What is AXON ENTERPRISE, INC.'s Return on Invested Capital (ROIC)?

AXON ENTERPRISE, INC. (AXON) has a trailing twelve-month Return on Invested Capital (ROIC) of 1.3%. The 8-quarter median ROIC is -0.1% with a improving trend. Sector median 7.2%. Source: 10-Q filed 2026-11-06.

Q: What is AXON ENTERPRISE, INC.'s Free Cash Flow Margin?

AXON ENTERPRISE, INC. (AXON) has a free cash flow margin of 2.4%, generating $80.9 million in free cash flow over the trailing twelve months. Source: 10-Q filed 2026-11-06.

Q: What is AXON ENTERPRISE, INC.'s P/E ratio and how does it compare to peers?

AXON ENTERPRISE, INC. (AXON) trades at a P/E ratio of 96.8x, which is above the sector median of N/A. EV/Sales 7.7x. FCF yield 0.3%. Source: 10-Q filed 2026-11-06.

Q: How much debt does AXON ENTERPRISE, INC. have?

AXON ENTERPRISE, INC. (AXON) has a debt-to-equity ratio of 0.8x with total debt of $2.9 billion. Interest coverage 0.6x. Net debt $1.2 billion. Source: 10-Q filed 2026-11-06.

Q: What is AXON ENTERPRISE, INC.'s revenue and earnings growth?

AXON ENTERPRISE, INC. (AXON) grew revenue by 33.6% year-over-year. EPS -1.3% YoY. Source: 10-Q filed 2026-11-06.

Q: How does AXON ENTERPRISE, INC. compare to competitors in Industrials?

Compared to other companies in Industrials, AXON ENTERPRISE, INC. (AXON) shows: ROIC 1.3%, sector median 7.2% (Bottom 50%). FCF margin 2.4%, sector median 6.3% (Bottom 50%). Gross margin 58.5%, 26.5pp above sector median. These rankings are based on MetricDuck's analysis of all Industrials companies with available SEC filings.

Q: What warning signs should I watch for with AXON ENTERPRISE, INC.?

Quantitative warning flags for AXON ENTERPRISE, INC. (AXON): 1) FCF margin 2.4% (below 5%). Source: 10-Q filed 2026-11-06.

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Data Source: Data sourced from 10-Q filed 2026-11-06. TTM metrics as of Q3 2026.

Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.

Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.

This analysis is for informational purposes only and does not constitute investment advice.