Latest news with #AXON
Yahoo
10-07-2025
- Business
- Yahoo
Axon Enterprise (AXON) Beats Stock Market Upswing: What Investors Need to Know
In the latest close session, Axon Enterprise (AXON) was up +1.98% at $805.86. The stock exceeded the S&P 500, which registered a gain of 0.61% for the day. Elsewhere, the Dow gained 0.49%, while the tech-heavy Nasdaq added 0.95%. The stock of maker of stun guns and body cameras has risen by 3.61% in the past month, leading the Aerospace sector's gain of 1.1% and undershooting the S&P 500's gain of 3.85%. Market participants will be closely following the financial results of Axon Enterprise in its upcoming release. The company is forecasted to report an EPS of $1.54, showcasing a 28.33% upward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $641.21 million, indicating a 27.2% upward movement from the same quarter last year. Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $6.34 per share and revenue of $2.65 billion. These totals would mark changes of +6.73% and +27.17%, respectively, from last year. Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Axon Enterprise. These revisions help to show the ever-changing nature of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability. Our research shows that these estimate changes are directly correlated with near-term stock prices. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system. The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Currently, Axon Enterprise is carrying a Zacks Rank of #3 (Hold). Digging into valuation, Axon Enterprise currently has a Forward P/E ratio of 124.67. This expresses a premium compared to the average Forward P/E of 38.37 of its industry. It is also worth noting that AXON currently has a PEG ratio of 4.39. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. As of the close of trade yesterday, the Aerospace - Defense Equipment industry held an average PEG ratio of 3. The Aerospace - Defense Equipment industry is part of the Aerospace sector. This group has a Zacks Industry Rank of 90, putting it in the top 37% of all 250+ industries. The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Be sure to use to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Axon Enterprise, Inc (AXON) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Insider
09-07-2025
- Business
- Business Insider
Scotiabank Says Buy AppLovin Stock (APP) as it ‘Reshapes the Landscape of Performance Advertising'
Scotiabank initiated a Buy rating on AppLovin (APP) stock, as the ad tech company 'fundamentally reshapes the landscape of performance advertising.' AppLovin provides AI-enhanced solutions that enable businesses to reach, monetize, and grow their audiences. Scotiabank analyst Nathaniel Schindler assigned APP stock a price target of $430, reflecting an upside potential of 24.6% from current levels. Don't Miss TipRanks' Half-Year Sale Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence. Make smarter investment decisions with TipRanks' Smart Investor Picks, delivered to your inbox every week. AppLovin stock has rallied by more than 297% over the past year, driven by optimism about the demand for the company's artificial intelligence (AI)-powered solutions, such as the AXON advertising software. The stock has declined more than 17% due to its non-inclusion in the S&P 500 Index (SPX) and accusations by short-seller Casper Research. Scotiabank Is Bullish on APP Stock Schindler is bullish on AppLovin, as 'not only has it blown through the Rule of 40 into the triple digits (EBITDA margin plus revenue growth), but the number keeps growing as the company gets more efficient.' The Rule of 40 is a benchmark for the financial health of SaaS (Software as a Service) companies and suggests that the sum of a company's revenue growth rate and its profit margin should be 40% or higher. The 4-star analyst stated that AppLovin has established a leading position in mobile app marketing, especially within gaming, by operating one of the largest in-app ad networks and mediation platforms globally. Schindler highlighted several catalysts, including the AXON software's wide moat, which is difficult for new entrants to cross. He also believes that APP's dependence on its premium first-party data and broad on-device footprint, achieved through its software development kit (SDK) network, protects it from regulatory changes. While AppLovin stock looks expensive based on sales, Schindler contends that there is plenty of further upside to APP's stock price based on EBITDA (earnings before interest, tax, depreciation, and amortization), especially as the company 'fundamentally reshapes the landscape of performance advertising.' Is AppLovin Stock a Buy? Turning to Wall Street, AppLovin stock scores a Strong Buy consensus rating based on 16 Buys and three Hold recommendations. The average APP stock price forecast of $510.65 indicates 48% upside potential from current levels.
Yahoo
08-07-2025
- Business
- Yahoo
Veteran analyst drops jaw-dropping price target on AppLovin stock
Veteran analyst drops jaw-dropping price target on AppLovin stock originally appeared on TheStreet. It's safe to say that when most folks think of AI stocks, they typically picture shiny Nvidia or AMD GPUs. This is for good reason, as those GPUs are the rockstars powering the most complex chatbots like ChatGPT, Gemini, Claude, and Grok. But in doing that, investors tend to ignore a whole software side that continues flying under the radar. 💵💰💰💵 One such unsung hero is AppLovin () , a scrappy ad-tech player turning AI into a money machine for mobile ads. The AI software stock turned heads on Wall Street with a rip-roaring 300% gain in 2024, but things have been mostly muted so far this year. Nevertheless, a fresh analyst note says the tide could flip fast, giving this stock the juice it needs to rocket higher again. AppLovin's is an AI-powered ad-tech giant that's stunned everyone with its eye-catching operational performance of began in Palo Alto over a decade ago when Adam Foroughi, John Krystynak, and Andrew Karam joined forces to help mobile app developers boost user revenue. The platform started as a simple recommendation tool but swiftly evolved into a full-on in-app advertising machine. Following a string of funding rounds, it went public in 2021 at a whopping valuation of nearly $24 billion. In recent years, AppLovin has doubled down on layering AI into its powerful ad tech engine. Its AI-powered MAX mediation and AXON targeting engines fine-tune ad placements in real-time, tracking user behavior to boost returns. With a reach that spans north of a billion daily gaming sessions, AppLovin's data advantage is tough to beat. More Tech Stock News: Google's quiet AI win spells trouble for Amazon Nvidia-backed stock sends a quiet shockwave through the AI world Veteran Tesla analyst drops 4-word call Moreover, with a lean software model and publishing arm, it's locked in a moat that's almost impossible to cross. AppLovin just picked up a fresh vote of confidence from Scotiabank, which assigned a Sector Outperform rating on the stock with a $430 price target. That implies a superb 25% upside from here, and the analyst behind the call, Nat Schindler, didn't mince words. Schindler feels AppLovin has 'blown through the Rule of 40,' which is typically considered the gold standard for software investors. That means it efficiently blends sales growth while its profit margin easily clears the 40% bar that healthy SaaS firms aim as its recent quarterlies suggest, AppLovin isn't just clearing it, it's lapping the field. In the first quarter, the company posted a 40% year-over-year jump in sales growth and an eye-catching 68% adjusted EBITDA margin. That equates to a triple-digit 'Rule of 40' number, a massive accomplishment in performance advertising. Free cash flow was perhaps even more impressive, topping $826 million, which AppLovin's management used to fund a $1.2 billion buyback and the exit from its old mobile games unit. Though Scotiabank concedes the stock doesn't look cheap on sales multiples, with such margins, there's plenty of room for earnings to continue climbing. Scotiabank's bullish stance joins a chorus of other big analysts warming up to AppLovin. Morgan Stanley just raised its target to $460 and keeps an Overweight call. Similarly, Goldman Sachs nudged its price target to $435, noting AppLovin's ad platform is hitting a new stride. It's important to note that AppLovin stock skyrocketed close to 300% last year and over 816% in the past three years. Year-to-date, though, we've seen sluggishness, with the stock cooling off, delivering just a meager 6.5% gain compared to the broader market gain of around 6%. The past month, in particular, has been rough, where the stock has lost almost 18% value, which creates an attractive entry analyst drops jaw-dropping price target on AppLovin stock first appeared on TheStreet on Jul 8, 2025 This story was originally reported by TheStreet on Jul 8, 2025, where it first appeared. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Globe and Mail
08-07-2025
- Business
- Globe and Mail
AppLovin's Strategic Shift Fuels Omnichannel Advertising Growth
AppLovin Corporation APP is accelerating its transformation from a mobile-first advertising platform into a diversified digital advertising powerhouse. At the heart of this evolution is a strategic expansion into high-growth areas, including web advertising, e-commerce and connected TV (CTV). A key driver of this shift is AppLovin's acquisition of Wurl, a streaming-focused content distribution and advertising platform. This move extends the reach of APP's AI-driven AXON monetization engine beyond mobile apps into the lucrative CTV and digital commerce spaces. The CTV advertising market is booming, driven by a significant shift in consumer viewing habits from traditional linear TV to streaming platforms. Wurl's infrastructure strengthens AppLovin's ability to deliver targeted, measurable campaigns across CTV devices, enhancing both reach and performance. Additionally, by integrating e-commerce capabilities, the company creates a feedback loop where ad performance is measured not just in impressions but in actual conversions, boosting its appeal to performance-focused advertisers. As user attention fragments across screens — mobile, web, and TV — AppLovin is uniquely positioned to offer a unified advertising platform that addresses the entire consumer journey. This omnichannel approach not only opens up new revenue streams but also reduces reliance on any single platform, insulating the company from ecosystem-specific risks. If APP can execute this strategy effectively, it stands to emerge as a dominant player in the next generation of digital advertising. Competition From Trade Desk and Roku AppLovin faces competition in this evolving landscape. The Trade Desk TTD, a leader in the Demand-Side Platform space, continues to bolster its CTV capabilities through strong partnerships with content providers and ongoing investments in its Unified ID solution. These enhancements support precise, data-driven ad targeting, keeping Trade Desk well-positioned as advertisers seek scalable reach and transparency. Roku ROKU is also a formidable rival, leveraging its proprietary operating system and vast streaming ecosystem to power a robust advertising business. Its platform-first approach allows for deep targeting accuracy and direct control over ad inventory. Roku has steadily expanded its ad tech stack to attract performance marketers and remain competitive in the increasingly crowded CTV arena. The Road Ahead As the digital ad space becomes more fragmented and performance-driven, AppLovin's bold pivot into CTV and commerce offers both opportunity and challenge. Success will depend on its ability to integrate Wurl's infrastructure seamlessly, drive measurable outcomes across channels, and differentiate itself from established players like Trade Desk and Roku. With the right execution, AppLovin could reshape its narrative from a mobile ad company into a major contender in the future of omnichannel advertising. APP's Price Performance, Valuation and Estimates The stock has gained 46.5% in the past three months compared with the industry 's 42.7% growth. From a valuation standpoint, APP trades at a forward price-to-earnings ratio of 33.48, well above the industry's 23.29. It carries a Value Score of F. The Zacks Consensus Estimate for APP's earnings has been on the rise over the past 30 days. APP currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here. Zacks' Research Chief Picks Stock Most Likely to "At Least Double" Our experts have revealed their Top 5 recommendations with money-doubling potential – and Director of Research Sheraz Mian believes one is superior to the others. Of course, all our picks aren't winners but this one could far surpass earlier recommendations like Hims & Hers Health, which shot up +209%. See Our Top Stock to Double (Plus 4 Runners Up) >> Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report AppLovin Corporation (APP): Free Stock Analysis Report The Trade Desk (TTD): Free Stock Analysis Report Roku, Inc. (ROKU): Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
01-07-2025
- Business
- Yahoo
Can Axon Enterprise Sustain EBITDA Margin Momentum Amid Cost Pressures?
Axon Enterprise, Inc. AXON achieved a solid adjusted EBITDA of $155.2 million in the first quarter of 2025, which increased 9.6% year over year. The company's adjusted EBITDA margin reached 25.7%, reflecting an increase of 200 basis points (bps). This improved margin not only reflects its strong operational efficiency but also benefits from the continued adoption of its premier products and rising operating expenses, AXON's adjusted gross margin grew 40 basis points to 63.6%. The improvement in margins was driven by higher revenues generated from robust sales of TASER 10, Axon Body 4, personal sensors and platform sensor products. It's worth noting that the company reported revenues of $603.6 million in the first quarter, which increased 31.3% year over Enterprise's focus on effective cost management and revenue improvement is likely to expand its margin performance. For 2025, AXON currently expects adjusted EBITDA in the range of $650-$675 million, higher than its previous outlook of $640-$670 million. The updated guided range implies an adjusted EBITDA margin of approximately 25%. It's worth noting that, effective first-quarter 2025, Axon Enterprise realigned its business segments. This realignment is expected to enhance the company's visibility into segment-specific performance and enable it to effectively manage its costs. This strategic move will likely support Axon Enterprise's ongoing margin improvement and operational efficiency. While AXON is putting its best foot forward to improve margins, the road ahead for its peers like Kratos Defense & Security Solutions, Inc. KTOS and Teledyne Technologies Incorporated TDY looks bumpy as they struggle to maintain healthy its major peers, Kratos Defense is facing cost pressure. In the first quarter of 2025, its cost of sales increased 11.1% year over year, while its SG&A expenses rose 4.8%. Kratos Defense's gross margin declined 30 bps to 24.3% in the Technologies' cost of sales rose 7.8% year over year in first-quarter 2025. The company's SG&A expenses also increased 6.5% year over year. Teledyne Technologies' gross margin declined 320 basis points to 42.7% in the same period. Shares of Axon Enterprise have surged 48.3% in the past three months compared with the industry's growth of 22.5%. Image Source: Zacks Investment Research From a valuation standpoint, AXON is trading at a forward price-to-earnings ratio of 115.81X above the industry's average of 48.85X. Axon Enterprise carries a Value Score of F. Image Source: Zacks Investment Research The Zacks Consensus Estimate for AXON's 2025 earnings has declined 0.8% over the past 60 days. Image Source: Zacks Investment Research The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Teledyne Technologies Incorporated (TDY) : Free Stock Analysis Report Kratos Defense & Security Solutions, Inc. (KTOS) : Free Stock Analysis Report Axon Enterprise, Inc (AXON) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
