Why Axon Stock Bounced Back After Falling 10% Yesterday
Key Points
Axon fell 10% yesterday, though it wasn't clear why.
At least three Wall Street analysts issued bullish notes on Axon today.
The stock price looks attractive as the growth in the business remains on track.
- 10 stocks we like better than Axon Enterprise ›
Shares of Axon Enterprise (NASDAQ: AXON), the maker of TASER electrical weapons, body cameras, and related software, were moving higher today, one day after the stock plunged 10%.
There was no clear cause for yesterday's decline. It possibly stemmed from events at the company's Axon Week annual conference, being held this week, or a report about a legal dispute over its new planned headquarters, which will begin a court hearing on Friday.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
However, Axon jumped as much 10.7% today. The gains came in part in response to the ceasefire in Iran, which lifted stocks broadly, but also as several supportive analyst notes came out in response to its conference.
As of 2:04 p.m. ET, the stock was up 4.6%, giving up some of its early morning gains.
Image source: Axon.
Is the Axon sell-off overblown?
Axon stock hit an 18-month low yesterday, but today, analysts attending its conference rang in with positive notes.
TD Cowen lowered its price target from $950 to $825 in response to the stock's recent plunge, but maintained its buy rating on the stock. The analyst said the customer panel at Axon Week was "very bullish," and said yesterday's sell-off was due to "non-fundamental factors."
Morgan Stanley and Goldman Sachs gave similar assessments, urging investors to buy the stock on weakness.
What's next for Axon?
We may see more news come out of Axon Week as the conference runs until Friday, and investors should keep an eye on the court hearing starting Friday.
The company's price-to-sales ratio has fallen to close to 10, as cheap as it's been since 2023, and the business prospects continue to look bright. Given the discounted price, the stock looks like a buy.
Should you buy stock in Axon Enterprise right now?
Before you buy stock in Axon Enterprise, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Axon Enterprise wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $532,929!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,091,848!*
Now, it’s worth noting Stock Advisor’s total average return is 928% — a market-crushing outperformance compared to 186% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of April 8, 2026.
Jeremy Bowman has positions in Axon Enterprise. The Motley Fool has positions in and recommends Axon Enterprise. The Motley Fool has a disclosure policy.
Recommended Articles
