Why Axon Enterprise Stock Jumped 15% in August
Nasdaq What happened
Shares of Axon Enterprise (NASDAQ: AXON), the maker of Taser stun guns and body cameras, were climbing last month as the tech company posted strong results in its second-quarter earnings report.
According to data from S&P Global Market Intelligence, the stock finished August up 15%.
As you can see from the chart below, nearly all of the stock's gains came when the earnings report came out on Aug. 8.
AXON data by YCharts
So what
Axon delivered another round of strong results as its software business continues to pick up steam.
Revenue in the quarter rose 31% to $374.6 million, well ahead of estimates of $350.5 million.
Axon Cloud & Services is now nearly the company's biggest segment as its revenue grew 62.4% to $132.6 million due to demand for its premium Officer Safety Plan-integrated bundles. Digital evidence, meanwhile, continues to be the primary driver for growth in the high-margin software business. Net revenue retention increased 122% in the quarter, meaning existing customers increased their spending on Axon Cloud by 22% over the last four quarters.