12:40 PM EDT, 08/05/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

Axon delivered strong Q2 results with adj. EPS of $2.12 vs. $1.22, beating consensus by $0.66, while revenue of $669M grew 33% Y/Y, marking the sixth consecutive quarter above 30% growth. Software & Services revenue expanded 39% to $292M and Connected Devices grew 29% to $376M, with total adj. gross margin improving 20 bps to 63.3%. The software-centric strategy continues gaining traction with ARR growth of 39% to $1.2B and net revenue retention of 124%, supporting premium pricing and market expansion. Management raised FY 25 revenue guidance to $2.65B-$2.73B from $2.60B-$2.70B, implying ~29% growth at midpoint, while increasing adj. EBITDA guidance to $665-685M. Future contracted bookings of $10.7B provide strong revenue visibility with 20%-25% expected over the next 12 months. However, free cash flow turned negative $115M vs. positive $71M in the prior year due to working capital investments supporting accelerating growth, but we believe this reflects temporary timing effects rather than structural concerns.