By Nate Wolf

Shares of Axon Enterprise rose sharply Thursday after the maker of law-enforcement technology like Tasers and body cameras reported a spike in international sales.

The company posted adjusted earnings of $1.61 a share for the first quarter, up from $1.41 last year. Analysts had anticipated $1.60, according to FactSet. Operating income came in at $29 million after five consecutive quarters of losses.

Revenue grew 34% from last year to $807.3 million, above Wall Street's call for $778.9 million. Non-U.S. revenue spiked to $160.8 million from $74.3 million a year ago. Management now expects full-year revenue growth of 31% at the midpoint, up from a prior forecast of 28.5%

Axon stock jumped 7.6% to $415.14 on Thursday. Shares remain down 27% this year and 40% over the last 12 months. Fears about disruption by artificial intelligence and the company's consistent operating losses have driven the decline.

The company has tried to assuage those concerns, using computer vision models in cameras and integrating AI into its communications and camera software. Revenue from AI products grew more than 700% year over year in the first quarter, though the company was starting from a low base.

International growth was another bright spot. Non-U.S. business now accounts for around one-fifth of the company's total revenue, up from 12% a year ago.

"I just think we're showing up as more of a global company at this point, " President Josh Isner said on a conference call. "It's not, you know, one person in a very large country showing up trying to sell Tasers for the first time. We're showing up like a technology vendor that can help across a number of different product lines."

While the results and guidance were positive, UBS analyst Andrew Spinola was skeptical that a single earnings report could overcome the broader concerns around the stock. The firm maintained a Neutral rating on Axon shares and slashed its price target to $440 from $570, reflecting its falling valuation.

"We don't think this will be enough to offset concerns about the company's FCF generation and general concerns about AI disruption," Spinola wrote in a research note.

Write to Nate Wolf at nate.wolf@barrons.com

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May 07, 2026 12:02 ET (16:02 GMT)

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