Shares of Axon Enterprise (NASDAQ:AAXN) took a spill last month after the maker of Taser electrical weapons posted underwhelming results in its third-quarter earnings report on Nov. 7. Though the company actually beat analyst estimates, growth slowed, which seem to weigh on the stock after shares had more than doubled year to date prior to the report.
According to data from S&P Global Market Intelligence, the stock lost 30% in November. As you can see from the chart below, shares fell sharply on the earnings report, and continued to decline as the broader market turned away from growth stocks over the course of the month:
The sell-off was puzzling given the seemingly strong round of results. Axon said overall revenue increased 16% to $104.8 million, beating estimates of $103 million. Growth in its cloud division (led by Evidence.com) was particularly strong, rising 47% to $23.9 million. more