We recently published a list of Top 10 AI News Updates You Should Not Miss. In this article, we are going to take a look at where Axon Enterprise, Inc. (NASDAQ:AXON) stands against other top AI news updates you should not miss.
Leading companies across diverse industries, including electronics, IT infrastructure, surveillance, renewable energy, robotics, and cybersecurity, are heavily investing in AI and machine learning to leverage the technology for widescale innovation. In turn, companies are able to reduce operational costs, tackle workforce challenges, and transform client experiences.
For instance, in the IT infrastructure space, AI spending is expected to jump to $509.1 billion in 2027 from $175.9 billion in 2023, according to the IDC. The spending on AI platforms is expected to rise as they become increasingly important for business’s digital operations.
“Harnessing machine learning can be transformational, but for it to be successful, enterprises need leadership from the top. This means understanding that when machine learning changes one part of the business — the product mix, for example — then other parts must also change. This can include everything from marketing and production to supply chain, and even hiring and incentive systems,” said Erik Brynjolfsson, co-founder of Workhelix.
Elsewhere, PwC global chairman, Mohamed Kande, during his speech at the World Economic Forum in Davos urged people to not be afraid of AI in the workplace but embrace it as a digital colleague.
“People fear what they don’t understand, so exposing them to the technology, putting in their hands makes a big difference,” Kande said about AI, adding that doing so allows employees to view AI as a “digital colleague…You don’t fear your colleagues, you partner with them…So we are actually asking people to partner with the technology.”
For this article, we selected AI stocks by reviewing news articles, stock analysis, and press releases. We listed the stocks in ascending order of their hedge fund sentiment taken from Insider Monkey’s database of 900 hedge funds.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).
A technician in a white coat testing an in-car system on a modern military vehicle.
Axon Enterprise, Inc. (NASDAQ:AXON)
Number of Hedge Fund Holders: 46
Axon Enterprise, Inc. (NASDAQ:AXON) is a weapons and surveillance technology firm popular for developing and supplying stun guns, bodycams, and dashcams to police departments, prison agencies, immigration authorities, and private security in the US and worldwide. The company also offers the Axon Evidence software boosted by AI to manage surveillance cam recording data to reduce report writing time, speed up evidence review and license plate scanning, and improve incident response time.
On January 7th, Raymond James hiked Axon Enterprise, Inc.’s (NASDAQ:AXON) target price to $645 from $515 and retained an “Outperform” rating. Although the stock jumped 130% in 2024, the brokerage attributed the recent price retreat to profit-taking, valuation, and concerns that Q4 results and 2025 guidance could be a difficult “encore to the chorus” of strong results in recent times. Analysts view this scenario as an entry point for a story accelerating its mix to software and AI and expect positive estimate revisions in the company’s Q4.
Overall, AXON ranks 2nd on our list of top AI news updates you should not miss. While we acknowledge the potential of AXON as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than AXON but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.