Strategic Positioning and Growth Opportunities for Axon Enterprise in the Expanding Drone Market

Analyst William Power of Robert W. Baird maintained a Buy rating on Axon Enterprise (AXON – Research Report), with a price target of $800.00.

William Power’s rating is based on Axon Enterprise’s strategic positioning in the emerging drone market, bolstered by recent executive orders that enhance commercial drone use. The company’s partnership with Skydio positions it well to capitalize on the ‘drone as a first responder’ (DFR) market, which is expected to grow significantly as FAA regulations evolve to allow more expansive drone operations.
Additionally, Axon’s acquisition of Dedrone strengthens its capabilities in drone detection and mitigation, a field gaining importance for securing critical infrastructure and major events like the World Cup and Olympics. The potential growth in the drone and robotics market, estimated at $20 billion, presents a substantial opportunity for Axon, especially as more agencies are expected to deploy DFR programs and increase their use of drones for public safety and enterprise applications.