Comparing Axon Enterprise (NASDAQ:AXON) & Revelyst (NYSE:GEAR)

Revelyst (NYSE:GEAR) and Axon Enterprise (NASDAQ:AXON) are both consumer discretionary companies, but which is the superior stock? We will compare the two companies based on the strength of their valuation, earnings, risk, dividends, institutional ownership, analyst recommendations and profitability.

Volatility & Risk

Revelyst has a beta of 0.75, suggesting that its share price is 25% less volatile than the S&P 500. Comparatively, Axon Enterprise has a beta of 1.05, suggesting that its share price is 5% more volatile than the S&P 500.

Profitability

This table compares Revelyst and Axon Enterprise’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Revelyst	-0.34%	19.53%	9.44%
Axon Enterprise	15.37%	7.50%	3.78%

Insider & Institutional Ownership

90.5% of Revelyst shares are owned by institutional investors. Comparatively, 79.1% of Axon Enterprise shares are owned by institutional investors. 0.9% of Revelyst shares are owned by insiders. Comparatively, 6.1% of Axon Enterprise shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Valuation and Earnings

This table compares Revelyst and Axon Enterprise”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Revelyst	$1.23 billion	0.96	-$5.51 million	($0.18)	-111.56
Axon Enterprise	$1.94 billion	26.86	$174.23 million	$3.87	176.59

Axon Enterprise has higher revenue and earnings than Revelyst. Revelyst is trading at a lower price-to-earnings ratio than Axon Enterprise, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Revelyst and Axon Enterprise, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Revelyst	0	0	0	0	0.00
Axon Enterprise	0	0	14	0	3.00

Axon Enterprise has a consensus target price of $542.15, indicating a potential downside of 20.67%. Given Axon Enterprise’s stronger consensus rating and higher probable upside, analysts clearly believe Axon Enterprise is more favorable than Revelyst.

Summary

Axon Enterprise beats Revelyst on 11 of the 14 factors compared between the two stocks.

About Revelyst

Vista Outdoor Inc. is the parent company of renowned brands which design, manufacture and market sporting and outdoor products. The company’s operating segment includes Outdoor Products and Sporting Products. Its brand portfolio includes Remington Ammunition, Bushnell, CamelBak, Bushnell Golf, Foresight Sports, Fiber Energy Products, Bell Helmets, Camp Chef, Giro, QuietKat, Stone Glacier, Federal Ammunition and more. The company principally serves outdoor enthusiasts, golfers, cyclists, backyard grillers, campers, hunters, recreational shooters, athletes, as well as law enforcement and military professionals. Vista Outdoor Inc. is based in ANOKA, Minn.

About Axon Enterprise

Axon Enterprise, Inc. develops, manufactures, and sells conducted energy devices (CEDs) under the TASER brand in the United States and internationally. It operates through two segments, Software and Sensors, and TASER. The company also offers hardware and cloud-based software solutions that enable law enforcement to capture, securely store, manage, share, and analyze video and other digital evidence. Its products include axon officer safety plan; taser 10, taser7, taser X26P, taser X2, taser 7 CQ, and civilian series; cameras, such as axon body, axon flex, axon fleet, axon air, axon signal sidearm, axon signal vehicle, axon interview, and axon interview portable kit; software, including axon records, evidence, standards, commander, performance, auto-transcribe, justice, investigate, respond, and justice, my90, and redaction assistant; mobile applications, and training services, as well as hardware extended warranties; and Axon docks, cartridges, and batteries. The company sells its products through its direct sales, distribution partners, online store, and third-party resellers. Axon Enterprise, Inc. has a strategic partnership with Fusus, Inc. to expand bility to aggregate live video, data, and sensor feeds. It serves law enforcement, federal, correction, fire, EMS, campus, justice healthcare, retail, private security, and personal safety industries. The company was formerly known as TASER International, Inc. and changed its name to Axon Enterprise, Inc. in April 2017. Axon Enterprise, Inc. was incorporated in 1993 and is headquartered in Scottsdale, Arizona.