Stock Analysis on Net
Stock Analysis on Net

Axon Enterprise Inc. (NASDAQ:AXON)

This company has been moved to the archive! The financial data has not been updated since May 9, 2023.

Common-Size Balance Sheet: Assets 

Axon Enterprise Inc., common-size consolidated balance sheet: assets

Microsoft Excel
Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019 Dec 31, 2018
Cash and cash equivalents 12.40 21.11 11.26 20.37 48.57
Marketable securities 1.38 4.28 0.00 0.00 0.00
Short-term investments 20.40 0.86 29.44 21.11 0.00
Accounts and notes receivable, net of allowance 12.56 19.00 16.60 17.37 18.15
Contract assets, net 6.90 10.69 4.63 5.64 1.94
Inventory 7.10 6.44 6.51 4.59 4.69
Prepaid expenses and other current assets 2.56 3.35 2.67 4.12 4.22
Current assets 63.30% 65.72% 71.10% 73.21% 77.57%
Property and equipment, net 5.96 8.20 7.64 5.18 5.27
Deferred tax assets, net 5.50 7.53 3.31 3.27 2.69
Intangible assets, net 0.43 0.92 0.68 1.51 2.21
Goodwill 1.58 2.58 1.83 2.96 3.47
Long-term investments 5.48 1.85 6.57 5.38 0.00
Long-term notes receivable, net 0.18 0.67 1.63 3.74 5.59
Long-term contract assets, net 1.58 1.76 1.46 0.00 0.00
Strategic investments 10.40 4.95 0.85 0.00 0.00
Cash surrender value of corporate-owned life insurance policies 0.15 0.31 0.34 0.50 0.50
Deferred commissions 3.27 3.20 2.35 2.61 2.16
Restricted cash 0.00 0.00 0.00 0.01 0.09
Operating lease assets 1.35 1.38 1.62 1.14 0.00
Deferred implementation costs 0.11 0.23 0.00 0.00 0.00
Prepaid expenses, deposits and other 0.72 0.69 0.63 0.50 0.45
Other long-term assets 5.60% 5.82% 4.94% 4.75% 3.20%
Long-term assets 36.70% 34.28% 28.90% 26.79% 22.43%
Total assets 100.00% 100.00% 100.00% 100.00% 100.00%

Based on: 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31).

The financial data over the periods indicate notable shifts in asset composition, with both liquidity and investment-related items experiencing fluctuations.

Liquidity and Current Assets
Cash and cash equivalents as a percentage of total assets show a declining trend from 48.57% in 2018 to 12.4% in 2022, with a moderate recovery in 2021. Short-term investments fluctuate, peaking at 29.44% in 2020, dropping sharply in 2021, then rising again to 20.4% in 2022. Marketable securities appear starting 2021, increasing from 4.28% to 1.38% by 2022. Accounts and notes receivable show a slight decrease overall, with a peak in 2021 at 19%, then dropping to 12.56% in 2022. Contract assets rise significantly from 2018 through 2021 reaching 10.69%, before declining to 6.9% in 2022. Inventory steadily increases over the period from 4.69% to 7.1%. Prepaid expenses and other current assets decline from 4.22% in 2018 to 2.56% in 2022. Collectively, current assets as a percentage of total assets decrease from 77.57% in 2018 to 63.3% in 2022, indicating a gradual reduction in current asset weight relative to total assets.
Long-Term Assets
Property and equipment, net, show an increase from 5.27% in 2018 to a peak of 8.2% in 2021, then decreasing to 5.96% in 2022. Deferred tax assets rise markedly, especially in 2021 (7.53%), followed by a reduction to 5.5% in 2022. Intangible assets and goodwill gradually decline as a percentage of total assets over the period. Long-term investments reveal variability: increasing from 5.38% in 2019 to 6.57% in 2020, dipping to 1.85% in 2021, then rising again to 5.48% in 2022. Strategic investments, introduced in 2020 at 0.85%, increase sharply to 10.4% by 2022, indicating a significant strategic shift toward longer-term investment holdings. Long-term notes receivable decrease consistently from 5.59% in 2018 to 0.18% in 2022. Long-term contract assets slightly increase after their introduction in 2020, maintaining around 1.5% to 1.7%. Other long-term assets steadily rise from 3.2% to 5.6%. Overall, long-term assets as a percentage of total assets expand from 22.43% in 2018 to 36.7% in 2022, highlighting an increasing emphasis on non-current asset allocation.
Other Asset Items
Deferred commissions show a gradual increase, rising from 2.16% in 2018 to 3.27% in 2022. Restricted cash diminishes to zero from a minimal 0.09% in 2018. Operating lease assets emerge in 2019 and stabilize near 1.3%-1.6%. The cash surrender value of corporate-owned life insurance policies steadily decreases from 0.5% to 0.15%.
Summary and Insights
The data indicate a strategic rebalancing from highly liquid assets, particularly cash and equivalents, toward diversified investments and long-term assets, including a notably increased allocation to strategic investments. This shift suggests a possible focus on long-term growth and capital deployment. The relative decline in accounts receivable and contract assets in 2022, along with the drop in some liquid assets, may imply changes in working capital management or sales cycles. The steady increase in inventory percentage may reflect either growth in operational scale or inventory buildup. The decline in intangible assets and goodwill might indicate amortization or asset write-downs. Overall, the asset structure evolves toward a more balanced distribution between current and long-term assets, with increased investment in long-term strategic holdings by the latest period.