Is AXON ENTERPRISE, INC. (AXON) Halal?

NASDAQ Industrials United States $34.6B
✓ HALAL
Confidence: 95/100
AXON ENTERPRISE, INC. (AXON) is Halal under all 5 major Shariah screening standards. With a debt ratio of just 4.1% against the AAOIFI threshold of 30%, AXON ENTERPRISE, INC. comfortably passes the key financial ratio tests. The company operates in the Industrials sector (Aerospace & Defense), which is not a prohibited industry under Islamic finance principles.

Shariah Screening — 5 Standards

Based on financial data from December 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 4.1%
/ 30%
3.8%
/ 30%
2.9%
/ 30%
2.71%
/ 5%
✓ HALAL
DJIM 4.1%
/ 33%
3.8%
/ 33%
2.9%
/ 33%
2.71%
/ 5%
✓ HALAL
MSCI 27.3%
/ 33%
24.8%
/ 33%
19.4%
/ 33%
2.71%
/ 5%
✓ HALAL
S&P 4.1%
/ 33%
3.8%
/ 33%
2.9%
/ 33%
2.71%
/ 5%
✓ HALAL
FTSE 27.3%
/ 33%
24.8%
/ 33%
19.4%
/ 50%
2.71%
/ 5%
✓ HALAL

Financial Highlights

P/E Ratio
286.6
Forward: 40.7
EPS
$1.50
P/B Ratio
10.6
EV/EBITDA
647.9
EV: $34.7B
Revenue
$2.8B
Growth: 38.5%
Beta
1.5
High volatility
Current Ratio
2.5

Profitability

Gross Margin 59.8%
Operating Margin -3.1%
Net Margin 4.5%
Return on Equity (ROE) 4.5%
Return on Assets (ROA) -0.3%

Cash Flow & Balance Sheet

Operating Cash Flow$211M
Free Cash Flow$75M
Total Debt$1.9B
Debt-to-Equity59.1
Current Ratio2.5
Total Assets$7.0B

Price & Trading

Last Close$450.46
50-Day MA$506.20
200-Day MA$646.95
Avg Volume953K
Beta1.5
52-Week Range
$396.41
$885.92

About AXON ENTERPRISE, INC. (AXON)

CEO
Mr. Patrick W. Smith
Employees
5,100
Sector
Industrials
Industry
Aerospace & Defense
Country
United States
Exchange
NASDAQ
Market Cap
$34.6B
Currency
USD

Axon Enterprise, Inc. provides public safety technology solutions in the United States and internationally. The company operates in two segments, Software and Services, and Connected Devices. The Software and Services segment develops, manufactures, and sells cloud-based software-as-a-service solutions to capture, store, manage, share, and analyze video and other digital evidence. This segment also offers Axon Evidence, Draft One, Axon Records, Axon Standards, Axon Fusus, Axon Assistant, and others. The Connected Devices segment engages in the development, manufacture, and sale of integrated hardware solutions, such as conducted energy devices under the TASER brand, body cameras, fixed and in-car cameras, drone and counter-drone technologies, accessories, extended warranties, and related hardware products, as well as virtual reality training hardware. The company serves first responders across international, federal, state, and local governments, international governmental entities, commercial enterprises, and consumers through direct sales, distribution partners, and third-party resellers. 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.

Purification Calculator

As a halal stock with 2.71% impermissible income, you need to purify your dividends.

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Frequently Asked Questions

Is AXON ENTERPRISE, INC. (AXON) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), AXON ENTERPRISE, INC. is Halal. The company passes all financial ratio thresholds for debt, cash, receivables, and impermissible income. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.

What is AXON ENTERPRISE, INC.'s debt ratio?

AXON ENTERPRISE, INC.'s debt ratio is 4.1% under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%. Under MSCI and FTSE (which use total assets as the denominator), the debt ratio is 27.3%.

Does AXON ENTERPRISE, INC. require dividend purification?

Yes, AXON ENTERPRISE, INC. has an impermissible income ratio of 2.71%, which means 2.71% of any dividends received should be donated to charity as purification. This is because a small portion of the company's revenue comes from non-Shariah-compliant sources.

What are AXON ENTERPRISE, INC.'s key financial metrics?

AXON ENTERPRISE, INC. has a market capitalization of $34.6B, trailing P/E ratio of 286.6, and revenue of $2.8B. The company maintains a gross margin of 59.8% and a net margin of 4.5%. Return on equity stands at 4.5%.

How often is the screening data updated?

Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.

Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.