Axon Enterprise Inc. (AXON)

Return on equity (ROE)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	174,227	147,139	-60,018	-1,724	882
Total stockholders’ equity	US$ in thousands	1,612,030	1,268,490	1,047,850	976,255	543,495
ROE		10.81%	11.60%	-5.73%	-0.18%	0.16%

December 31, 2023 calculation

ROE = Net income ÷ Total stockholders’ equity
= $174,227K ÷ $1,612,030K
= 10.81%

Axon Enterprise Inc's return on equity (ROE) has shown some fluctuations over the past five years. In 2023, the ROE was 10.81%, which decreased from 11.60% in 2022 but remained at a relatively stable level. However, compared to 2021 where the ROE was negative at -5.73%, there has been an improvement in profitability. The negative ROE in 2021 indicates that the company's net income was not sufficient to cover its shareholders' equity. The positive ROE in 2022 and 2023 suggests that the company's profitability has improved over these years. The significant improvement from negative to positive ROE indicates a better utilization of the shareholders' equity to generate profits and create value for the shareholders. Overall, the trend in ROE for Axon Enterprise Inc shows improvement over the past few years, indicating a positive trajectory in terms of profitability and shareholder value.