Axon Enterprise Inc. (AXON)
Solvency ratios
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt-to-assets ratio | 0.20 | 0.21 | 0.22 | 0.22 | 0.24 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-capital ratio | 0.30 | 0.31 | 0.32 | 0.32 | 0.35 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Debt-to-equity ratio | 0.42 | 0.44 | 0.47 | 0.48 | 0.53 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Financial leverage ratio | 2.13 | 2.14 | 2.13 | 2.14 | 2.25 | 1.63 | 1.62 | 1.58 | 1.61 | 1.48 | 1.39 | 1.39 | 1.41 | 1.43 | 1.42 | 1.57 | 1.56 | 1.56 | 1.53 | 1.54 |
Looking at the solvency ratios of Axon Enterprise Inc over the past few quarters, we can observe the following trends:
1. Debt-to-assets ratio: This ratio indicates the proportion of a company's assets financed by debt. Axon's debt-to-assets ratio has been relatively stable around 0.20 to 0.24, suggesting that the company is using debt conservatively to fund its assets.
2. Debt-to-capital ratio: The debt-to-capital ratio tells us the proportion of a company's capital that is financed by debt. Similarly to the debt-to-assets ratio, Axon has maintained a consistent ratio between 0.30 and 0.35, indicating a moderate level of leverage in its capital structure.
3. Debt-to-equity ratio: This ratio shows the extent to which a company is funded by debt relative to equity. Axon's debt-to-equity ratio has been gradually increasing from 0.42 to 0.53, implying that the company has been relying more on debt financing compared to equity.
4. Financial leverage ratio: The financial leverage ratio measures the proportion of a company's assets that are financed by debt versus equity. Axon's financial leverage ratio has also been steady, ranging from 1.58 to 2.25. A higher ratio suggests a higher level of financial risk due to increased debt usage.
Overall, Axon Enterprise Inc has maintained a relatively stable solvency position over the past quarters, with a conservative use of debt in its capital structure. However, the gradual increase in the debt-to-equity ratio indicates a shift towards more debt financing, which may warrant closer monitoring of the company's solvency and financial risk management strategies.
Coverage ratios
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Interest coverage | — | — | — | — | — | 79.36 | 5.99 | -26.00 | -32.23 | -22.10 | -21.55 | -9.53 | -2.32 | -4.85 | -3.24 | -1.39 | -0.76 | 1.67 | 1.76 | 5.99 |
I am unable to provide a detailed and comprehensive analysis of Axon Enterprise Inc's interest coverage using the data provided as there are no specific figures available for the interest coverage ratio across the mentioned quarters. To perform a thorough analysis, we would need the values for earnings before interest and taxes (EBIT) and interest expenses to calculate the interest coverage ratio. This ratio indicates a company's ability to meet its interest obligations with its earnings. Without this specific data, a detailed interpretation of Axon Enterprise Inc's interest coverage is not feasible.