Seek Returns logo

AXON vs. RBA: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at AXON and RBA, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

AXON’s market capitalization of 61.93 billion USD is substantially larger than RBA’s 19.56 billion USD, indicating a significant difference in their market valuations.

AXON’s beta of 1.28 points to significantly higher volatility compared to RBA (beta: 0.78), suggesting AXON has greater potential for both gains and losses relative to market movements.

SymbolAXONRBA
Company NameAxon Enterprise, Inc.RB Global, Inc.
CountryUSUS
SectorIndustrialsIndustrials
IndustryAerospace & DefenseSpecialty Business Services
CEOPatrick W. SmithJames F. Kessler
Price795.48 USD105.61 USD
Market Cap61.93 billion USD19.56 billion USD
Beta1.280.78
ExchangeNASDAQNYSE
IPO DateJune 19, 2001March 10, 1998
ADRNoNo

Historical Performance

This chart compares the performance of AXON and RBA by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

AXON vs. RBA: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

AXON

14.86%

Aerospace & Defense Industry

Max
42.57%
Q3
16.67%
Median
8.39%
Q1
-0.77%
Min
-23.36%

AXON’s Return on Equity of 14.86% is on par with the norm for the Aerospace & Defense industry, indicating its profitability relative to shareholder equity is typical for the sector.

RBA

7.51%

Specialty Business Services Industry

Max
30.24%
Q3
17.20%
Median
7.32%
Q1
4.37%
Min
-13.44%

RBA’s Return on Equity of 7.51% is on par with the norm for the Specialty Business Services industry, indicating its profitability relative to shareholder equity is typical for the sector.

AXON vs. RBA: A comparison of their ROE against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Return on Invested Capital

AXON

0.68%

Aerospace & Defense Industry

Max
23.42%
Q3
8.86%
Median
5.47%
Q1
-5.60%
Min
-22.46%

AXON’s Return on Invested Capital of 0.68% is in line with the norm for the Aerospace & Defense industry, reflecting a standard level of efficiency in generating profits from its capital base.

RBA

5.30%

Specialty Business Services Industry

Max
22.69%
Q3
10.02%
Median
5.30%
Q1
1.55%
Min
-1.58%

RBA’s Return on Invested Capital of 5.30% is in line with the norm for the Specialty Business Services industry, reflecting a standard level of efficiency in generating profits from its capital base.

AXON vs. RBA: A comparison of their ROIC against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Net Profit Margin

AXON

14.86%

Aerospace & Defense Industry

Max
22.67%
Q3
8.04%
Median
4.95%
Q1
-5.07%
Min
-16.58%

A Net Profit Margin of 14.86% places AXON in the upper quartile for the Aerospace & Defense industry, signifying strong profitability and more effective cost management than most of its peers.

RBA

9.68%

Specialty Business Services Industry

Max
17.53%
Q3
11.60%
Median
5.65%
Q1
1.65%
Min
-5.21%

RBA’s Net Profit Margin of 9.68% is aligned with the median group of its peers in the Specialty Business Services industry. This indicates its ability to convert revenue into profit is typical for the sector.

AXON vs. RBA: A comparison of their Net Profit Margin against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Operating Profit Margin

AXON

1.50%

Aerospace & Defense Industry

Max
22.01%
Q3
11.49%
Median
8.96%
Q1
3.77%
Min
-4.96%

AXON’s Operating Profit Margin of 1.50% is in the lower quartile for the Aerospace & Defense industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

RBA

17.37%

Specialty Business Services Industry

Max
29.40%
Q3
16.52%
Median
5.78%
Q1
1.54%
Min
-5.17%

An Operating Profit Margin of 17.37% places RBA in the upper quartile for the Specialty Business Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

AXON vs. RBA: A comparison of their Operating Margin against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Profitability at a Glance

SymbolAXONRBA
Return on Equity (TTM)14.86%7.51%
Return on Assets (TTM)5.44%3.53%
Return on Invested Capital (TTM)0.68%5.30%
Net Profit Margin (TTM)14.86%9.68%
Operating Profit Margin (TTM)1.50%17.37%
Gross Profit Margin (TTM)60.44%46.24%

Financial Strength

Current Ratio

AXON

2.83

Aerospace & Defense Industry

Max
5.13
Q3
3.36
Median
2.16
Q1
1.20
Min
0.41

AXON’s Current Ratio of 2.83 aligns with the median group of the Aerospace & Defense industry, indicating that its short-term liquidity is in line with its sector peers.

RBA

1.31

Specialty Business Services Industry

Max
2.21
Q3
1.84
Median
1.52
Q1
0.94
Min
0.26

RBA’s Current Ratio of 1.31 aligns with the median group of the Specialty Business Services industry, indicating that its short-term liquidity is in line with its sector peers.

AXON vs. RBA: A comparison of their Current Ratio against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Debt-to-Equity Ratio

AXON

0.80

Aerospace & Defense Industry

Max
1.20
Q3
0.73
Median
0.51
Q1
0.09
Min
0.00

AXON’s leverage is in the upper quartile of the Aerospace & Defense industry, with a Debt-to-Equity Ratio of 0.80. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

RBA

0.74

Specialty Business Services Industry

Max
1.02
Q3
0.93
Median
0.62
Q1
0.22
Min
0.03

RBA’s Debt-to-Equity Ratio of 0.74 is typical for the Specialty Business Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

AXON vs. RBA: A comparison of their D/E Ratio against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Interest Coverage Ratio

AXON

2.53

Aerospace & Defense Industry

Max
12.62
Q3
7.38
Median
2.95
Q1
1.68
Min
-6.68

AXON’s Interest Coverage Ratio of 2.53 is positioned comfortably within the norm for the Aerospace & Defense industry, indicating a standard and healthy capacity to cover its interest payments.

RBA

3.42

Specialty Business Services Industry

Max
15.61
Q3
6.91
Median
3.29
Q1
0.04
Min
-8.58

RBA’s Interest Coverage Ratio of 3.42 is positioned comfortably within the norm for the Specialty Business Services industry, indicating a standard and healthy capacity to cover its interest payments.

AXON vs. RBA: A comparison of their Interest Coverage against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Financial Strength at a Glance

SymbolAXONRBA
Current Ratio (TTM)2.831.31
Quick Ratio (TTM)2.621.21
Debt-to-Equity Ratio (TTM)0.800.74
Debt-to-Asset Ratio (TTM)0.340.36
Net Debt-to-EBITDA Ratio (TTM)4.162.68
Interest Coverage Ratio (TTM)2.533.42

Growth

The following charts compare key year-over-year (YoY) growth metrics for AXON and RBA. These metrics are based on the companies’ annual financial reports.

Revenue Growth

AXON vs. RBA: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

AXON vs. RBA: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

AXON vs. RBA: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

AXON

0.00%

Aerospace & Defense Industry

Max
6.00%
Q3
0.66%
Median
0.00%
Q1
0.00%
Min
0.00%

AXON currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

RBA

1.37%

Specialty Business Services Industry

Max
4.40%
Q3
1.37%
Median
0.74%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 1.37%, RBA offers a more attractive income stream than most of its peers in the Specialty Business Services industry, signaling a strong commitment to shareholder returns.

AXON vs. RBA: A comparison of their Dividend Yield against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Dividend Payout Ratio

AXON

0.00%

Aerospace & Defense Industry

Max
172.02%
Q3
32.47%
Median
0.00%
Q1
0.00%
Min
0.00%

AXON has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

RBA

58.34%

Specialty Business Services Industry

Max
79.38%
Q3
51.62%
Median
23.75%
Q1
1.08%
Min
0.00%

RBA’s Dividend Payout Ratio of 58.34% is in the upper quartile for the Specialty Business Services industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

AXON vs. RBA: A comparison of their Payout Ratio against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Dividend at a Glance

SymbolAXONRBA
Dividend Yield (TTM)0.00%1.37%
Dividend Payout Ratio (TTM)0.00%58.34%

Valuation

Price-to-Earnings Ratio

AXON

184.79

Aerospace & Defense Industry

Max
75.34
Q3
54.40
Median
38.63
Q1
26.10
Min
16.44

At 184.79, AXON’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Aerospace & Defense industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

RBA

46.57

Specialty Business Services Industry

Max
52.23
Q3
42.83
Median
32.04
Q1
16.00
Min
2.24

A P/E Ratio of 46.57 places RBA in the upper quartile for the Specialty Business Services industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

AXON vs. RBA: A comparison of their P/E Ratio against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Forward P/E to Growth Ratio

AXON

8.54

Aerospace & Defense Industry

Max
10.68
Q3
5.36
Median
2.31
Q1
1.47
Min
0.01

A Forward PEG Ratio of 8.54 places AXON in the upper quartile for the Aerospace & Defense industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.

RBA

-9.21

Specialty Business Services Industry

Max
4.93
Q3
3.34
Median
2.19
Q1
0.14
Min
0.06

RBA has a negative Forward PEG Ratio of -9.21. This typically results from negative earnings or forecasts of declining future earnings, making the ratio not meaningful for valuation.

AXON vs. RBA: A comparison of their Forward PEG Ratio against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Price-to-Sales Ratio

AXON

27.81

Aerospace & Defense Industry

Max
19.34
Q3
9.54
Median
2.71
Q1
1.59
Min
0.35

With a P/S Ratio of 27.81, AXON trades at a valuation that eclipses even the highest in the Aerospace & Defense industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

RBA

4.52

Specialty Business Services Industry

Max
6.26
Q3
3.60
Median
1.90
Q1
0.73
Min
0.34

RBA’s P/S Ratio of 4.52 is in the upper echelon for the Specialty Business Services industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

AXON vs. RBA: A comparison of their P/S Ratio against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Price-to-Book Ratio

AXON

23.93

Aerospace & Defense Industry

Max
16.08
Q3
8.12
Median
4.12
Q1
2.69
Min
0.69

At 23.93, AXON’s P/B Ratio is at an extreme premium to the Aerospace & Defense industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

RBA

3.39

Specialty Business Services Industry

Max
3.69
Q3
3.69
Median
2.13
Q1
1.55
Min
0.59

The P/B Ratio is often not a primary valuation metric for the Specialty Business Services industry.

AXON vs. RBA: A comparison of their P/B Ratio against their respective Aerospace & Defense and Specialty Business Services industry benchmarks.

Valuation at a Glance

SymbolAXONRBA
Price-to-Earnings Ratio (P/E, TTM)184.7946.57
Forward PEG Ratio (TTM)8.54-9.21
Price-to-Sales Ratio (P/S, TTM)27.814.52
Price-to-Book Ratio (P/B, TTM)23.933.39
Price-to-Free Cash Flow Ratio (P/FCF, TTM)170.8019.08
EV-to-EBITDA (TTM)274.0616.97
EV-to-Sales (TTM)28.235.37