Travis Hoium

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Rachel, I got to be honest, Axon's a stock that I've held since sometime late in 2014 or early 2015.

My biggest holding for a very long time.

I've trimmed, and yet they continue performing so well that it continues to kind of be in that top spot.

That happened again last night.

Shares are up 20% in early trading on Wednesday after another just crazy good quarter.

What did you see from the quarter from Axon?

Lou, one of the things that I remember writing a lot about years ago was you don't want to worry too much about that bottom line because they're in growth mode.

But now they're a pretty mature business, almost $800 million in revenue for the quarter.

That story was starting to change.

And if you look back at the chart, I mean, $135 million in net income a year ago.

So we were starting to push on that operating leverage.

But now that's gone backwards.

Is that okay if you have...

you know, 38% growth in the quarter, or is that still something to worry about long-term is that they're not actually going to translate this revenue growth to bottom line success?

This is another interesting story of how businesses can just change over time.

Rick Smith sold a vast majority of his shares when the company was still Taser International.

And then he got, after Elon Musk did that huge stock compensation package, they basically copied the exact same package for Axon.

And he has done very well.