- Shares of Taser (TASR -9.8%) are in tumbling this morning after company beat earnings forecasts but investors chose to focus on rising expenses.
- Margins came in at 60.6%, as operating expenses came in at $40.3M, comments Barron's Ben Levisohn, quoting Oppenheimer's Andrew Uerkwitz and Martin Yang:
- "This quarter represents why we sit sidelined - despite the impressive top-line beat. Opex ramped higher than expected on continued strong investment on opportunities not driving revenue (dash cam, RMS, and artificial intelligence/ automation). We continue to believe that as long as two of the following happen, this technology leader's stock should continue to work: revenue beats, bookings growth, and leverage. Which leads to our last point: 2H17 comps become very difficult. We like the strategy but lament the valuation."