NEW YORK (TheStreet) -- Shares of TASER International (TASR) were gaining 5.1% to $23.49 on Monday after the electrical weapons and body camera maker announced a new partnership with Microsoft (MSFT) to bring its Azure cloud platform to the Axon Platform and Evidence.com.
Under the new partnership TASER and Microsoft will create "an integrated approach to capturing and managing evidence including ingesting, retrieving, sharing, analyzing and archiving video, sensor and other data to support law enforcement and criminal justice officials as they work toward creating safer communities."
The two companies will also collaborate on market development and new solutions in the U.S. and around the world, the companies said.
TASER expects Axon's Azure integration to be available for preview in the fourth quarter and publicly available to all agencies in the first quarter of 2016.
"Microsoft Azure is well known for its industry-leading security and reliability and, with it, we can provide the most secure and compliant cloud capability to our customers," TASER Founder and CEO Rick Smith said in a statement. "I'm also excited to announce that the new partnership offers future opportunities for Axon customers to leverage even more cutting-edge technologies with Microsoft's expertise in data analytics, machine learning and computer vision."
TheStreet Ratings team rates TASER INTERNATIONAL INC as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
We rate TASER INTERNATIONAL INC (TASR) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, impressive record of earnings per share growth, compelling growth in net income and expanding profit margins. We feel its strengths outweigh the fact that the company shows weak operating cash flow.
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- The revenue growth came in higher than the industry average of 1.5%. Since the same quarter one year prior, revenues rose by 25.6%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
- TASR's debt-to-equity ratio is very low at 0.00 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Along with this, the company maintains a quick ratio of 3.55, which clearly demonstrates the ability to cover short-term cash needs.
- TASER INTERNATIONAL INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. We feel that this trend should continue. During the past fiscal year, TASER INTERNATIONAL INC increased its bottom line by earning $0.36 versus $0.34 in the prior year. This year, the market expects an improvement in earnings ($0.44 versus $0.36).
- The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Aerospace & Defense industry. The net income increased by 57.1% when compared to the same quarter one year prior, rising from $3.88 million to $6.10 million.
- The gross profit margin for TASER INTERNATIONAL INC is rather high; currently it is at 66.57%. It has increased from the same quarter the previous year. Along with this, the net profit margin of 13.06% is above that of the industry average.
- You can view the full analysis from the report here: TASR