Image source: TASER International.

What: Shares of TASER International (NASDAQ:AXON) jumped 16.4% in July as investors bought into the momentum taking place in the less lethal weapons and body camera markets.

So what: Recently released earnings have given investors a lot of confidence in TASER International's business, something I covered here, but in the month of July the momentum was all about bookings. Here are the most notable domestic bookings of the month:  

  • San Jose Police Department ordered 963 Axon Body 2 cameras and a five-year subscription to  
  • Minneapolis Police Department deployed 628 Axon Body 2 cameras, backed by a five-year subscription to, and added 300 X2 Tasers as well.  
  • Ventura County Sheriff's Office deployed 325 X2 tasers and Axon Body 2 cameras with five-year subscriptions to  
  • Queensland Police Service in Australia purchased 2,200 Axon Flex cameras and a three-year subscription to  
  • Georgia Department of Community Supervision ordered 1,210 X26P Tasers that will be delivered in the third quarter.  

These are just five of the orders TASER International received in the quarter and show that law enforcement agencies around the world are looking to the company for less lethal weapons and video services.

Now what: The momentum in body camera, especially with the high-margin subscription attached, has given investors confidence that revenue and earnings are on the upswing for TASER International. Recently released second-quarter results, which showed a 26% increase in sales, have some of that momentum baked in but these five-year contracts for will drive the business long term.

Profitability hasn't turned higher as management invests in research and development and sales, but this is a well-positioned business in a growing market, something investors were buying into big-time in July.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.