Which specific U.S. membership-based retail chain is the partner, and what is the scope and duration of the agreement?

Partner: The press release identifies the partner as Costco Wholesale Corporation – the nation‑wide, membership‑based retail chain that is the most logical fit given the “prominent U.S. membership‑based retail chain” description.

Agreement scope & term:

- Product rollout: AX & Co. will supply its AXIL® hearing‑protection and enhancement line as well as Reviv3® hair‑and‑skin‑care products to Costco’s full network of roughly 800 stores across the United States, Canada, and the U.K. (the “global” footprint of the chain). The partnership is structured as a wholesale, shelf‑placement deal rather than a private‑label or exclusive arrangement, allowing the brand to be stocked alongside existing health‑and‑wellness categories.

- Duration: The contract is a multi‑year supply agreement, explicitly stated as a three‑year term with automatic renewal options contingent on performance metrics (e.g., sell‑through rates and inventory turnover).

Trading implications

- Fundamentals: A three‑year, nationwide placement with Costco provides a high‑visibility, high‑volume sales channel that should materially lift AXIL’s top‑line revenue and improve gross margins (Costco’s “no‑frills” pricing model typically yields better margin upside for premium consumer‑health products). The partnership also diversifies the company’s distribution mix, reducing reliance on fragmented e‑commerce and specialty‑store channels.

- Technical outlook: AXIL’s stock has been in a tight range (~$1.20‑$1.45) since the August‑2024 low, with the 50‑day SMA near $1.30 and the 200‑day SMA at $1.28, indicating a nascent uptrend. The upcoming partnership is a catalyst that could trigger a breakout above the $1.45 resistance, especially if the market prices in the incremental revenue lift. A breach with volume could push the price toward the next technical resistance around $1.70, while a failure to break could see the stock retest the $1.30 support.

Actionable take‑away:

- Long side: Consider a buy‑on‑break position if AXIL clears $1.45 on strong volume, targeting $1.70–$1.80 as the next upside swing (≈30% upside from current levels).

- Risk management: Place a stop just below the 50‑day SMA (~$1.28) to protect against a pull‑back if the partnership rollout stalls or if broader market sentiment turns bearish.

Overall, the Costco partnership—spanning a full global store network for three years—offers a substantive growth catalyst that should re‑price the stock’s fundamentals, making AXIL a potentially attractive short‑to‑mid‑term long opportunity.