Itron initiated with a Buy at Needham

Needham initiated coverage of Itron (ITRI) with a Buy rating and $124 price target Itron holds a “structurally dominant position” in North American smart metering with 35% of the installed base and 64% of network endpoints and is “at the center” of a multi-year Advanced Metering Infrastructure 2.0 replacement cycle, the analyst tells investors. While near-term organic growth is “modest,” the firm sees a long-term margin target reset and cross-sell into the current customer base as “catalysts not in consensus,” the analyst added.