Itron (ITRI) AI Stock Analysis

• Market Cap: $5.51B
• Dividend Yield: N/A
• Average Volume (3M): 673.93K
• Price to Earnings (P/E): 20.6
• Beta (1Y): 1.15
• Revenue Growth: 3.90%
• EPS Growth: 44.95%
• Country: US
• Employees: 5,040
• Sector: Technology
• Sector Strength: 81
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 1.62
• Shares Outstanding: 45,717,934
• 10 Day Avg. Volume: 610,281
• 30 Day Avg. Volume: 673,926
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.12
• Enterprise Value/Revenue: 2.53
• Enterprise Value/Gross Profit: 7.14
• Enterprise Value/Ebitda: 16.64
• 1Y Price Target: $142.38
• Price Target Upside: 18.53% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 9

• Rating: 74 Outperform
• Price Target: $142.00 ▲(18.22% Upside)

Itron's overall stock score reflects strong financial performance and positive earnings call insights, tempered by mixed technical indicators and valuation concerns. The company's strategic board appointments are a positive development, but maintaining reduced debt levels and addressing revenue challenges are crucial for future stability.

Positive Factors

Analyst Confidence

Analysts have upgraded Itron Inc to Overweight from Neutral, indicating confidence in the company's future performance.

Earnings

The company reported strong Q2 earnings per share on in-line revenue, with product mix favorable and gross margin reaching a new quarterly record.

Market Position

Itron has a 2+ year lead in the market, and the 5 player market has consolidated to 2, with Itron having a significant advantage.

Negative Factors

Backlog and Guidance

2Q25 backlog declined quarter-over-quarter on 0.75x book-to-bill in 2Q25, leading to lowered 2025 revenue guidance.

Regulatory and Demand Challenges

Customers and regulators have recently slowed activity due to policy uncertainty and increased decision complexity.

Revenue Outlook

Revenue outlook was lowered due to timing delays in backlog deliveries caused by trade/tariff uncertainty, inflation, and labor constraints.

Itron Business Overview & Revenue Model

Company Description

Itron, Inc., a technology and service company, provides end-to-end solutions that help manage operations in the energy, water, and smart city space worldwide. The company operates through three segments: Device Solutions, Networked Solutions, and Outcomes. The Device Solutions segment offers hardware products that are used for measurement, control, or sensing. The Networked Solutions segment provides a combination of communicating devices, such as smart meters, modules, endpoints, and sensors; network infrastructure; and associated application software for acquiring and transporting application-specific data. The Outcomes segment offers value-added, enhanced software and services for managing, organizing, analyzing, and interpreting data to enhance decision making, maximize operational profitability, drive resource efficiency, and deliver results for consumers, utilities, and smart cities. In addition, it offers implementation, project management, installation, consulting, and post-sale maintenance support services, as well as cloud and software-as-a-service; and extended or customer-specific warranties. It offers its products and services under the Itron brand. The company markets its products directly through its sales force, as well as through indirect sales force consisting of distributors, sales representatives, partners, and meter manufacturer representatives to utilities and municipalities. Itron, Inc. was incorporated in 1977 and is headquartered in Liberty Lake, Washington.

How the Company Makes Money

Itron generates revenue through multiple key streams, primarily from the sale of hardware, software, and services related to energy and water management. Their revenue model includes the sale of smart meters, communication modules, and software platforms that aid in data collection and analysis. Additionally, Itron earns recurring revenue through maintenance and support services, as well as through long-term contracts with utility companies for the provision of data management services. Strategic partnerships with various utility providers and technology firms enhance Itron's market reach and contribute to its earnings by expanding the deployment of its solutions across different regions and sectors.

Itron Financial Statement Overview

Summary

Itron demonstrates strong financial performance with consistent revenue growth, improved profitability, and effective cash management. The company shows a solid balance sheet with reduced leverage and strong cash flow, although maintaining reduced debt levels is crucial for future stability.

Income Statement

Itron shows a solid financial performance with consistent revenue growth and improving profitability. The TTM Gross Profit Margin is approximately 35.4%, indicating strong cost management. The Net Profit Margin is about 11.1%, showing significant improvement from previous years. EBIT and EBITDA margins also reflect favorable operational efficiency. The revenue growth rate from 2022 to 2023 was strong, at 21.0%, indicating a positive growth trajectory.

Balance Sheet

The debt-to-equity ratio has improved, reflecting reduced leverage from 0.91 in 2023 to 0.38 in TTM, showcasing stronger financial health. Return on Equity (ROE) is robust at 16.7%, highlighting efficient equity utilization. The equity ratio stands at 44.5%, indicating a stable capital structure. While the company's debt levels have decreased, maintaining this trajectory will be crucial for future stability.

Cash Flow

Operating cash flow is strong and shows consistent growth. The Free Cash Flow growth rate is impressive, demonstrating effective cash management. The operating cash flow to net income ratio of 1.16 suggests high-quality earnings. Moreover, the free cash flow to net income ratio is robust at 1.16, indicating excellent cash conversion. Continued focus on cash flow management will be important for sustained growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.44B	2.44B	2.17B	1.80B	1.98B	2.17B
Gross Profit	864.32M	839.32M	713.91M	522.19M	573.17M	602.17M
EBITDA	370.94M	356.19M	191.50M	57.74M	7.07M	96.09M
Net Income	269.88M	239.10M	96.92M	-9.55M	-78.30M	-56.88M
Balance Sheet
Total Assets	3.62B	3.41B	2.60B	2.38B	2.39B	2.61B
Cash, Cash Equivalents and Short-Term Investments	1.22B	1.05B	302.05M	202.01M	162.58M	206.93M
Total Debt	1.27B	1.27B	502.46M	515.10M	507.54M	987.76M
Total Liabilities	1.99B	2.00B	1.27B	1.19B	1.25B	1.77B
Stockholders Equity	1.61B	1.39B	1.31B	1.17B	1.12B	816.55M
Cash Flow
Free Cash Flow	313.88M	207.61M	98.09M	4.75M	120.11M	63.31M
Operating Cash Flow	313.95M	238.18M	124.97M	24.50M	154.79M	109.51M
Investing Cash Flow	-26.24M	-63.41M	-23.31M	40.52M	-34.88M	-41.04M
Financing Cash Flow	7.49M	579.57M	-3.51M	-18.74M	-152.89M	-11.58M

Itron Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 120.12
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ITRI, the sentiment is Negative. The current price of 120.12 is below the 20-day moving average (MA) of 124.02, below the 50-day MA of 129.21, and above the 200-day MA of 114.53, indicating a neutral trend. The MACD of -2.14 indicates Positive momentum. The RSI at 35.59 is Neutral, neither overbought nor oversold. The STOCH value of 21.42 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for ITRI.

Itron Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SANM	80 Outperform	$6.44B	25.89	11.58%	―	5.87%	20.66%
BMI	79 Outperform	$5.39B	39.81	21.88%	0.78%	11.82%	20.01%
VNT	76 Outperform	$6.37B	16.55	35.63%	0.23%	1.16%	0.98%
ITRI	74 Outperform	$5.51B	20.57	18.92%	―	3.90%	44.95%
ST	73 Outperform	$4.66B	42.23	3.78%	1.50%	-7.23%	1278.91%
ESE	69 Neutral	$5.23B	45.66	9.01%	0.16%	10.65%	15.22%
Sector *	61 Neutral	$35.56B	9.00	-10.49%	1.86%	8.45%	-8.32%

Itron Corporate Events

Itron Appoints Scott Drury to Board of Directors

On August 21, 2025, Itron, Inc. announced the appointment of Scott Drury, former CEO of Southern California Gas Company, to its board of directors. Drury brings over 35 years of experience in the electric and natural gas industry, having led large-scale transformations and enhanced shareholder value. His appointment is expected to provide valuable insights into customer challenges and opportunities, aligning with Itron’s strategic priorities to drive business forward.

Itron Appoints Sheri Savage to Board of Directors

On August 11, 2025, Itron, Inc. appointed Sheri Savage, a seasoned finance executive with over 30 years of experience, to its Board of Directors. Savage, who has held significant roles at Ultra Clean Holdings, including CFO, is expected to bring strategic financial leadership to Itron, enhancing its business strategy and optimizing shareholder value.