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Itron Inc (ITRI)
NASDAQ:ITRI
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Itron (ITRI) AI Stock Analysis

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ITRI

Itron

(NASDAQ:ITRI)

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Outperform 81 (OpenAI - 5.2)
Rating:81Outperform
Price Target:
$118.00
▲(40.11% Upside)
Action:Reiterated
Date:07/30/26
The score is driven primarily by strong financial performance (improved margins and high-quality free cash flow) and a clearly bullish price trend with the stock trading above key moving averages. Earnings-call guidance supports the outlook via higher expected EPS and record margins, while valuation is only moderate at a ~17.6 P/E and recent revenue timing softness plus balance-sheet leverage inconsistency temper the upside.
Positive Factors
Cash Generation & Earnings Quality
Free cash flow almost equaling net income indicates high earnings quality and strong operating cash conversion. This durable cash generation supports capex, R&D, acquisitions, paydowns or buybacks and provides balance sheet optionality over the next 2–6 months.
Negative Factors
Recent Revenue Softness / Timing
Project deployment timing produced YoY revenue declines in key segments, highlighting exposure to lumpy project schedules. Over 2–6 months this can compress top-line growth and make operating-leverage benefits more dependent on timing of large customer implementations.
Read all positive and negative factors
Positive Factors
Negative Factors
Cash Generation & Earnings Quality
Free cash flow almost equaling net income indicates high earnings quality and strong operating cash conversion. This durable cash generation supports capex, R&D, acquisitions, paydowns or buybacks and provides balance sheet optionality over the next 2–6 months.
Read all positive factors

Itron (ITRI) vs. SPDR S&P 500 ETF (SPY)

Itron Business Overview & Revenue Model

Company Description
Itron, Inc., a technology, solutions, and service company, provides end-to-end solutions that help manage energy, water, and smart city operations worldwide. It operates in four segments: Device Solutions, Networked Solutions, Outcomes, and Resili...
How the Company Makes Money
Itron makes money primarily by selling products and solutions to utilities and other customers involved in electricity, gas, and water distribution. Key revenue streams include (1) sales of metering hardware such as smart electricity, gas, and wat...

Itron Earnings Call Summary

Earnings Call Date:Jul 28, 2026
(Q2-2026)
|
% Change Since: |
Next Earnings Date:Oct 29, 2026
Earnings Call Sentiment Positive
The call presented a broadly constructive outlook: record and structurally higher margins, strong ARR growth (+21% YoY), improving adjusted EBITDA (+8% YoY), healthy backlog ($4.4B) and a narrowed/upgraded earnings outlook. Offsetting items included quarter-to-quarter revenue timing pressures (Networked Solutions -17% YoY), a modest decline in free cash flow and GAAP earnings compression due to lower interest income and a higher tax rate. Management emphasized durable demand drivers, record pipeline levels and operational improvements that support continued margin and recurring revenue growth.
Positive Updates
Record Gross Margin and Margin Expansion
Adjusted gross margin reached a new quarterly record of 41.4%, up ~460 basis points year-over-year (reported gross margin ~41%, up ~410 bps YoY). Segment margin improvements: Device Solutions adjusted gross margin +500 bps YoY, Networked Solutions +430 bps YoY, Outcomes +30 bps YoY.
Negative Updates
Revenue Down Year‑over‑Year (Timing‑Related)
Consolidated revenue was $563 million and was down versus last year due to timing of project deployments, particularly in Networked Solutions; Networked Solutions revenue declined 17% YoY and Device Solutions revenue declined 3% (constant currency).
Read all updates
Q2-2026 Updates
Negative
Record Gross Margin and Margin Expansion
Adjusted gross margin reached a new quarterly record of 41.4%, up ~460 basis points year-over-year (reported gross margin ~41%, up ~410 bps YoY). Segment margin improvements: Device Solutions adjusted gross margin +500 bps YoY, Networked Solutions +430 bps YoY, Outcomes +30 bps YoY.
Read all positive updates
Company Guidance
Itron narrowed its full‑year revenue range to $2.37–$2.41 billion (midpoint ≈ +1% vs. 2025) and raised its full‑year non‑GAAP EPS guidance to $6.30–$6.50 (midpoint up ~7% from the February outlook and ≈7% higher than 2025 on a normalized tax/interest basis); for Q3 it guided revenue of $590–$600 million (midpoint +2% YoY, +6% sequentially) and non‑GAAP EPS of $1.50–$1.60 (midpoint +1% YoY), said H2 implied YoY and sequential growth is close to 8%, and expects full‑year adjusted gross margin to be around 40% (Q2 was a record 41.4%).

Itron Financial Statement Overview

Summary
Overall fundamentals are strong, led by robust cash generation (free cash flow to net income ~0.97) and meaningfully improved profitability (TTM net margin ~11.9%, EBIT margin ~11.5%). The main offsets are recent revenue softness (TTM and 2025) and a notable debt-to-equity inconsistency between annual periods and TTM that warrants validation.
Income Statement
79
Positive
Balance Sheet
82
Very Positive
Cash Flow
87
Very Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue2.30B2.37B2.44B2.17B1.80B1.98B
Gross Profit918.24M892.12M839.32M713.91M522.19M573.17M
EBITDA399.21M414.24M321.43M226.91M84.61M121.03M
Net Income273.97M301.06M239.10M96.92M-9.73M-81.25M
Balance Sheet
Total Assets3.99B3.72B3.41B2.60B2.38B2.39B
Cash, Cash Equivalents and Short-Term Investments745.23M1.02B1.05B302.05M202.01M162.58M
Total Debt147.61M1.29B1.28B502.46M515.10M507.54M
Total Liabilities2.36B1.98B2.00B1.27B1.19B1.25B
Stockholders Equity1.62B1.72B1.39B1.31B1.17B1.12B
Cash Flow
Free Cash Flow383.34M380.85M207.61M98.09M4.75M110.36M
Operating Cash Flow408.71M403.74M238.18M124.97M24.50M145.04M
Investing Cash Flow-864.10M-349.65M-63.41M-23.31M40.52M-34.88M
Financing Cash Flow-20.30M-95.25M579.57M-3.51M-18.74M-152.89M

Itron Technical Analysis

Technical Analysis Sentiment
Positive
Last Price84.22
Price Trends
50DMA
88.25
Positive
100DMA
87.81
Positive
200DMA
93.28
Positive
Market Momentum
MACD
4.87
Negative
RSI
63.68
Neutral
STOCH
51.61
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ITRI, the sentiment is Positive. The current price of 84.22 is below the 20-day moving average (MA) of 96.46, below the 50-day MA of 88.25, and below the 200-day MA of 93.28, indicating a bullish trend. The MACD of 4.87 indicates Negative momentum. The RSI at 63.68 is Neutral, neither overbought nor oversold. The STOCH value of 51.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ITRI.

Itron Risk Analysis

Itron disclosed 35 risk factors in its most recent earnings report. Itron reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Itron Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
81
Outperform
$4.49B16.8916.52%-5.69%2.02%
78
Outperform
$7.78B24.7819.93%0.10%16.55%23.43%
72
Outperform
$3.91B30.4018.03%1.27%0.80%-7.04%
70
Outperform
$4.52B13.6128.25%0.32%0.88%-8.19%
64
Neutral
$6.72B72.103.18%1.05%0.32%-18.53%
63
Neutral
$11.20B36.2412.57%58.56%19.37%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
ITRI
Itron
102.72
-22.65
-18.07%
BMI
Badger Meter
130.43
-58.66
-31.02%
ESE
Esco Technologies
300.81
112.88
60.07%
SANM
Sanmina-Sci
206.56
89.76
76.85%
ST
Sensata
45.42
13.35
41.64%
VNT
Vontier
33.08
-9.87
-22.98%

Itron Corporate Events

Executive/Board ChangesStock BuybackShareholder Meetings
Itron Shareholders Approve Proposals at 2026 Annual Meeting
Positive
May 8, 2026
Itron, Inc. held its 2026 Annual Meeting of Shareholders on May 7, 2026, where investors approved all three proposals on the ballot, including the election of five directors, an advisory vote on executive compensation and the ratification of Deloi...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jul 30, 2026