How Pre-Earnings Optimism at Itron (ITRI) Has Changed Its Investment Story

• Itron's stock outperformed the broader market in the most recent trading session, ahead of its earnings announcement originally scheduled for July 31, 2025, and amid positive analyst expectations for both earnings per share and revenue growth.
• Recent analyst estimate revisions and an improving outlook have supported growing investor optimism about Itron's near-term business trends.
• Next, we'll examine how increased investor confidence ahead of earnings could influence Itron's long-term growth and backlog-driven outlook.

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Itron Investment Narrative Recap

To be a shareholder in Itron, you need to believe in the ongoing growth of smart utilities and infrastructure technology, as well as the company's ability to convert its robust $4.7 billion backlog into future earnings. While recent analyst optimism and the stock's outperformance may support near-term sentiment ahead of the July 31, 2025 earnings release, the actual impact on the main short-term catalyst, quarterly revenue and margin delivery, will depend on reported results. The biggest risk remains exposure to supply chain or tariff disruptions, which could pressure margins regardless of current optimism.

The recent announcement that Itron shipped its two millionth Cyble 5 communication module to Metz Eurometropole highlights consistent product demand, directly supporting the company's core catalyst of backlog-driven revenue growth. This milestone reflects ongoing customer adoption and underpins the importance of fulfilling major contracts efficiently as part of Itron’s growth narrative.

Yet, despite the current mood, investors should be aware that exposure to global component sourcing leaves Itron at risk if tariffs or trade policies shift suddenly...

Read the full narrative on Itron (it's free!)

Itron's narrative projects $2.8 billion revenue and $282.7 million earnings by 2028. This requires 5.0% yearly revenue growth and a $29.8 million earnings increase from $252.9 million today.

Uncover how Itron's forecasts yield a $136.91 fair value, in line with its current price.

Exploring Other Perspectives

Simply Wall St Community members provided four distinct fair value forecasts for Itron, ranging from US$101.21 to US$182.87 per share. While supply chain stability is a widely discussed catalyst, these differing views remind you that future company performance is far from certain, explore what others are considering.

Explore 4 other fair value estimates on Itron - why the stock might be worth 27% less than the current price!

Build Your Own Itron Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Itron research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Itron research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Itron's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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