NasdaqGS:ITRI

Stock Analysis Report

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Executive Summary

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.


Snowflake Analysis

Solid track record with moderate growth potential.


Similar Companies

Share Price & News

How has Itron's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ITRI's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

4.2%

ITRI

2.5%

US Electronic

2.8%

US Market


1 Year Return

11.2%

ITRI

7.9%

US Electronic

9.3%

US Market

Return vs Industry: ITRI exceeded the US Electronic industry which returned 7.9% over the past year.

Return vs Market: ITRI exceeded the US Market which returned 9.3% over the past year.


Shareholder returns

ITRIIndustryMarket
7 Day4.2%2.5%2.8%
30 Day-3.9%11.2%8.9%
90 Day-15.1%0.02%-0.5%
1 Year11.2%11.2%9.0%7.9%11.8%9.3%
3 Year-4.1%-4.1%16.6%13.3%31.4%22.7%
5 Year83.0%83.0%58.2%50.6%58.7%40.9%

Price Volatility Vs. Market

How volatile is Itron's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Itron undervalued compared to its fair value and its price relative to the market?

2.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ITRI ($65.97) is trading below our estimate of fair value ($67.8)

Significantly Below Fair Value: ITRI is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: ITRI is poor value based on its PE Ratio (43.9x) compared to the Electronic industry average (19x).

PE vs Market: ITRI is poor value based on its PE Ratio (43.9x) compared to the US market (15.7x).


Price to Earnings Growth Ratio

PEG Ratio: ITRI is good value based on its PEG Ratio (0.6x)


Price to Book Ratio

PB vs Industry: ITRI is overvalued based on its PB Ratio (3.4x) compared to the US Electronic industry average (1.8x).


Next Steps

Future Growth

How is Itron forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

68.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ITRI's forecast earnings growth (68% per year) is above the savings rate (2.2%).

Earnings vs Market: ITRI's earnings (68% per year) are forecast to grow faster than the US market (22% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: ITRI's revenue (8.1% per year) is forecast to grow slower than the US market (8.8% per year).

High Growth Revenue: ITRI's revenue (8.1% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if ITRI's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Itron performed over the past 5 years?

9.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ITRI has high quality earnings.

Growing Profit Margin: ITRI's current net profit margins (2.4%) are higher than last year (1.9%).


Past Earnings Growth Analysis

Earnings Trend: ITRI has become profitable over the past 5 years, growing earnings by 9% per year.

Accelerating Growth: ITRI's earnings growth over the past year (33.3%) exceeds its 5-year average (9% per year).

Earnings vs Industry: ITRI earnings growth over the past year (33.3%) exceeded the Electronic industry -8%.


Return on Equity

High ROE: ITRI's Return on Equity (7.8%) is considered low.


Next Steps

Financial Health

How is Itron's financial position?


Financial Position Analysis

Short Term Liabilities: ITRI's short term assets ($1.4B) exceed its short term liabilities ($667.1M).

Long Term Liabilities: ITRI's short term assets ($1.4B) do not cover its long term liabilities ($1.6B).


Debt to Equity History and Analysis

Debt Level: ITRI's debt to equity ratio (165.6%) is considered high.

Reducing Debt: ITRI's debt to equity ratio has increased from 56.9% to 165.6% over the past 5 years.

Debt Coverage: ITRI's debt is not well covered by operating cash flow (12.7%).

Interest Coverage: ITRI's interest payments on its debt are well covered by EBIT (3.1x coverage).


Balance Sheet


Next Steps

Dividend

What is Itron's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate ITRI's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ITRI's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ITRI's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ITRI's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ITRI's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.7yrs

Average management tenure


CEO

Tom Deitrich (52yo)

0.83

Tenure

US$6,564,242

Compensation

Mr. Thomas L. Deitrich serves as the Chief Executive Officer, President and Director of Itron, Inc. since August 6, 2019. Mr. Deitrich joined Itron in October 2015, serving as Itron’s Executive Vice Presid ...


CEO Compensation Analysis

Compensation vs Market: Tom's total compensation ($USD6.56M) is about average for companies of similar size in the US market ($USD5.87M).

Compensation vs Earnings: Tom's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Thomas Deitrich
CEO, President & Director0.83yrUS$6.56m0.34% $9.0m
Joan Hooper
Senior VP & CFO3yrsUS$2.13m0.073% $1.9m
Sarah Hlavinka
Senior VP1.83yrsUS$1.36mno data
Michel Cadieux
Senior Vice President of Human Resources6.33yrsUS$1.38m0.070% $1.9m
Donald Reeves
Senior Vice President of OutComes1.75yrsUS$915.90k0.015% $384.6k
Simon Pontin
Chief Technology Officer9.42yrsno datano data
Chuck McAtee
VP of Information Technology & Chief Information Officer14.42yrsno datano data
Kenneth Gianella
Vice President of Investor Relations1.83yrsno datano data
Marina Donovan
Vice President of Global Marketing & Public Affairs2.42yrsno datano data
Sharelynn Moore
Senior Vice President of Networked Solutions2.92yrsno data0.0085% $225.4k

2.7yrs

Average Tenure

52yo

Average Age

Experienced Management: ITRI's management team is considered experienced (2.7 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Thomas Deitrich
CEO, President & Director0.83yrUS$6.56m0.34% $9.0m
Frank Jaehnert
Independent Director5.08yrsUS$186.44k0.027% $707.1k
Thomas Glanville
Independent Director19.08yrsUS$184.94k0.030% $796.5k
Gary Pruitt
Independent Director14.42yrsUS$175.00k0.11% $2.9m
Diana Tremblay
Independent Director5.08yrsUS$179.94k0.027% $707.1k
Lynda Ziegler
Independent Chair of the Board3.75yrsUS$249.92k0.032% $861.7k
Timothy Leyden
Independent Director5.25yrsUS$174.94k0.028% $748.7k
Daniel Pelino
Independent Director5.58yrsUS$176.44k0.036% $949.5k
Jerome Lande
Independent Director4.5yrsUS$75.00k0.030% $807.1k

5.1yrs

Average Tenure

62yo

Average Age

Experienced Board: ITRI's board of directors are considered experienced (5.1 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: ITRI insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.2%.


Top Shareholders

Company Information

Itron, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Itron, Inc.
  • Ticker: ITRI
  • Exchange: NasdaqGS
  • Founded: 1977
  • Industry: Electronic Equipment and Instruments
  • Sector: Tech
  • Market Cap: US$2.652b
  • Shares outstanding: 40.20m
  • Website: https://www.itron.com/na

Number of Employees


Location

  • Itron, Inc.
  • 2111 North Molter Road
  • Liberty Lake
  • Washington
  • 99019
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ITRINasdaqGS (Nasdaq Global Select)YesCommon SharesUSUSDNov 1993
IT6DB (Deutsche Boerse AG)YesCommon SharesDEEURNov 1993

Biography

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 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 software 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 founded in 1977 and is headquartered in Liberty Lake, Washington. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/06/02 03:14
End of Day Share Price2020/06/01 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.