We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
If You Invested $1000 in Itron a Decade Ago, This is How Much It'd Be Worth Now
Read MoreHide Full Article
For most investors, how much a stock's price changes over time is important. This factor can impact your investment portfolio as well as help you compare investment results across sectors and industries.
Another factor that can influence investors is FOMO, or the fear of missing out, especially with tech giants and popular consumer-facing stocks.
What if you'd invested in Itron (ITRI - Free Report) ten years ago? It may not have been easy to hold on to ITRI for all that time, but if you did, how much would your investment be worth today?
Itron's Business In-Depth
With that in mind, let's take a look at Itron's main business drivers.
Founded in 1977 and headquartered in Liberty Lake, WA, Itron Inc is a technology and services company and one of the leading global suppliers of a wide range of standard, advanced, and smart meters and meter communication systems, including networks and communication modules, software, devices, sensors, data analytics and services to the utility and municipal sectors.
Itron solutions (technology, software, and services) are delivered to users as part of a standalone, one-time purchase or end-to-end solution over multiple years.
The company generates revenues from three operating segments namely Device Solutions, Networked Solutions and Outcomes. Itron’s total revenues for 2023 came in $2.174 billion.
Device Solutions (21% of 2023 revenues) include the offerings of standard gas meters, electricity meters, water meters and communicating meters. These are used for measurement, sensing and control purpose.
Networked Solutions (66.7% of 2023 revenues) comprises products and software used for the implementation, installation, and management of communicating devices and data networks. The Industrial Internet of Things (IIoT) solutions supported by this particular segment include advanced metering infrastructure (AMI), automated meter reading (AMR), distributed energy resource management (DERMs), smart grid and distribution automation and several smart city applications (like smart parking, traffic management, air quality monitoring, electric vehicle charging, digital signage, and mitigation for both gas and water systems).
Outcomes (12.3% of 2023 revenues) segment includes value-added, enhanced software and services. These are used to manage, organize, analyze, and interpret raw and aggregated data to improve decision making, boost operational and resource efficiency along with improvement in grid analytics and deliver improved actionable insights for consumers, utilities, and smart cities.
Itron operates in a competitive space with its primary competitors Landis+Gyr, LM Ericsson Telephone Company, Mueller Water Products, and Xylem, Inc. (formerly Sensus).
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Itron, if you bought shares a decade ago, you're likely feeling really good about your investment today.
A $1000 investment made in July 2014 would be worth $2,832.94, or a gain of 183.29%, as of July 24, 2024, according to our calculations. This return excludes dividends but includes price appreciation.
In comparison, the S&P 500 gained 179.60% and the price of gold went up 78.99% over the same time frame.
Going forward, analysts are expecting more upside for ITRI.
Itron’s performance is powered by higher recurring and one-time service revenues, enhanced component supply and sales of water meter and communication module sales. Conversion of previously constrained revenues aided revenues in the first quarter, with the remaining $40 million expected to be delivered in the second quarter. Robust adoption of new digital technology and non-wires grid solutions is a tailwind. It expects second-quarter revenues in the range of $595-$605 million. Margin performance was bolstered by a differentiated product mix and cost-effective measures. The transition to asset light operating model is a key growth driver. Itron expects the book-to-bill ratio to be at least 1:1 for 2024. However, rising operating expenses, leveraged balance sheet and tight competition amid a soft macroeconomic backdrop remain headwinds.
Over the past four weeks, shares have rallied 9.94%, and there have been 5 higher earnings estimate revisions in the past two months for fiscal 2024 compared to none lower. The consensus estimate has moved up as well.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
If You Invested $1000 in Itron a Decade Ago, This is How Much It'd Be Worth Now
For most investors, how much a stock's price changes over time is important. This factor can impact your investment portfolio as well as help you compare investment results across sectors and industries.
Another factor that can influence investors is FOMO, or the fear of missing out, especially with tech giants and popular consumer-facing stocks.
What if you'd invested in Itron (ITRI - Free Report) ten years ago? It may not have been easy to hold on to ITRI for all that time, but if you did, how much would your investment be worth today?
Itron's Business In-Depth
With that in mind, let's take a look at Itron's main business drivers.
Founded in 1977 and headquartered in Liberty Lake, WA, Itron Inc is a technology and services company and one of the leading global suppliers of a wide range of standard, advanced, and smart meters and meter communication systems, including networks and communication modules, software, devices, sensors, data analytics and services to the utility and municipal sectors.
Itron solutions (technology, software, and services) are delivered to users as part of a standalone, one-time purchase or end-to-end solution over multiple years.
The company generates revenues from three operating segments namely Device Solutions, Networked Solutions and Outcomes. Itron’s total revenues for 2023 came in $2.174 billion.
Device Solutions (21% of 2023 revenues) include the offerings of standard gas meters, electricity meters, water meters and communicating meters. These are used for measurement, sensing and control purpose.
Networked Solutions (66.7% of 2023 revenues) comprises products and software used for the implementation, installation, and management of communicating devices and data networks. The Industrial Internet of Things (IIoT) solutions supported by this particular segment include advanced metering infrastructure (AMI), automated meter reading (AMR), distributed energy resource management (DERMs), smart grid and distribution automation and several smart city applications (like smart parking, traffic management, air quality monitoring, electric vehicle charging, digital signage, and mitigation for both gas and water systems).
Outcomes (12.3% of 2023 revenues) segment includes value-added, enhanced software and services. These are used to manage, organize, analyze, and interpret raw and aggregated data to improve decision making, boost operational and resource efficiency along with improvement in grid analytics and deliver improved actionable insights for consumers, utilities, and smart cities.
Itron operates in a competitive space with its primary competitors Landis+Gyr, LM Ericsson Telephone Company, Mueller Water Products, and Xylem, Inc. (formerly Sensus).
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Itron, if you bought shares a decade ago, you're likely feeling really good about your investment today.
A $1000 investment made in July 2014 would be worth $2,832.94, or a gain of 183.29%, as of July 24, 2024, according to our calculations. This return excludes dividends but includes price appreciation.
In comparison, the S&P 500 gained 179.60% and the price of gold went up 78.99% over the same time frame.
Going forward, analysts are expecting more upside for ITRI.
Itron’s performance is powered by higher recurring and one-time service revenues, enhanced component supply and sales of water meter and communication module sales. Conversion of previously constrained revenues aided revenues in the first quarter, with the remaining $40 million expected to be delivered in the second quarter. Robust adoption of new digital technology and non-wires grid solutions is a tailwind. It expects second-quarter revenues in the range of $595-$605 million. Margin performance was bolstered by a differentiated product mix and cost-effective measures. The transition to asset light operating model is a key growth driver. Itron expects the book-to-bill ratio to be at least 1:1 for 2024. However, rising operating expenses, leveraged balance sheet and tight competition amid a soft macroeconomic backdrop remain headwinds.
Over the past four weeks, shares have rallied 9.94%, and there have been 5 higher earnings estimate revisions in the past two months for fiscal 2024 compared to none lower. The consensus estimate has moved up as well.