Itron Solution Remotely Manages 100 MWh of Distributed Energy Resource CapacityLIBERTY LAKE, Wash., Oct. 28, 2025 (GLOBE NEWSWIRE) -- Itron, Inc. (NASDAQ: ITRI), which is innovating new ways for utilities and cities to manage energy and water, is supporting Project Jupiter to accelerate the integration of distributed energy resources (DER) using components of Itron’s Low Voltage Distributed Energy Resource Management System (LV DERMS). A collaboration between Western Power, Synergy, the Australian Energy Ma ...

Market Overview - The U.S. stock market reached record highs driven by optimism surrounding trade discussions between Washington and Beijing, with the Dow Jones Industrial Average closing at 47,544.59, up 337.47 points (0.71%) [1] - The S&P 500 and Nasdaq Composite also saw significant gains, closing at 6,875.16 (up 1.23%) and 23,637.46 (up 1.86%) respectively [1] - The U.S. dollar weakened slightly as investors favored equities, anticipating a more favorable macroeconomic environment [1] Central Bank Policies and Earnings Reports - Market momentum was influenced by expectations regarding central bank policies and upcoming major corporate earnings reports [2] - There is strong anticipation for a rate cut decision from the Federal Reserve, particularly following a soft consumer price index in September [2] - The ongoing U.S. government shutdown complicates the Fed's assessment of economic conditions [2] Value Stocks and Investment Strategies - Investors are focusing on the earnings season, with major companies expected to report results that could provide insights into corporate profitability amid changing global trade conditions [3] - Value stocks, often trading below their intrinsic value, are seen as a safer investment during periods of market uncertainty [3] - The Price to Cash Flow (P/CF) ratio is highlighted as an effective valuation metric for evaluating value stocks, with companies like StoneCo Ltd. (STNE), Itron, Inc. (ITRI), PG&E Corporation (PCG), and PagSeguro Digital Ltd. (PAGS) noted for their low P/CF ratios [4][10] Financial Health and Cash Flow - The P/CF ratio is considered more reliable than the Price/Earnings (P/E) ratio as it accounts for non-cash charges, providing a clearer picture of a company's financial health [5][6] - Positive cash flow indicates an increase in liquid assets, allowing companies to manage debt, reinvest, and undertake shareholder-friendly actions [7] Stock Selection Parameters - A comprehensive investment strategy should include multiple valuation metrics such as price-to-book ratio, price-to-earnings ratio, and price-to-sales ratio, alongside a favorable Zacks Rank and Value Score [8][11][12] - Specific parameters for selecting true-value stocks include a P/CF less than or equal to the industry median, a minimum stock price of $5, and an average 20-day trading volume exceeding 100,000 [9][11] Company Performance Highlights - StoneCo Ltd. (STNE) has a Zacks Rank 1, with a trailing four-quarter earnings surprise of 11.5% and projected sales and EPS growth of 14.3% and 24.4% respectively [14] - Itron, Inc. (ITRI) holds a Zacks Rank 2, with a trailing earnings surprise of 32.5% and expected EPS growth of 8% [15] - PG&E Corporation (PCG) also has a Zacks Rank 2, with projected sales and EPS growth of 6.7% and 10.3% respectively, despite a share price decline of 18.4% over the past year [16] - PagSeguro Digital (PAGS) carries a Zacks Rank 2, with a trailing earnings surprise of 10.1% and expected sales and EPS growth of 5.5% and 14.9% respectively, with shares up 19.4% in the past year [17]

Core Insights - North American utilities are rapidly adopting AI and data analytics, with 41% of executives reporting full integration of AI technologies, significantly ahead of the previous year's forecast of 27% [2][4] - The industry is under pressure from increasing demand due to manufacturing growth, electrification, and AI data centers, necessitating the modernization of infrastructure [3][4] Group 1: AI Adoption and Impact - The pace of AI adoption in utilities is unprecedented, viewed as a resilience strategy rather than a trend, with applications in predictive maintenance, hazard detection, and customer service [4][6] - 57% of executives see AI as crucial for optimizing grid performance, including load balancing and reducing energy loss [6] - Safety is a primary concern, with 53% of executives highlighting AI's role in hazard detection, enabling quicker responses than traditional methods [6] Group 2: Demand Forecasting and Customer Engagement - Demand forecasting is identified as a top priority by 51% of utility leaders, enhancing energy management and renewable integration for improved service reliability [6] - Consumer expectations are rising, with 57% of executives citing customer support as a significant challenge, driven by demands for personalized insights and proactive notifications [6]

Core Insights - Itron, Inc. is collaborating with Gordian Technologies to integrate AI and machine learning into its Grid Edge Intelligence (GEI) portfolio, enhancing utilities' ability to manage energy and water more effectively [1][4] - The partnership aims to improve grid resilience, operational efficiency, and disaster management while providing affordable energy to customers [1][2] Company Overview - Itron is focused on transforming energy, water, and city services management through intelligent infrastructure solutions that enhance efficiency and resilience [6] - Gordian Technologies specializes in edge AI software, providing platforms that enable efficient machine learning and AI capabilities on resource-constrained devices [5] Technology Integration - The integration of Gordian's AI and ML technology into Itron's GEI portfolio will allow utilities to detect, analyze, and classify millions of data events in milliseconds, maximizing the value of smart infrastructure investments [2][3] - The Gordian platform will be accessible through Itron's Distributed Intelligence (DI) Developer Program, enabling developers to create applications that address various utility challenges [3][4] Benefits of Collaboration - The collaboration is expected to deliver advantages such as faster response times, lower operational costs, and decentralized automation, allowing utilities to make real-time, site-specific decisions [4][8] - The enhanced capabilities will support use cases like electric vehicle connection detection and arc flash detection, improving service delivery to customers [3][4]

Core Thesis - Itron, Inc. is positioned to benefit from a generational replacement cycle in metering solutions, with a strong market share in electricity, gas, and water utilities [3][4]. Company Overview - Itron generates approximately 60% of its revenue from electricity utilities, 20% from gas, and 20% from water utilities, operating through Device Solutions, Networked Solutions, and Outcomes segments [3]. - The Networked Solutions segment is the largest revenue contributor, providing Advanced Metering Infrastructure (AMI) and Automated Meter Reading (AMR) endpoints, enhancing utility management through two-way communication [3]. Market Dynamics - A replacement cycle is anticipated due to high deployments from 2010 to 2012 and delays caused by COVID-19, expected to drive industry growth at around 5% through 2029 [4]. - Itron is expected to increase its market share from 48% in 2024 to potentially 60% by 2029, capitalizing on the challenges faced by competitor Landis+Gyr [5]. Competitive Advantage - Itron's superior Distributed Intelligence (DI) technology and operational execution position it well to capture market share, especially with Landis+Gyr facing organizational challenges [4][5]. - Control over the network layer enhances customer retention and positions Itron favorably for meter replacements, including approximately 12.5 million Landis meters on third-party networks [5]. Financial Projections - Itron is projected to achieve growth of 7–7.5% through 2027, with EBITDA margins expanding to 16% and EPS reaching $7.5, indicating a potential 30% upside to a target price of $160 by the end of 2026 [6]. - Key catalysts for stock rerating include visibility into the replacement cycle by late 2025 and the impact of network access restrictions in 2026 [6].

Core Insights - Itron, Inc. has launched its Gen6™ network platform and the latest UtilityIQ® application suite, enhancing interoperability and reducing integration complexity for utility telecom strategies [1][2][3] Group 1: Product Launch and Features - The Gen6 network platform extends cellular connectivity to endpoints and introduces new battery-powered mesh technology for gas and water devices, enabling distributed intelligence interoperability [1][3] - UtilityIQ now connects over 300 unique device types from nearly 100 manufacturers, streamlining device and network management under a unified headend [4] - The Gen6 platform is backward compatible with previous generations, allowing for seamless integration of next-gen devices into existing deployments [3][4] Group 2: Benefits and Strategic Implications - The new platform allows utilities to develop telecom strategies that can evolve over decades without significant IT or integration costs, enhancing long-term flexibility [2][6] - It offers greater return on investment by balancing performance with budget realities, facilitating scalability for utilities [6] - The platform supports peer-to-peer networking and is designed to be resilient and secure, ensuring dependable performance across diverse locations [6] Group 3: Availability and Future Developments - The Gen6 network platform and UtilityIQ will be available in Q4 2025, with initial products including various Itron ERT Modules and gas meters [5][7] - Future announcements will include new electric meters featuring Gen6 networking technology [7]

Core Insights - Itron, Inc. is collaborating with Manila Electric Company (Meralco) to implement its Advanced Metering Infrastructure (AMI) solution, which will initially manage 73,000 endpoints in Metro Manila, with plans for future expansion [1][2] Group 1: Collaboration and Implementation - The partnership is a significant part of Meralco's smart grid modernization program aimed at enhancing customer satisfaction [1] - The AMI solution is designed to support a wide range of smart city applications and improve the electricity delivery system for over 8 million customers [2] Group 2: Technical Features and Benefits - Itron's AMI solution enables near real-time, two-way communication between the utility's back office and endpoints, improving outage response and reducing downtime [3] - The infrastructure supports future innovations, such as integrating distributed energy resources (DERs) like solar panels and electric vehicles, enhancing customer visibility into energy usage [3] Group 3: Executive Statements - Meralco's Executive Vice President highlighted the collaboration as a step towards a smarter energy future, improving billing services and customer engagement [4] - Itron's Senior Vice President emphasized the flexibility of the Gen5 solution, which supports multiple meter brands, allowing for scalable deployments without vendor lock-in [4] Group 4: Key Components of the AMI Solution - The solution includes a centralized headend system for control and visibility, near real-time data exchange, reliable data transmission, and extended connectivity in complex service areas [6]

Company Performance - Itron's stock closed at $131.33, reflecting a -2.18% change from the previous day, underperforming the S&P 500's gain of 0.53% [1] - Over the past month, Itron's shares increased by 10.87%, outperforming the Computer and Technology sector's gain of 2.01% and the S&P 500's gain of 0.71% [1] Upcoming Earnings - Itron is set to release its earnings report on October 30, 2025, with expected earnings of $1.48 per share, indicating a year-over-year decline of 19.57% [2] - The consensus estimate for Itron's revenue is $576.45 million, representing a 6.34% decline compared to the same quarter last year [2] Full-Year Estimates - The Zacks Consensus Estimates for Itron's full-year earnings are $6.07 per share and revenue of $2.37 billion, reflecting year-over-year changes of +8.01% and -2.76%, respectively [3] - Recent changes in analyst estimates indicate a dynamic business trend, with positive revisions suggesting analyst optimism about Itron's profitability [3] Valuation Metrics - Itron's Forward P/E ratio is 22.11, which is lower than the industry average Forward P/E of 23.91 [6] - The company has a PEG ratio of 0.74, significantly below the Electronics - Testing Equipment industry's average PEG ratio of 2.65 [6] Industry Context - The Electronics - Testing Equipment industry, part of the Computer and Technology sector, holds a Zacks Industry Rank of 21, placing it in the top 9% of over 250 industries [7] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [7]

Core Viewpoint - Itron (ITRI) has received an upgrade to a Zacks Rank 1 (Strong Buy) due to an upward trend in earnings estimates, which is a significant factor influencing stock prices [1][2]. Earnings Estimates and Stock Price Movement - The Zacks rating system emphasizes the importance of changing earnings estimates in determining near-term stock price movements, making it a valuable tool for investors [2][3]. - Institutional investors often rely on earnings estimates to assess a company's fair value, leading to stock price movements based on their buying or selling actions [3]. Business Improvement Indicators - The increase in earnings estimates and the Zacks rating upgrade for Itron suggest an improvement in the company's underlying business, which could lead to higher stock prices as investors respond positively [4]. Importance of Earnings Estimate Revisions - Empirical research indicates a strong correlation between earnings estimate revisions and near-term stock movements, highlighting the significance of tracking these revisions for investment decisions [5]. - The Zacks Rank system effectively utilizes earnings estimate revisions to classify stocks, providing a structured approach to investment analysis [6]. Specifics on Itron's Earnings Estimates - For the fiscal year ending December 2025, Itron is expected to earn $6.07 per share, which remains unchanged from the previous year, while the Zacks Consensus Estimate has increased by 11.5% over the past three months [7]. Zacks Rating System Overview - The Zacks rating system maintains a balanced distribution of ratings, with only the top 5% of stocks receiving a "Strong Buy" rating, indicating superior earnings estimate revisions [8][9]. - Itron's upgrade to a Zacks Rank 1 places it among the top 5% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [9].

Core Insights - The Mobility House and Itron, Inc. are collaborating on a project in New York State aimed at accelerating fleet electrification [1] - The initiative is supported by the New York State Energy Research and Development Authority (NYSERDA) [1] Company Overview - The Mobility House is recognized as a global leader in smart charging and energy management solutions [1] - Itron, Inc. is focused on innovating methods for utilities and cities to manage energy and water [1] Project Details - The project will implement technology designed to enhance fleet electrification [1] - It involves the use of cutting-edge flexible service connections [1]