Core Insights - Badger Meter is positioned as a leader in the North American smart-water technology market, with significant growth potential as it transitions its client base to advanced metering infrastructure (AMI) [3][4] - The company is leveraging strategic acquisitions, such as the $185 million purchase of SmartCover, to enhance its product offerings and expand its client base [6][7] - Badger Meter's commitment to sustainability and efficient water use aligns with global trends, making it a compelling investment opportunity [9] Growth Pathways - Only 40% of Badger's connection points have transitioned to AMI, indicating substantial room for growth as customers upgrade their metering and monitoring equipment [3] - New capabilities in Badger's platform, including real-time water quality monitoring and high-frequency pressure monitoring, are expected to drive greater adoption among utility users [4] - The company aims to expand its international presence, particularly in Europe and the Middle East, by offering customized solutions [4] Strategic Acquisitions - The acquisition of SmartCover allows Badger to tap into the wastewater treatment sector and create cross-selling opportunities with existing customers [6][7] - This strategic move is expected to strengthen Badger's market position and enhance its growth trajectory [7] Financial Performance - Badger Meter has a market capitalization of $5.1 billion, with a gross margin of 41.26% and a dividend yield of 0.85% [6] - The company has a history of consistent dividend increases, with an 18% hike in August 2025 marking the 33rd consecutive year of annual increases [10] Investment Perspective - The Voyager Portfolio views Badger Meter as a long-term investment opportunity, anticipating that the company's growth will unfold over years or decades [8][11] - The increasing global demand for efficient water use positions Badger Meter favorably in the market, especially as water supply concerns become more pressing [9]

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].