Itron (ITRI) Outperforms Broader Market: What You Need to Know
The most recent trading session ended with Itron (ITRI) standing at $100, reflecting a +1.77% shift from the previouse trading day's closing. This move outpaced the S&P 500's daily gain of 1.02%. Elsewhere, the Dow saw an upswing of 1.09%, while the tech-heavy Nasdaq appreciated by 1.18%.
The energy and water meter company's shares have seen a decrease of 7.72% over the last month, not keeping up with the Computer and Technology sector's gain of 8.46% and the S&P 500's gain of 4.44%.
Market participants will be closely following the financial results of Itron in its upcoming release. The company's earnings per share (EPS) are projected to be $0.95, reflecting a 46.15% increase from the same quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $599.3 million, reflecting a 10.76% rise from the equivalent quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $4 per share and revenue of $2.37 billion, indicating changes of +19.05% and +9.15%, respectively, compared to the previous year.
It is also important to note the recent changes to analyst estimates for Itron. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. At present, Itron boasts a Zacks Rank of #3 (Hold).
From a valuation perspective, Itron is currently exchanging hands at a Forward P/E ratio of 24.56. This indicates a premium in contrast to its industry's Forward P/E of 24.33.
Also, we should mention that ITRI has a PEG ratio of 0.94. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As of the close of trade yesterday, the Electronics - Testing Equipment industry held an average PEG ratio of 2.63.
The Electronics - Testing Equipment industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 63, positioning it in the top 25% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Itron, Inc. (ITRI) : Free Stock Analysis Report
