Itron (ITRI): Assessment of Valuation Following New Smart Water Infrastructure Agreement with Tucson Water
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 20 2025
0mins
Source: Yahoo Finance
Itron's New Deal: Itron has secured a multi-year contract with Tucson Water to implement its AMI Essentials smart metering platform, aimed at enhancing water conservation and operational visibility in the city.
Stock Performance: Despite a recent decline in Itron's share price, which has seen a 20.22% drop over the past 90 days, the company boasts a strong three-year total shareholder return of 94.07%, indicating potential long-term growth.
Market Valuation: Analysts suggest that Itron's shares are undervalued, with a fair value estimate of $140.20 compared to its last close at $96.24, raising questions about whether the market has already accounted for future growth.
Risks and Opportunities: While ongoing digitalization and IoT adoption are expected to drive revenue growth for Itron, potential regulatory delays and slower-than-anticipated SaaS growth could pose risks to its earnings momentum.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy ITRI?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on ITRI
Wall Street analysts forecast ITRI stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for ITRI is 137.13 USD with a low forecast of 118.00 USD and a high forecast of 150.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
9 Analyst Rating
7 Buy
2 Hold
0 Sell
Strong Buy
Current: 100.190
Low
118.00
Averages
137.13
High
150.00
Current: 100.190
Low
118.00
Averages
137.13
High
150.00
About ITRI
Itron, Inc. provides energy, water, smart city, Industrial Internet of Things (IIoT) and intelligent infrastructure services. The Company's Device Solutions segment primarily includes hardware products used for measurement, control, or sensing that can have communications capability embedded for use with its broader Itron systems, which is hardware-based products. Its Networked Solutions segment primarily includes a combination of communicating devices (smart meters, modules, endpoints, and sensors), network infrastructure, network design services, and associated head-end management and application software designed and sold as a complete solution for acquiring and transporting application-specific data. Its Outcomes segment includes its value-added, enhanced software and services, in which it enables grid edge intelligence and manage, organize, analyze, and interpret raw, anonymized data using artificial intelligence, machine learning, statistical modeling, and other analytics.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
OpenAI and Gemini Market Share Competition Intensifies, Potential Stock Market Correction in 2026
- Market Share Shift: According to Similarweb, Gemini's market share surged from 5% to 18% in 2025, while ChatGPT's share fell from 87% to 68%, potentially undermining investor confidence in OpenAI.
- Stock Market Correction Prediction: Historical data indicates that stock markets typically experience a correction of at least 10% every 1-2 years, and given the last correction in early 2025, another could be expected in the second half of 2026, prompting investor caution.
- Electricity Bottleneck Issue: The demand for electricity from AI infrastructure is growing faster than supply, leading to rising electricity prices, with the Trump administration intervening to ensure Microsoft does not pass these costs onto consumers, which could impact the AI sector's growth.
- Investment Opportunities: Amid the electricity bottleneck, companies like Itron and Tesla may benefit from optimizing existing grid capabilities to meet increasing demand, presenting potential investment opportunities in the energy sector.
Continue Reading
Gemini's Rapid Rise Disrupts AI Market Dynamics
- Market Share Shift: According to Similarweb, Gemini's market share surged from 5% to 18% in 2025, while ChatGPT's share dropped from 87% to 68%, indicating a significant shift that could impact investor confidence in the AI sector.
- Correction Prediction: A stock market correction of at least 10% is anticipated in 2026, as historical data suggests such corrections occur every one to two years, prompting investors to prepare for potential volatility.
- Power Bottleneck Opportunities: The rapid increase in electricity demand from AI infrastructure is leading to rising power prices, creating opportunities for companies like Itron that deploy smart meters to help utilities optimize existing resources amid this bottleneck.
- Optimistic Market Outlook: Despite the expected correction, the overall market is projected to rise in 2026, driven by strong infrastructure spending, lower inflation, and mortgage rates, encouraging investors to maintain a positive outlook.
Continue Reading