Should you continue to hold Itron (NASDAQ:ITRI) based on the current analyst consensus?

Why analysts lower the entity buy or sell consensus to Hold? Itron Inc is scheduled to announce its earnings tomorrow. The next financial report is expected on the 2nd of May 2022. Because some of us are getting excited about technology space, it makes sense to concentrate on Itron Inc in greater detail. What exactly are Itron shareholders getting in June? Analysts now have less confidence in Itron Inc as compared to a month ago. The current buy or sell recommendation of 9 analysts is Hold.
Published over a year ago
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Reviewed by Raphi Shpitalnik

The company retains a Market Volatility (i.e., Beta) of 1.3823, which attests to a somewhat significant risk relative to the market. Let's try to break down what Itron's beta means in this case. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Itron will likely underperform. Even though it is essential to pay attention to Itron Inc current price history, it is always good to be careful when utilizing equity current price movements. Our philosophy towards determining any stock's future performance is to check both, its past performance charts as well as the business as a whole, including all available technical indicators. Itron Inc exposes twenty-one different technical indicators, which can help you to evaluate its performance. Itron Inc has an expected return of -0.36%. Please be advised to check out Itron variance, value at risk, as well as the relationship between the Value At Risk and skewness to decide if Itron Inc performance from the past will be repeated at some point in the near future.
What is the right price you would pay to acquire a share of Itron? For most investors, it would be the price that gives them a wide margin of safety to have minimal downside risk. In other words, most investors are always looking for undervalued stocks. Even if the future performance is not entirely as expected, the loss of holding it is minimized, and the downside risk is negated. Please read more on our stock advisor page.

What is happening with Itron Inc this year

Annual and quarterly reports issued by Itron Inc are formal financial statements that are published yearly and quarterly and sent to Itron stockholders. The reports show and break down the current year's ongoing operations and discuss plans for the upcoming year. Annual reports have been a requirement from the Securities and Exchange Commission (SEC) for businesses owned by the public since 1934.
Companies such as Itron often view their annual report as an effective marketing tool to disseminate their perspective on company future earnings or innovations. With this in mind, many companies devote large sums of money to making their reports attractive and informative. In such instances, the annual report becomes a forum through which a company can communicate to the general public any number of topics that may or may not be directly related to the actual data published in the reports.

Itron Gross Profit

Itron Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Itron previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Itron Gross Profit growth over the last 10 years. Please check Itron's gross profit and other fundamental indicators for more details.

A Deeper Perspective

Average experts consensus on the stock has changed. Currently, most analysts have less confidence in Itron as compared to a month ago. The current buy or sell recommendation of 9 analysts is Hold. Earning per share calculations of Itron is based on official Zacks consensus of 4 analysts regarding Itron's future annual earnings. Given the historical accuracy of 51.06%, the future earnings per share of the company is estimated to be 1.2 with the lowest and highest values of 1.07 and 1.44, respectively. Please note that this consensus of annual earnings estimates for the firm is an estimate of EPS before non-recurring items and including employee stock options expenses.

Is Itron a risky opportunity?

Let's check the volatility. Itron is looking slightly risky at this time. Whether you invest your money or manage your clients' funds, remember that it is easy to forget that behind Itron (NASDAQ:ITRI) stock is an actual business venture. So, do not let stock picking become an abstract concept by ignoring the elementary risk calculations. locking in a share of an Itron stock makes you a part-owner of that company.

Itron Inc Current Consensus

Here is the current trade recommendation based on an ongoing consensus estimate among financial analysis covering Itron Inc. The Itron consensus assessment is calculated by taking the average estimates from all of the analysts covering Itron
Strong Buy
4
Hold
5
Strong Buy444.44
Buy00.0
Hold555.56
Sell00.0
Strong Sell00.0

Will Itron price drop impact its balance sheet?

The maximum drawdown is down to 18.35 as of today. Itron Inc exhibits very low volatility with skewness of -0.97 and kurtosis of 3.49. However, we advise investors to further study Itron Inc technical indicators to make sure all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Itron's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Itron's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Itron Implied Volatility

Itron's implied volatility exposes the market's sentiment of Itron Inc stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Itron's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Itron stock will not fluctuate a lot when Itron's options are near their expiration.

Our Final Perspective on Itron

While many of the other players in the scientific & technical instruments industry are either recovering or due for a correction, Itron may not be performing as strong as the other in terms of long-term growth potentials. To conclude, as of the 1st of May 2022, we believe that at this point, Itron is very steady with very low chance of bankruptcy within the next 2 years. From a slightly different point of view, the entity appears to be undervalued. Our final 90 days buy-or-sell advice on the company is Strong Hold.

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Editorial Staff

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Vlad Skutelnik do not own shares of Itron Inc. Please refer to our Terms of Use for any information regarding our disclosure principles.

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