Oppenheimer raises Itron price target to $133 after FY2026 guidance beat
Oppenheimer raised Itron’s price target to $133 from $125 and kept an Outperform rating after FY2026 guidance exceeded forecasts. Itron’s Q4 revenue fell 7% y/y to $572m but non-GAAP EPS jumped to $2.46, EBITDA grew 21% to $99m and free cash flow rose 59% to $112m.
1. Oppenheimer Price Target Increase
Oppenheimer boosted Itron’s price target from $125 to $133 and maintained an Outperform rating based on stronger-than-expected earnings projections and improved outlook for FY2026.
2. Q4 Financial Performance
Itron reported Q4 revenue of $572 million, down 7% year-over-year due to portfolio optimization and project timing. Non-GAAP diluted EPS rose to $2.46 from $1.35, GAAP net income climbed to $102 million, free cash flow increased 59% to $112 million, gross margin expanded 560 basis points to 40.5%, and adjusted EBITDA grew 21% to $99 million.
3. FY2026 Guidance and Growth Drivers
The company’s FY2026 guidance surpassed analyst forecasts, underpinned by anticipated growth in Outcomes revenue, enhanced operational efficiency and benefits from recent strategic acquisitions, indicating potential acceleration in energy and water management demand.