Last Updated: 14 Sep 2024
Executive Summary
Iteris Inc. (ITI) is a provider of intelligent transportation system technology solutions. The company's stock has been trading in a range between $3.97 and $7.13 over the past 52 weeks, and is currently trading at $7.11. Iteris has a market capitalization of $304.3 million and an enterprise value of $340.5 million. The company's financial performance has been mixed in recent quarters, with revenue growth offset by declining margins. Iteris is expected to continue to grow in the long term, but the company faces challenges from competition and economic headwinds.
Company Overview
Iteris was founded in 1999 and is headquartered in Santa Ana, California. The company provides a range of intelligent transportation system technology solutions, including traffic management systems, video detection systems, and software solutions. Iteris's customers include state and local governments, transportation agencies, and private companies.
Fundamental Analysis
Iteris's revenue increased by 5.1% year-over-year to $174.2 million in the most recent quarter. However, the company's gross margin declined from 24.6% to 24.1% during the same period. As a result, Iteris's net income declined by 81.7% to $0.8 million.
Iteris's financial performance has been mixed in recent quarters. The company's revenue has grown in each of the past four quarters, but its margins have declined. This has led to a decline in Iteris's profitability.
Iteris's balance sheet is strong. The company has $40.5 million in cash and equivalents and no debt. Iteris's current ratio is 2.3, which is a measure of the company's ability to meet its short-term obligations.
Technical Analysis
Iteris's stock price has been trading in a range between $3.97 and $7.13 over the past 52 weeks. The stock is currently trading at $7.11, which is above its 50-day moving average of $5.82 and its 200-day moving average of $4.986.
Iteris's relative strength index (RSI) is 52.6, which indicates that the stock is not overbought or oversold. The moving average convergence divergence (MACD) indicator is also positive, which suggests that the stock's momentum is bullish.
Short Term Outlook
Iteris's stock price is expected to continue to trade in a range in the short term. The company's financial performance has been mixed in recent quarters, and there is no clear catalyst for a breakout in either direction.
Long Term Outlook
Iteris is expected to continue to grow in the long term. The company's intelligent transportation system technology solutions are in demand, and the company has a strong balance sheet. However, Iteris faces challenges from competition and economic headwinds.
Analyst Recommendations
The consensus analyst rating for Iteris is "Hold". Two analysts have a "Hold" rating on the stock, and no analysts have a "Buy" or "Sell" rating. The average analyst price target is $7.20, which is slightly above the current stock price.
