Despite my support for Itron I can no longer hold onto my shares with faith. Down to 15 1/2 today I sold. Things look like they are getting worse for this company and I fear for their future. I heard that Cellnet has introduced a new line of technology that is more efficient and attractive to electric utility companies like SCE. Does anyone have any more info on that? While I don't trust the validity of 'Sellitron' I do agree with his/her conclusion- I am running now while I can still afford to buy shoes! I have held shares in Itron for a long time and was there to enjoy their spectacular rise to the high 50's. After seeing them rise and fall time and again, this time looks like the end of the road. I advise all to SELL!
Have to agree with you re post #59; a couple of loosers have joined this board. At the cost of repeating myself, I dont believe that Cellnet poses a threat to ITRON with respect to SCE. I happen to have been in the game of selecting vendors by Utilities and Municipal entities. They ALL have to show due diligence in their selection process; and a BIG FACTOR in this process is the list of satisfied end users that have used the particular product. Not just one user but several of them, otherwise no go. I'm aware that ITRON has had some technical problems to resolve bu the fact that they were able to soilve them makes ITRON even more creditable to the Utilities. Whereas, a new guy on the block like Cellnet with their unproved new line of products has to start selling to smaller end-users and gain their reputation with them before they have a chance of being selected by the big guys like SCE. O yes, they'll be allowed to bid to keep things above board, but no further. We're talking of six million meters here! That's something like a $400,000,000 contract over the next three years plus the future upkeep, not chicken feed!
In my previous life and an Eng., I have also learned that such contracts to be awarded requires a lot of red tape: budgeting, funding, etc., etc. In one of my previous threads I estimated the timing to be August 98. These formalities don't just happen overnight, as ITRON stated in their annual report.
Then there is another point to consider, and that is that ITRON have ongoing meter reading operations which ensures a steady revenue. Therefore I don't see a great risk that the Company will go down the ditch. Therefore, they'll continue to stay afoat but not make a big killing, if you will, until they make a big sale.
In my opinion, I'll stay in and give it another six months or so and take the up and down swings; but remind myself that for every share sold, someone is buying it . In fact, this morning, someone bought almost ten thousand of them! Why?
Skep, I'm glad you're reading this board and my thanks you for your contribution. Itausam